Baroda BNP Paribas Gold ETF · NSE:BBNPPGOLD
Baroda BNP Paribas Gold ETF — Baroda BNP Paribas Mutual Fund — Investor Presentation (June 2024)
39 slides from Baroda BNP Paribas Gold ETF's investor presentation, June 2024
Slide 1: Be a Part of India's Manufacturing Story
BE A PART OF INDIA’S MANUFACTURING STORY BARODA BNP PARIBAS MANUFACTURING FUND (An open-ended equity scheme predominantly investing in Manufacturing theme) NFO PERIOD 10 TH - 24 TH JUNE, 2024
Slide 2: Once Upon a time…
Once Upon a time… There was a country with… 93% of the Agriculture & Per Capita population allied activities GDP 1990s contributed was below 348 USD poverty line* 27% to GDP And now the it is second largest economy by GDP with… 2% of the Agriculture & Per Capita population allied activities GDP in 2
Slide 3: India is where China was just a few decades ago
India is where China was just a few decades ago GDP Growth China v/s India GDP in $ Trillion 20.00 China's GDP (Trillion $) India ($ Trillion) 17.96 18.00 16.00 India is where China was in 2007 11% R 14.00 CAG 12.00 10.00 8.00 6.00 From this point China has seen 4.00 almost 11% p.a. growth in GDP 2.
Slide 4: Recent growth story - Vietnam
Recent growth story - Vietnam Factors led which to the Vietn am G D P an d C o n trib u tio n o f development of manufacturing: M an u facturin g to G D P Low Labour Cost 440 26 Manufacturing GVA as % of GDP 25 25 Developed power sector and Real GDP in USD Billion 390 24 connectivity 23 340 22 Heavy
Slide 5: Manufacturing has been one of the key drivers of growth in economies
Manufacturing has been one of the key drivers of growth in economies across the world…
Slide 6: India heading towards a Manufacturing Renaissance: Mega Trends
India heading towards a Manufacturing Renaissance: Mega Trends shaping the Manufacturing Sector
Slide 7: Geopolitics - Trade Blocs to Protectionism
Geopolitics - Trade Blocs to Protectionism Offshoring Nearshoring/Friendshoring Transferring business activities to a Transferring specific tasks to low-cost different country neighboring or nearby country. Beneficiaries Electronics – Critical Drug Defence Nearshoring Pharma Chip production Diversif
Slide 8: Government Focus & Sizeable FDI Flows
Government Focus & Sizeable FDI Flows Skill India / Apprentice Program GST FDI Inflows (In USD Mn from Apr'23 to Dec'23) Ensuring every individual Shift from unorganized to 50,000 emerges from these organized, bringing more 45,000 programs truly equipped transparency, boosting to contribute conduciv
Slide 9: Manufacturing Costs & Demographic Advantage
Manufacturing Costs & Demographic Advantage Countries with the Cheapest Manufacturing Cost Logistic costs % of GDP 24% Rank Country 20% 14% 15% 16% 1 India 13% 16% 12% 13% 8% 9% 9% 10% 2 China 3 Vietnam 4 Thailand 5 Indonesia 6 Bangladesh 7 Philippines 8 Cambodia Minimum Annual Wage - USD 16,924 9 M
Slide 10: Climate Change: Transition towards clean energy
Climate Change: Transition towards clean energy Long Term shifts in weather patterns and Share of Renewables in power temperature changes caused primarily due to the generation (%) use of fossil fuels. Rising power infrastructure spending by emerging 88 countries (like ASEAN, India, South America) n
Slide 11: Digitisation – Catalyst for Manufacturing sector
Digitisation – Catalyst for Manufacturing sector Government Fund Infra Spend Formalization & Digitisation Finances Manufacturing Governance Plug Leakages Incentives Infrastructure Improved Migration Manufacturing Build & Upgrade Logistics Labour, Capital Competitiveness Source: Macquarie Research, J
Slide 12: Industry 4.0: Increase in manufacturing efficiency
Industry 4.0: Increase in manufacturing efficiency Optimized process through sensors, Internet of Things (IoT), artificial Autonomous Robots intelligence (AI), digital twins etc. Big Data Simulation Better asset utilization: Autonomous mobile robots (AMR) can handle menial tasks such as product tran
Slide 13: Case Study: Datacenters Booming in India
Case Study: Datacenters Booming in India
Slide 14: Rise of Datacenters: India, Fastest Growing Market
Rise of Datacenters: India, Fastest Growing Market Amazon's cloud unit to invest $13 billion Data Centres with Solid Growth Outlook by 2030 in India. This comes on top of its existing $6.5 billion investment in 1800 e-commerce, taking the total planned investment to $16.4 billion by 2030. CAGR 30% C
Slide 15: Datacenters: Factors promoting rise in India
Datacenters: Factors promoting rise in India Factors Contributing to the Rise of Datacenters Value Chain Government Backing Digital India Initiatives 15% 20% 40% Rising Digital Adoption & E-commerce expansion 25% Transition from 4G to 5G Electrical Systems Cloud Computing Boom Building Fit Outs Land
Slide 16: Case Study: Electronics Manufacturing Ramp-up
Case Study: Electronics Manufacturing Ramp-up
Slide 17: Apple: Heavily Investing in India
Apple: Heavily Investing in India Aim to diversify assembly of products from China after increasing geopolitical U.S- China tensions. According to a report submitted by Bank of America, Apple may shift over 18% of its iPhone production to India and India alone could contribute over 5% of Apple’s glo
Slide 18: Introducing... Manufacturing Fund
INTRODUCING... MANUFACTURING FUND (An open-ended equity scheme predominantly investing in Manufacturing theme)
Slide 19: About the Scheme
About the Scheme The Scheme aims to maximize long-term capital appreciation by investing in equity and equity related securities of companies engaged in manufacturing sector. Manufacturing is the backbone of any economy. By investing in the fund, the investors can participate in India’s growth journ
Slide 20: Manufacturing – A Diversified Thematic Strategy
Manufacturing – A Diversified Thematic Strategy Nifty India Nifty 500 Sectors Manufacturing Index (% to total) (% to total) Automobile and Auto Components 7.27 30.61 Capital Goods 5.35 21.24 Healthcare 5.56 14.01 Metals & Mining 3.70 12.46 Oil, Gas & Consumable Fuels 9.23 8.61 Chemicals 2.16 7.20 Co
Slide 21: Manufacturing: History of Consistent Outperformance
Manufacturing: History of Consistent Outperformance Performance across various time frames 57% 39% 27% 26% 23% 21% 17% 18% 17% 15% 16% 14% 1 year 3 Years 5 Years 10 Years Nifty 50 TRI Nifty 500 TRI NIFTY India Manufacturing TRI Source: NSE India and Internal. Data as on 30th April 2024 The above ill
Slide 22: Key Themes
Key Themes B Baroda (Sj BNP PARIBAS hz
Slide 23: Central & State Capex: A Rising Trend
Central & State Capex: A Rising Trend Sequential rise in Capex Breakup of Capex 7620 Housing + Urban Affairs Railways 6% 39% 6008 5608 5459 4922 4072 3280 2916 Defence 22% Road 34% FY17 FY18 FY19 FY20 FY21 FY22 FY23 FY24E Sequential rise in capex Railways, Roads to get the highest capex allocation S
Slide 24: The Manufacturing Backbone
The Manufacturing Backbone Railways - Manufacturing of worldclass Trains, Rolling Stock, etc. Transportation Improvements Ports and Highways- Better Logistics leading to efficient manufacturing Urban Metro Rail Network – Engineering and Construction Companies Infrastructure Airports – Asset Operator
Slide 25: Strengthening the Core: Railways, Ports and Highways
Strengthening the Core: Railways, Ports and Highways Boosts rail infrastructure by adding Rail Capex (INR Bn) and manufacturing new age trains 4200 34% such as Bullet trains, Vande Bharat, 30% 29% 3810 Amrit Bharat and Namo Bharat. 3700 3463 29% 3200 23% 3148 24% Laying of new and doubling of 2862 e
Slide 26: Urban Infrastructure: Metro Networks and Airports
Urban Infrastructure: Metro Networks and Airports City Planned Metro Network by 2029 Total number of airports 220 Mumbai 190 147 148 137 137 137 Bengaluru 176 125 125 125 129 Chennai 134 74 Dholera 100 Delhi NCR 68 Hyderabad 67 Kolkatta 59 CY25E CY14 CY15 CY16 CY17 CY18 CY19 CY20 CY21 CY22 CY23 Nagp
Slide 27: Push towards Energy Security and Green Energy
Push towards Energy Security and Green Energy Thermal capacity addition 17.0 10.0 12.0 12.0 4.3 5.5 7.0 3.4 4.0 4.0 0.0 1.2 FY19 FY20 FY21 FY22 FY23 FY24E FY25E FY26E FY27E FY28E FY29E FY30E Thermal capacity addition India’s ballooning power demand fuelled by manufacturing push, urbanisation, digita
Slide 28: Automobiles: Benefiting from shift to green tech
Automobiles: Benefiting from shift to green tech Automobile sector is experiencing major shifts and there is demand for greener solutions. Shift in traditional IC engine to Electric and even fuel cell engines, are causing a shift in the entire ecosystem of the sector. Current Fuel Fuel Cells Hybrid
Slide 29: India's Defence Capex: Focus on self-reliance
India’s Defence Capex: Focus on self-reliance USD100-120 bn domestic defence opportunity over 5-6 years. Embargo list of defence items prohibiting their import, creates opportunities for the Indian defence industry. Setting aside separate portion of defence capital budget for domestic procurement –
Slide 30: Some manufacturing success stories
Some manufacturing success stories
Slide 31: Defence Order Book: 3X growth in 10 years
Defence Order Book: 3X growth in 10 years A Large Cap Defence Company benefits Order Book (Crores) from spends across the Army, Navy and 76,000 Air force 57,570 51,798 53,433 60,690 51,973 Well positioned to benefit from the 40,242 40,115 increasing thrust on indigenization from 32,022 the Govt of I
Slide 32: Electronics manufacturing – EMS player in the midcap
Electronics manufacturing – EMS player in the midcap Five PLI schemes related to electronics Electronics Company segments a key driver of import (Stock Price Performance) substitution and domestic manufacturing 144.48% of electronic goods Most diversified company with exposure to all major consumer
Slide 33: Energy Transition: Driver of Multi-Decade Rise in Transmission Capex
Energy Transition: Driver of Multi-Decade Rise in Transmission Capex A Small Cap pure upstream Engineering Company 308.4% manufacturing beneficiary of India’s (Price Perfomance) energy transition. Leadership in high voltage equipment and highly indigenized manufacturing capabilities. 108.7% Benefit
Slide 34: Investment Philosophy: BMV Framework
Investment Philosophy: BMV Framework BMV Framework What it Means? Parameters “Moats” Sustainable competitive B - Business Topline and Bottomline Advantage Business Model Analysis Management Commentary Consistency of words M- Management Quality of Management and action Governance Growth tailwinds Goo
Slide 35: Who is it Suitable For?
Who is it Suitable For? Investors who want a focused exposure to manufacturing companies Investors who want to participate in the Who is it India’s growth and manufacturing journey Suitable For? Investors looking for new sector / theme to diversify their portfolio
Slide 36: Investment Team and Experience
Investment Team and Experience CIO – Mr. Sanjay Chawla (33 Years of Experience) Shiv Chanani Sandeep Jain Swapna Shelar Alka Katiyar 24 Years 16 Years 12 Years 8 Years Pratish Krishnan Miten Vora Kushant Arora Arjun Bagga 23 Years 14 Years 9 Years 5 Years Fund Manager Jitendra Sriram 26 Years
Slide 37: Fund Facts
Fund Facts Scheme Name Baroda BNP Paribas Manufacturing Fund Type of the Scheme An open-ended equity scheme predominantly investing in Manufacturing theme. Category Equity Scheme – Sectoral / thematic The investment objective is to generate long-term capital appreciation from a portfolio invested pr
Slide 38: Risk Factors
Risk Factors The risks associated with investments in equities include fluctuations in prices, as stock markets can be volatile and decline in response to political, regulatory, economic, market and stock-specific development etc. Please refer to scheme information document for detailed risk factors
Slide 39: Disclaimers
Disclaimers In the preparation of the material contained in this document, Baroda BNP Paribas Asset Management India Ltd. (“AMC”) has used information that is publicly available, including information developed in-house. The AMC, however, does not warrant the accuracy, reasonableness and/or complete
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