Canara Robeco Balanced Advantage Fund

Diversified

Hybrid

India Super Value

Others

Aggressive growth Investor Profile

Investor Profile

4–7 yearsInvestment Horizon

HNI, UHNI, Retail Investor, Mass AffluentTarget Segments

SEBI registered equity mutual fund suitable for all investor categoriesRegulatory Fit

Canara Robeco Balanced Advantage Fund Growth mixes stocks and bonds for balanced growth and stability.

What This Strategy Does

Canara Robeco Balanced Advntg Reg Gr is an equity flexi-cap fund which captures India's ₹30 trillion dynamic asset allocation opportunity through a multi-asset approach, deploying capital across financials, industrials, and consumer sectors to achieve broad-based earnings growth.

CW Expert Research Notes

Resilient Downside Protection

The fund has demonstrated resilience in downside protection, outperforming its benchmark and peers in 8 out of the last 12 years, reflecting a consistent ability to mitigate losses during market drawdowns.

Contrarian Sector Positioning

The fund's sector positioning deviates from peers, with an overweight in energy and industrials, reflecting a contrarian view on the potential for earnings revisions and structural tailwinds in these cyclical sectors.

Valuation-Driven Opportunity Set

The fund's investment process emphasizes valuation discipline, seeking to construct a portfolio of reasonably valued stocks with catalysts for multiple expansion, positioning it to capitalize on potential market dislocations.

Performance and Risk Analysis

Historical returns, volatility patterns, and how this fund has performed relative to its benchmark.

Fund Performance

-0.9% AnnuallyAlpha

+0.0% vs +0.0% benchmarkSince Inception

+0.0% vs +0.0% benchmark3Y Annualized

+0.0% vs +0.0% benchmark5Y Annualized

Canara Robeco Balanced Advantage Fund

Benchmark Index

Benchmark Performance Comparison

Canara Robeco Balanced Advantage Fund

NIFTY 50 + FD Returns

Risk Profile

Standard Deviation12.2%

Maximum Drawdown-9.7% | Oct 2024

Sharpe Ratio-0.31

Beta1.25

Upside Capture108%

Detailed Risks

Market Risk

Potential recession in India driven by high inflation could dampen consumer demand, impacting fund's equity exposure.

Liquidity Risk

High mid-cap allocation could face liquidity stress during market sell-offs, hindering rebalancing.

Concentration Risk

Concentrated exposure to Indian financial sector faces asset quality risks from rising interest rates.

Specific Strategy Risk

Regulatory changes to asset allocation limits could constrain dynamic strategy execution.

Strategy Details

A closer look at the investment thesis, portfolio construction, and current holdings.

Core Investment Theme

Delivers dynamic asset allocation across equity and debt to navigate varying market conditions. By actively adjusting exposures, this approach aims to capture upside potential during equity rallies while providing downside protection during volatile periods. The impact is smoother returns with lower drawdowns compared to a static allocation approach. Suitable for investors seeking to participate in India's long-term growth story while mitigating the risks of market cycles.

Broader Market View

Market Outlook

Equity markets appear to be entering a recovery phase following the recent correction, with consumption and earnings normalization supporting a revival in corporate profitability. This backdrop aligns well with the fund's tilt towards consumer cyclicals, financials and technology, sectors poised to capitalize on improving domestic demand and credit growth. However, risks such as margin pressures and competitive dynamics warrant a balanced approach.

Why This Strategy is Attractive Now

The strategy's diversified exposure across around 70 holdings, including market leaders in consumer, banking and technology verticals, appears well-positioned to navigate the current environment. Its moderate risk profile, flexibility to rotate across cyclical and defensive exposures, and focus on quality franchises could allow for risk-adjusted participation in the anticipated recovery. The balanced mandate differentiates it from narrower thematic or benchmark-driven approaches.

Investment Style & Process

Investment Style

The portfolio exhibits characteristics of a Quality Growth approach, emphasizing companies with durable competitive advantages, consistent earnings growth, and reasonable valuations across large and mid-cap market segments.

Why it Makes Sense

In the current environment of moderating economic growth and elevated uncertainty, a Quality Growth strategy focused on market-leading franchises with pricing power and recurring revenue streams could provide a degree of defensiveness while participating in secular growth opportunities.

High-Level Investment Process

Sourcing: The strategy appears to source investment ideas through a combination of quantitative screening for quality metrics like high returns on capital, stable cash flows, and balance sheet strength, complemented by fundamental research into long-term competitive positioning and growth runways. Selection: The selection process suggests an emphasis on companies with durable competitive advantages, proven management execution, and attractive risk/reward profiles relative to growth prospects and valuation multiples. Construction: Portfolio construction is consistent with a multi-capitalization core approach, diversified across sectors with a tilt towards companies positioned to compound earnings growth through cycles. Risk management techniques like position sizing and valuation discipline may be employed.

Portfolio Holdings Overview

SectoralAllocation

Services7.34%

Capital Goods16.58%

Consumers19.87%

Utilities2.5%

Energy & Infra11.42%

Financial Services36.41%

Technology5.88%

Geographic Allocation

Domestic100%

Top Stock Holdings

CompanySectorAllocation

HDFC Bank LtdFinancial Services6.86%

Reliance Industries LtdEnergy & Infra5.51%

ICICI Bank LtdFinancial Services4.23%

India (Republic of)Utilities3.78%

Larsen & Toubro LtdCapital Goods3.57%

TrepsUtilities3.30%

State Bank of IndiaFinancial Services3.25%

Bharti Airtel LtdServices3.18%

Power Finance Corp LtdFinancial Services2.68%

Axis Bank LtdFinancial Services2.52%

Fund House Management

The asset management company’s track record, AUM scale, and fund manager credentials.

Fund Manager Track Record

Suman Prasad

Ms. Suman Prasad has experience of 35 years. Manages 54 funds at Canara Robeco Asset Management Co Ltd with an AUM of approximately ₹2,244 Cr Holds a PGDMS degree.

118 years

Combined Team Experience

₹ 44,753 Cr

Assets Under Management

Avnish Jain

Co-Portfolio Manager

Mr. Avnish Jain has experience of 31 years. Manages 117 funds at Canara Robeco Asset Management Co Ltd with an AUM of approximately ₹3,894 Cr Holds a B.Tech degree.

Pranav Gokhale

Co-Portfolio Manager

Mr. Pranav Gokhale has experience of 22 years. Manages 30 funds at Canara Robeco Asset Management Co Ltd with an AUM of approximately ₹29,783 Cr Holds a M.Com degree.

Ennette Fernandes

Co-Portfolio Manager

Ms. Ennette Fernandes has experience of 13 years. Manages 25 funds at Canara Robeco Asset Management Co Ltd with an AUM of approximately ₹2,526 Cr Holds a PGDBM degree.

Amit Kadam

Co-Portfolio Manager

Mr. Amit Kadam has experience of 16 years. Manages 34 funds at Canara Robeco Asset Management Co Ltd with an AUM of approximately ₹6,306 Cr Holds a MMS degree.

Avnish Jain

Co-Portfolio Manager

Mr. Avnish Jain has experience of 31 years. Manages 117 funds at Canara Robeco Asset Management Co Ltd with an AUM of approximately ₹3,894 Cr Holds a B.Tech degree.

Pranav Gokhale

Co-Portfolio Manager

Mr. Pranav Gokhale has experience of 22 years. Manages 30 funds at Canara Robeco Asset Management Co Ltd with an AUM of approximately ₹29,783 Cr Holds a M.Com degree.

Ennette Fernandes

Co-Portfolio Manager

Ms. Ennette Fernandes has experience of 13 years. Manages 25 funds at Canara Robeco Asset Management Co Ltd with an AUM of approximately ₹2,526 Cr Holds a PGDBM degree.

Amit Kadam

Co-Portfolio Manager

Mr. Amit Kadam has experience of 16 years. Manages 34 funds at Canara Robeco Asset Management Co Ltd with an AUM of approximately ₹6,306 Cr Holds a MMS degree.

CW Expert Take

Canara Robeco operates with a disciplined investment process across asset classes. Their strength lies in quantitative frameworks that maintain risk parameters while seeking opportunities. The fund house combines top-down macro views with bottom-up research, whether positioning equity portfolios or managing duration in debt strategies.

Investment Philosophy & Approach

Disciplined Approach

Canara Robeco follows a disciplined investment approach focused on rigorous research.

Risk Management

The fund house emphasizes robust risk management through diversification and controls.

Long-Term Perspective

Canara Robeco maintains a long-term perspective in portfolio construction and management.

Operational & Regulatory Details

What it costs to invest, transaction mechanics, and regulatory disclosures you should know.

Costs and Fees

Total Expense Ratio (TER)1.88%

Regulatory & Tax Information

INF760K01LA6

ISIN

DailyDealing Frequency

CRISIL Hybrid 50+50 Moderate TR INRBenchmark

LTCG | >1Year 12.5%% on gain above 1.25 Lakh

STCG | <1Year 20%%

Tax Implications (India)