Nippon Life India Asset Management Ltd. · NSE:NAM_INDIA
Nippon Life India Asset Management — Nippon India Mutual Fund — Investor Presentation (August 2023)
27 slides from Nippon Life India Asset Management's investor presentation, August 2023
Slide 1: Invest in a portfolio for the future
Green Energy INVEST IN A Robotics PORTFOLIO FOR Artificial Intelligence FUTURE Electric Vehicle Virtual Reality
Slide 2: Nippon India Innovation Fund
Nippon India Innovation Fund (An open-ended equity scheme investing in innovation theme) NFO opens on: 9th August 2023 NFO closes on: 23rd August 2023 Product Label Nippon India Nifty 500 TRI This product is suitable for investors who are seeking* Innovation Fund • Long term capital growth. • Invest
Slide 3: Need for Innovation
NEED FOR INNOVATION Opportunity to enter Protection against market new market segments challenges or threats Cost reduction and Adapting to changing increase in revenue technologies or user habits Improved brand Enhanced productivity reputation Competitive advantage
Slide 4: Innovation Across Sectors
INNOVATION ACROSS SECTORS Technology provides opportunities to identify unique market segments and transform ways of doing business AI IoT Big data Blockchain 5G Retail Consumer Finance Finance Retail Finance Finance Manufacturing Manufacturing Manufacturing Manufacturing Healthcare Professional Ser
Slide 5: Why Do We Need an Innovation Fund?
WHY DO WE NEED AN INNOVATION FUND? Innovative Companies seem to be under-represented 100 75 50 (%) 25 0 S&P 500 Russell 1000 Russell 3000 Russell 1000 Growth Russell 3000 Growth Nasdaq Composite Index % of Index Market Cap % of Total Number of Securities Source: Factset, as of 31/12/2022 The univers
Slide 6: The Innovation Advantage
THE INNOVATION ADVANTAGE Companies may be better placed to thrive in increasingly dynamic markets 17% Better return potential 20% Better Valuation 56% Changing Leaders 50% New Disrupters Outperformance in 2020 Higher average valuation Of industry leading Decrease in average age by BCG Most Innovativ
Slide 7: Pushing Boundaries Through Innovation: Global case studies
PUSHING BOUNDARIES THROUGH INNOVATION!! Global case studies Online streaming ~Grown Online service + 15 times Streaming Online DVD Content production in last 10 years* giant rental store Pioneered electric car manufacturing Grown Global automotive Inhouse production ~36 times and clean of car batter
Slide 8: What is Innovation?
What is Innovation? Innovation is often misunderstood Inventing New Products from scratch is just one way to innovate
Slide 9: Types of Innovation
TYPES OF INNOVATION Product/Service Process Business Innovation Innovation Innovation Development Changes A company’s of new and in operational transformation improved products procedures of its role in and services or tools the market
Slide 10: Product/Service Innovation
PRODUCT/SERVICE INNOVATION One of the leading financial services company created first of its kind lending model focused on consumer loans No cost Quick loan Small EMI disbursement ticket loans Backed by technology platforms, analytics and robust risk management systems Increase in volume Easy acces
Slide 11: Process Innovation
Process Innovation A specialty chemicals company with track record of strategic process innovation through consistent R&D Improved productivity Various catalysts have been developed Enhanced yields in-house through R&D, which are used Improved Atom economy across process developments Cost efficiency
Slide 12: Business Innovation
BUSINESS INNOVATION A restaurant reviews platform transformed its business model to become one of the leading food services online platform Business-to-Consumer (B2C) Business- to-Business Customer Dining out Delivery (B2B) loyalty program Improving tech penetration Growing share of millennials/Genz
Slide 13: Innovation shifts across sectors!
Innovation shifts across sectors!
Slide 14: The Big Shift - Banking
THE BIG SHIFT - BANKING Conventional Convenience Banking Banking Open Source APIfication Platform, Tools Performance, Scalability, Open Data, Open APIs, integration, journey Flexibility Data and Analytics Cloud Computing Artificial Intelligence, Machine Learning, Deep Learning Software As-A-Service
Slide 15: The Big Shift - Auto
THE BIG SHIFT - AUTO EV sales in India cross a million for the first time in 2022 Calendar Year Units Sold Growing eco-consciousness २०१३ २,६९३FIGURES KEY among buyers २०१४ २,३९२ २०१५ ७,७७२ २०१६ ४९,०६५ Key Shift in public policy towards २०१७ ८६,१२० drivers: decarbonisation २०१८ १२७,५७६ २०१९ १६३,४५९
Slide 16: The Big Shift – Media
THE BIG SHIFT – MEDIA Growth backed by increased consumption, content & investments India OTT Revenue ($mn) २०००-२१०० 40% +1 hr 4x 2x ~40%CAGR Share of digital in Increase in digital Increase in OTT Increase in total video watch video consumption platforms over past investment since 500-600 time, 4x
Slide 17: Government policies fostering innovation
Government policies fostering innovation New intellectual Status update across PLI schemes (as of March 2023) property rights (IPR) policy assuming USD/INR of `80 Production Key Figures Linked Make in india Incentive (PLI) Applications approved under 14 schemes 733 Expected investment (in $bn) 46 St
Slide 18: Faces of Corporate Innovation in India
FACES OF CORPORATE INNOVATION IN INDIA Global Innovators Corporate Giants MNC R&D Centers Large Indian Companies Setting global gold standard Institutionalising Innovation MNC R&D centers which leverage Indian conglomerates with dedicated the ecosystem to innovate for their R&D functions, specialize
Slide 19: Nippon India Innovation Fund
Nippon India Innovation Fund
Slide 20: Investment Strategy
INVESTMENT STRATEGY Investment Universe: Top 500 stocks as per market capitalisation Min 80% of investment will be in Innovative Companies Flexibility to Focus on invest across Investment High Quality Growth bias market caps across sectors businesses* Focus on companies taking advantage of early tre
Slide 21: How Do We Identify Innovative Companies
HOW DO WE IDENTIFY INNOVATIVE COMPANIES Proven history of investing in next ` Companies forming a part of generation technology/platforms digital economy or gaining market to disrupt businesses share through digital economy Proven history of product/process Companies using data to /service/technolog
Slide 22: Characteristics of Innovative Companies
CHARACTERISTICS OF INNOVATIVE COMPANIES Revenue growth higher than the industry combined with small market share in a large industry Large market share in a new industry with significant growth potential Superior gross margins giving capability of high R&D investments Access to global technology or
Slide 23: Key Next Generation Innovation Themes
KEY NEXT GENERATION INNOVATION THEMES Decarbonisation Energy Transition- Move towards EV and Hydrogen Artificial Intelligence Biotechnology IoT based business platforms Software as a service Manufacturing - New trains, electronics manufacturing, biotechnology, specialty chemicals etc. Power distribu
Slide 24: Scheme Differentiation
SCHEME DIFFERENTIATION Higher active share Focus on High Quality Businesses* Concentrated portfolio Presence of some traditional sectors might be limited Significant focus on innovation across themes like fintech, specialty chemicals & pharma, auto & auto ancillaries, internet based businesses, MNCs
Slide 25: Scheme Features
SCHEME FEATURES Minimum Type of Application Plans & Scheme Benchmark Amount Options Exit Load An open Nifty 500 TRI `500 & in (a) Growth 1% if redeemed ended equity multiples of Plan - Growth or switched out scheme `1 thereafter Option on or before investing in completion of (b) Income innovation 1
Slide 26: Disclaimer
DISCLAIMER The information herein is meant only for general reading purposes and the views being expressed only constitute opinions and therefore cannot be considered as guidelines, recommendations or as a professional guide for the readers Certain factual and statistical information (historical as
Slide 27: Thank you
=i x hy <> Nippon inal Funds Wealth sets you free Thank you / Good gets Ae
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