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Investments made for a period of 1 year or less are referred to as short term investment plans. Some examples of short term investments are bank Fixed Deposit, savings account, debt instruments, large cap or debt mutual funds, treasury securities, money market account, among others. State Bank of India has a varied range of investment plans from each of these above categories.
Here are some types of short term investment plan from SBI:
SBI Short Term Debt Fund is an open-ended short term debt mutual fund scheme, launched on 27th July, 2007, with a moderately low capital market risk. It invests in debt instruments which are rated not below investment grade and money market instruments such that the Macaulay Duration, is between 1 year and 3 years. It serves as a source of regular income over a short term by investing in Debt and Money Market securities. No exit load on this investment plan .
It is measured against the Crisil Short Term Bond Fund Index. SBI generates returns at the interest rate of 6.64%, over and above the regular growth. The minimum applicable lump sum payment is Rs. 5,000 and further investments can be made in multiples of Re. 1. Minimum additional lump sum applicable on this short term investment plan is Rs. 1,000 and further investments can be made in multiples of Re. 1.
To provide investors an opportunity to generate regular income through investments in a portfolio comprising predominantly of debt instruments which are rated not below investment grade and money market instruments such that the Macaulay duration of the portfolio is between 1 year and 3 years.
SBI Short Term Debt Fund analyzes the fund performance basis different macro-economic parameters, market dynamics, etc. This scheme invests in debt and money market instruments that show the promise of generating risk-adjusted returns to its investors through active management of credit risk and interest rate risk in its portfolio.
The below is the list of portfolio holdings as on 12th December, 2018:
|Stock Name||% of Total AUM|
|HOUSING DEVELOPMENT FINANCE CORPORATION LTD.||9.19|
|POWER FINANCE CORPORATION LTD.||7.59|
|GOVERNMENT OF INDIA||6.35|
|CASH, CASH EQUIVALENTS AND OTHERS||5.25|
|HOUSING AND URBAN DEVELOPMENTN CORPORATION LTD.||5.25|
|INDIAN RAILWAY FINANCE CORPORATION LTD.||5.22|
|LIC HOUSING FINANCE LTD.||4.46|
|SMALL INDUSTRIES DEVELOPMENT||4.38|
|NATIONAL BANK FOR AGRICULTURE AND RURAL DEVELOPMENT||4.26|
|SHRIRAM TRANSPORT FINANCE COMPANY LTD.||4.06|
|POWER GRID CORPORATION OF INDIA LTD.||3.97|
|TATA SONS LTD.||3.37|
|HDFC BANK LTD.||3.35|
|RELIANCE INDUSTRIES LTD.||3.32|
|RAINBOW DEVICES TRUST||3.07|
|INDUSIND BANK LTD.||2.02|
|ORIX LEASING & FINANCIAL SERVICES INDIA LTD.||2|
|L & T FINANCE LTD.||1.68|
|ULTRATECH CEMENT LTD.||1.62|
|STATE BANK OF INDIA||1.56|
|EXPORT-IMPORT BANK OF INDIA||1.25|
|TATA MOTORS FINANCE LTD.||1.11|
|L & T INFRA DEBT FUND LTD.||0.84|
|NABHA POWER LTD.||0.84|
|BMW INDIA FINANCIAL SERVICES PVT. LTD.||0.83|
|NUVOCO VISTAS CORPORATION LTD.||0.82|
|STATE GOVERNMENT OF RAJASTHAN||0.78|
|SP JAMMU UDHAMPUR HIGHWAY LTD.||0.63|
|STATE BANK OF INDIA||0.5|
|FOOD CORPORATION OF INDIA||0.44|
|L & T METRO RAIL (HYDERABAD) LTD.||0.43|
|TATA CAPITAL FINANCIAL SERVICES LTD.||0.42|
|SUNDARAM FINANCE LTD.||0.41|
|NATIONAL BANK FOR AGRICULTURE AND RURAL DEVELOPMENT||0.4|
|GRUH FINANCE LTD.||0.33|
|HDB FINANCIALSERVICES LTD.||0.31|
|NATIONAL HIGHWAYS AUTHORITY OF INDIA||0.26|
|L & T INTERSTATE ROAD CORRIDOR LTD.||0.26|
|IDFC BANK LTD.||0.07|
|RELIANCE JIO INFOCOMM LTD.||0.02|
**Expense Ratio is exclusive of Service Tax on Management Fees
|Record Date||Dividend (Unit)|
|12th May 2017||0.0162582|
|27th Jan 2017||0.0093894|
|2nd Dec 2016||0.013528|
|25th Nov 2016||0.0129936|
For those investors who are already KYC-compliant, they can submit the KYC acknowledgement letter or a copy of it. If you are not KYC-compliant, you need to submit these documents for completing the KYC process:
Proof of Identity (PoI) : The acceptable documents are:
Proof of Address (PoA) : The acceptable documents are:
For non-individuals like organisations, partnership firms, trusts, Hindu United Families (HUF), etc., the following documents have to be submitted :
You can apply for SBI Short Term Debt Fund online by following these simple steps:
What are some of the best short term investment plan?
Where can I invest my short term money?
The following are some of the effective short term investment options you can consider:
Can I invest in mutual funds for 6 months?
You can consider liquid funds like BNP Paribas, ICICI Prudential Liquid Plan and Overnight Funds as an option for investing in mutual funds for a short period of 6 months.
Can I invest in mutual funds for 1 month?
For 1-month mutual fund investments, you can consider liquid funds like BNP Paribas and ICICI Prudential Liquid Plan.
Where can I invest for long term?
How can I invest for 5 years?
Top 5-year investment options are:
Where should I invest for 2 years?
Yes, 2 years is a good investment period, Some top 2-year investment options are: