Dear Investor,

The month of July saw volatility in the financial market, but the market finally closed on a positive note. The BSE Sensex posted a gain of 6.64% during the month to close at 14,356 points; the S&P CNX Nifty appreciated by 7.23% to settle at 4,333 points.

Average Assets Under Management (AAUM) dipped by 6% for the second time in a row for the month of July after banks pulled out money from liquid funds. And going by the data published by the Association of Mutual Funds of India the industry registered AAUM of Rs 5,29,629.48 crores in July. SBI Mutual Fund, the sixth largest Mutual Fund house in India saw its average monthly AUM close at Rs. 29,151 crores. In the new fund offer SBI Mutual Fund has garnered close to more than Rs 1,635 crores via SBI Debt Fund Series - 30 days and Rs. 850 crores in SBI Debt Fund Series - 90 days.

The quarterly review of Monetary Policy on 29th July saw RBI taking some more tightening measures to curb inflation. RBI not only raised the benchmark repo rate, the rate at which banks borrow from RBI, from 8.5 percent to 9 percent with immediate effect, but has also hiked the cash reserve ratio (CRR) for banks by 25 bps. Some cooling of the crude prices over the last few days and political stability were positive indicators.

Fixed Maturity Plans (FMP) have gained momentum after interest rates have started heading north, allowing investors in FMPs to earn higher and steady returns if held till maturity. The reason is that such funds are designed to protect investors from interest rate risk. Fixed Maturity Plans are essentially closed-ended income schemes with a fixed maturity. The tenure could be 30 days, 90, 180 or 365 days. Some even have a three or five-year time frame. Generally, FMPs invest in treasury bills and short-term corporate paper.

SBIMF has launched series of Fixed Maturity Plans known as SBI Debt Fund Series. Further every month we intend to launch fresh series of Fixed Maturity Plans. Please keep looking for more launches on our website www.sbimf.com. To make our retail investor take advantage of FMPs, we have brought down the minimum investment in FMPs to Rs. 5,000. So start investing today!

We have also opened a spacious, office premises in Baroda. The new office is equipped with required infrastructure, ready to cater to the growing needs of investors and distributors at Baroda

We are absolutely committed to provide unparalleled service to our investors and cater to your information, investment and servicing needs. Please feel free to call at our dedicated customer care numbers 1-800-425-5425 (MTNL/BSNL users only) and 080-26599420 from Monday to Saturday (8am – 10pm) or write to us at customer.delight@sbimf.com with your queries. Alternatively you can also visit your nearest Investor Service Centre / Investor Service Desk for any assistance.

Regards,