India Equity Market Outlook Dubai/Abu Dhabi Power of 3 · 2016. 3. 23. · India Equity Market...
Transcript of India Equity Market Outlook Dubai/Abu Dhabi Power of 3 · 2016. 3. 23. · India Equity Market...
India Equity Market Outlook Dubai/Abu Dhabi Power of 3 February, 2014
DSP BlackRock is BlackRock’s joint venture presence in India } Established in April 1997 and now one of India’s leading investment management
companies managing/advising total assets of US$ 6.5861 bn as of December 31, 2013
} Ownership: 60% by DSP Group & 40% by BlackRock Inc.
} Also provides advisory services to offshore funds of BlackRock and eminent institutional investors (including sovereign wealth funds and pension funds)
} Registered as a manager for proposed Alternative Investment Fund & Pension Fund (National Pension System)
About DSP Group } Kothari family of D. S. Purbhoodas and Co. is the promoter and owner of DSP Group
} Track record of over 145 years, one of the oldest financial services firms in India
} One of the founding members and first directors of the Bombay Stock Exchange (BSE)
} Each generation of the DSP Group has seen a partner serving as President of the Bombay Stock Exchange, bearing testimony to the long-standing position that the DSP Group occupies in the Indian financial arena
} Hemendra Kothari, Non-executive Chairman of DSP BlackRock Investment Managers, has an experience of over 40 years in the financial services industry, and also served the Bombay Stock Exchange as President in 1991-92
Overview: DSP BlackRock Investment Managers
2
1 Includes domestic Equity and Hybrid schemes and offshore advisory mandates. For complete details of the latest AUM in SEBI prescribed format please visit our website: www.dspblackrock.com | 2 USD/INR Conversion Rate (Source: RBI Ref. rate as of 31 December-13): 61.8970
USD Million
Domestic Assets – Fixed Income 3,536.4
Domestic Assets – Equity 1621.3
Total (Domestic Assets) 5,157.4
Total (Offshore Advisory Assets) 1,428.6
Total Assets 6,586.0
Total Equity Assets 2,954
Equity Assets as % of Total Assets 45%
Domestic - Fixed
Income 55%
Domestic - Equity 24%
Advisory - Equity 19%
Advisory - Fixed
Income 2%
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Equities Investment Team
Mayur Patel (6) Oil & Gas,
Petrochemicals
Rohit Singhania (13) Auto & Auto Ancillaries, Metals, Infrastructure,
Hotel, Sugar
Vinit Sambre (14) Pharma, Power Utilities, Textiles,
Chemicals, Fertilizers
Chief Investment Officer S Naganath (26)
Macro Research & Investment Strategy
Mehul Jani (9) Banking & Financials,
Engineering, Derivatives
Portfolio Managers/Research Analysts
Macro View
Value / Growth
perspectives
In-depth research
Wider BlackRock
Highly experienced, rigorous approach, global reach
Interaction with BlackRock PMs/Analysts Risk & Quantitative Analysis professionals
Years in brackets ( ) is years of investment or investment-related experience
Product Strategist
Senior Portfolio Managers
3
Harrish Zaveri (20) FMCG, Retail, Media, Real Estate, Cement,
Construction, Technology, Telecom
Anup Maheshwari (20) Head - Equities & Corporate Strategy
Apoorva Shah (22) Senior Portfolio
Manager
Jay Kothari (9) Product Strategist
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Factors Affecting Indian Markets
Global factors: 2013 2014
1. QE tapering
2. Geo-political tensions
3. Crude oil prices
4. Global GDP Slowdown
Domestic factors:
1. Inflation
2. Interest rates
3. CAD and FD
4. Currency
5. Politics/Policy
4
Neutral
Neutral
Neutral
Positive
Positive
Positive
Positive
Neutral
Neutral
Negative
Negative
Negative
Negative
Negative
Negative
Negative
Negative
Negative
FOR PROFESSIONAL INTERMEDIARIES ONLY
GDP Decomposition: India
Source: Spark Capital
Note: All of the above are real growth rates
} For India’s GDP growth recovery, investment has to pick up. Investment is expected to rebound ahead on account of replacement capex, government focus on clearing projects and reforms in FDI
} Private consumption growth has slowed down due to high inflation and subdued growth in disposable income of the households.
GDP Agri Industry Services
Contribution to GDP (FY13) 100% 13.7% 26.7% 59.6%
Average FY03 – 11 Growth 8.0% 3.0% 8.7% 9.4%
FY12 Growth 6.2% 3.6% 3.5% 8.2%
FY13 Growth 5.0% 1.9% 2.1% 7.1%
FOR PROFESSIONAL INTERMEDIARIES ONLY 5
Supply Side GDP Agriculture + Industry + Services
Themes driving India story
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Theme Factors impacting the theme Sectors expected to benefit
Consumption
} India expected to witness one of the highest growth in urbanization amongst key emerging economies
} Emergence of “The Thorties” – India has one of the youngest population
} Worker dependent ratio expected to improve over the next three decades
} Several variables like loan/GDP ratio, mutual fund AUM/GDP ratio, Mortgages/GDP ratio are much lower when compared with developed markets as well as many of emerging markets – indicating huge potential for growth
} Financial Services
} Automobiles
} Media
} Consumer Goods
Infrastructure
} Investment in infrastructure to double in XII Plan
} Deficiencies across various key parameters like power generation capacity, road network, port capacity, airport capacity – this creates significant investment opportunity
} Rise in nuclear families expected to boost demand for new houses
} Construction & Engineering
} Metals
} Cement
} Power
Outsourcing
} Low cost advantage
} Highly skilled human resources
} High quality communication infrastructure
} Information Technology
} Pharmaceuticals
Financial Services: Penetration Remains Low
Loan/GDP
Mutual Fund AUM/GDP Mortgages/GDP
Source: 1) Industry, IIFL Research 2) RBI, IIFL Research 3) Industry, IIFL Research 4) HDFC, IIFL Research.
7
5.3 6.2 12.4
23.7
49.7
80.3
0.0
10.0
20.0
30.0
40.0
50.0
60.0
70.0
80.0
90.0
China India Japan Korea Malaysia USA
8% 15% 20% 32% 36% 40% 44% 45%
54%
76% 84%
101%
0%
20%
40%
60%
80%
100%
120%
Indi
a
Chi
na
Thai
land
Mal
ayas
ia
Kor
ea
Taiw
an
Hon
gkon
g
Ger
man
y
Sin
gapo
re
US
A UK
Den
mar
k
43 77
100
155 169 170 201 207
229.3
346.2
0 50
100 150 200 250 300 350 400
Indo
nesi
a
Indi
a
Sin
gapo
re
Chi
na
Kor
ea
Thai
land
HK
UK
US
Japa
n
-2 2 6
Population Bank accounts MF accounts Demat accounts (millions)
1,237 703 48 20
Large part of the population remains unbanked
FOR PROFESSIONAL INTERMEDIARIES ONLY
Favorable demographics
80 60 40 20 0 20 40 60 80
0-4 5-9
10-14 15-19 20-24 25-29 30-34 35-39 40-44 45-49 50-54 55-59 60-64 65-69 70-74 75-79 80-84 85-89 90-94 95-99 100+ Male Female
80 60 40 20 0 20 40 60 80
0-4 5-9
10-14 15-19 20-24 25-29 30-34 35-39 40-44 45-49 50-54 55-59 60-64 65-69 70-74 75-79 80-84 85-89 90-94 95-99 100+ Male Female
Source: CLSA Research
The baby boomer period is just getting underway
India population distribution by age (mn) China population distribution by age (mn)
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9
-
100
200
300
400
500
600
-
20
40
60
80
100
120
140
160
FY96
FY97
FY98
FY99
FY00
FY01
FY02
FY03
FY04
FY05
FY06
FY07
FY08
FY09
FY10
FY11
FY12
FY13
$ bn
$bn
Projects stalled New Projects Announced (RHS)
Infrastructure Bottlenecks
Source: Citi
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Fiscal Deficit is Under Control
Fiscal Deficit
0
1
2
3
4
5
6
7
FY00 FY02 FY04 FY06 FY08 FY10 FY12 FY14 FY16
Return to fiscal prudence
% of GDP Fiscal stimulus post the crisis Fiscal prudence
} India has always had a high fiscal deficit, but the deficit ballooned post 2008 due to consumption-oriented government spending and lower revenues due to slow growth.
} However, the government has returned back to the path of fiscal prudence starting Sep 2012 by cutting back on spending and hiking diesel prices. Fiscal deficit in FY13 at 4.9% of GDP was better than budgeted (5.1%).
} In FY14, rationalizing of spending, austerity measures and increased tax compliance is likely to help keep the fiscal deficit in check at 4.8% of GDP.
} The government is committed to lowering the fiscal deficit to 3% of GDP by FY17. Structural reforms such as the Goods and Services Tax and the Direct Cash transfer will help bring down the fiscal deficit in the medium term.
} Hence, risks from the fiscal deficit – a pre-dominant concern over the last 5 years - have receded.
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Source: Nomura
• Source: CEIC and Nomura Global Economics estimates.
Current Account Deficit: Worst is Behind Us
11
} INR deprecation - a medium term positive
Along with a fiscal deficit, India has also historically had a current account deficit. INR deprecation along with weak domestic demand has helped narrow the current account deficit. A weak INR/USD should boost export competitiveness and lead to import substitution thus reducing the trade deficit (J-curve effect).
} Lower gold import bill
Controls on Gold imports should reduce the gold import bill significantly. Gold accounts for around 9% of India’s total imports
} Financing concerns have also eased
RBI has been able to gather more than USD18bn through the swap window for FCNR(B) and Tier-I Banking Capital window
Further FII equity has seen strong inflows since September (~USD 5.7bn Sep 2013-till date)
} Structural reforms an added positive
Government’s decision to gradually deregulate diesel prices should help rationalize domestic energy demand and thus reduce oil imports.
Therefore, we expect the current account deficit to moderate from 4.8% of GDP in FY13 to 2.5% in FY14 and stabilize around 3.0% by FY15.
-6
-5
-4
-3
-2
-1
0
1
2
3
FY01 FY02 FY03 FY04 FY05 FY06 FY07 FY08 FY09 FY10 FY11 FY12 FY13 FY14
% of GDP Current account balance
FOR PROFESSIONAL INTERMEDIARIES ONLY
Source: Nomura
Growth in large part is funded by saving
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109 112 134 179234 279 328
456392
460544 585
668769
884
1018
1171
1346
1548
1780
FY01 FY02 FY03 FY04 FY05 FY06 FY07 FY08 FY09 FY10 FY11 FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY20
Cumulative saving:
US$2.7trillion
Source: Motilal Oswal
At 40% of GDP, decadal saving would exceed $10t till 2020
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Key Catalysts Going Forward
India Inflation Trend
Source: CEIC, Morgan Stanley Research.
India Inflation Remains High… Expected to Decelerate as Food Prices Soften
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-2%
3%
8%
13%
18%
Dec-06 Dec-07 Dec-08 Dec-09 Dec-10 Dec-11 Dec-12 Dec-13
Headline CPI (IW) Headline WPI Food Inflation
YoY%
9.9%
6.2%
9.0%
CPI and WPI Decelerated sharply in December mainly on account of falling food inflation
India Inflation Trend
Source: CEIC, Morgan Stanley Research.
India Inflation Remains High… Expected to Decelerate as Food Prices Soften
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-2%
0%
2%
4%
6%
8%
10%
12%
14%
Nov-06 Nov-07 Nov-08 Nov-09 Nov-10 Nov-11 Nov-12 Nov-13
Headline WPI
Headline CPI - new index
YoY%
7.5%
11.2%
December WPI: 6.2%
December CPI: 9.9%
Source: GDP figures are Q3 CY 2013 numbers. CEIC, Morgan Stanley Research. For India policy rate is taken as Marginal Standing Facility Rate (MSF), as caps on liquidity available at repo rate have led to inter bank call rate to trade near MSF rate
AXJ Comparison - Policy Rates vs. Real GDP
FOR PROFESSIONAL INTERMEDIARIES ONLY
0
1
2
3
4
5
6
7
8
9
China Hong Kong India Indonesia Korea Malaysia Singapore Taiwan Thailand
Real GDP YoY% Policy Rates
India has room to cut interest rates to jump start the economy should inflation ease
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EPS CAGR
17
0
3
6
9
12
15
18
Mexico Brazil India South Africa Turkey Indonesia China Russia
EPS CAGR of around 15% between 2013 to 2016 (%)
Source: Bloomberg estimates. All data is based on MSCI Index of relevant country
} Corporate earnings have grown by an average rate of 7% for the past 5 years
} This is well below the long term earnings growth of 15%
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Sensex 20 Year EPS CAGR: 15%
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Source: MOSL. Internal.
81 129 181 250 266 291 278 280 216 236 272
348 450 523
718 833 820 834
1,024 1,123 1,184
1,317
1,518
1,766
FY93
FY94
FY95
FY96
FY97
FY98
FY99
FY00
FY01
FY02
FY03
FY04
FY05
FY06
FY07
FY08
FY09
FY10
FY11
FY12
FY13
FY14
E
FY15
E
FY16
E
FY93-96: 45% CAGR
FY96-03: 1% CAGR
FY03-08: 25% CAGR
FY08-14: 8% CAGR
FY14-16E: 16% CAGR
FY93-FY13: 14% CAGR
P/E: Valuations Below Historical Averages
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Current Premium: 22%
-25%
0%
25%
50%
75%
100%
125%
150%
175%
200%
Premium/Discount to MSCI EM
Average Premium of 43%
Low Premium: 0% in March 2009
Source: MSCI EM Source is Bloomberg.
High Premium: March 2006
} India usually trades at a premium valuations to other EM countries
} Currently, the P/E is trading below the average premium levels
FOR PROFESSIONAL INTERMEDIARIES ONLY
Valuation Snapshot
Sensex 1 Year Forward P/E
Source: MOSL; as on December, 2013
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14.4
24.6
15.0
8.3
7
12
17
22
27
Dec
-98
Dec
-99
Dec
-00
Dec
-01
Dec
-02
Dec
-03
Dec
-04
Dec
-05
Dec
-06
Dec
-07
Dec
-08
Dec
-09
Dec
-10
Dec
-11
Dec
-12
Dec
-13
Sensex P/E (x) Peak(x) Avg(x) Min(x)
21
Gap Between RoE and Interest Rates Near 10 Year Low
Source: MOSL Research
20.4 21.3
23.4 24.2 24.0 22.8
19.0
15.3 16.9 17.1 16.6
FY03 FY04 FY05 FY06 FY07 FY08 FY09 FY10 FY11 FY12 FY13
Sensex ROE (%)
13.5
15.9 17.2 17.1
16.2 14.9
11.3
8.0 9.0 8.7 8.4
6.9
5.4
6.2 7.1
7.8 7.9
7.6 7.2
7.9 8.4 8.2
FY03 FY04 FY05 FY06 FY07 FY08 FY09 FY10 FY11 FY12 FY13
Difference RoE -‐ G-‐Sec 10 Year G-‐Sec (%) Average -‐ RHS
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22
Market returns Vs. Starting P/E
(60)
(40)
(20)
0
20
40
60
80
<10x 10-12 12-14 14-16 16-19 19-22 >22
Avg. 1 yr return
Median 1 yr return Current PE is 13.9x
% 1 yr return
Sensex PE at start of period
Historical analysis suggest that investing at current levels has generally yielded double digit returns in the equity market
P/E – Price/Earnings; Source: CLSA, data since 1992 for BSE Sensex Index
FOR PROFESSIONAL INTERMEDIARIES ONLY
Election / Parliament Session Calendar
23
Year State Elections Scheduled
Mar-May 2014 Budget Session
May-14 Andhra Pradesh
May-14 Orissa
May-14 Sikkim
May-14 General Elections
FOR PROFESSIONAL INTERMEDIARIES ONLY
Key event in 2014
INR REER - Oversold
24
Source: RBI, CEIC, IMF, Morgan Stanley Research. Data As on Jan 2014
FOR PROFESSIONAL INTERMEDIARIES ONLY
95
100
105
110
115
120
Jan-
01
Nov
-01
Sep-
02
Jul-0
3
May
-04
Mar
-05
Jan-
06
Nov
-06
Sep-
07
Jul-0
8
May
-09
Mar
-10
Jan-
11
Nov
-11
Sep-
12
Jul-1
3
MS REER on CPI (30 country)
10 Year Average
Index Jan 2001=100
Mean + St Dev
Mean - St Dev
INR has outperformed other EM currencies Since Sep-13
Source: Bloomberg, Morgan Stanley Research
Trend In EM Currencies
FOR PROFESSIONAL INTERMEDIARIES ONLY
- 18.7%
- 16.0% - 15.8%
- 10.8%
- 8.3%
-20% -18% -16% -14% -12% -10% -8% -6% -4% -2% 0%
Indian Rupee Indo Rupiah Brazilian Real Turkish Lira S. African Rand
Currency Performance Between May 22 to Low Point in Aug / Sep
Negative shows depreciation
- 4.9% - 4.5% - 2.2%
2.4%
9.7%
-6% -4% -2% 0% 2% 4% 6% 8%
10% 12%
Indo Rupiah Turkish Lira S. African Rand Brazilian Real Indian Rupee
Currency Performance From Low Point in Aug / Sep to Present
Positive shows appreciation
25
EM & India
MSCI EM Composition
27
DESC Country index weight
GDP (USD % billion) % of EM GDP
CHINA 19.5% 8,939 39% KOREA 15.8% 1,198 5% TAIWAN 11.7% 485 2% BRAZIL 10.5% 2,190 10%
SOUTH AFRICA 7.3% 354 2% INDIA 6.5% 1,758 8%
RUSSIA 6.0% 2,118 9% MEXICO 5.5% 1,327 6%
MALAYSIA 3.9% 312 1% INDONESIA 2.4% 867 4% THAILAND 2.2% 401 2% POLAND 1.7% 514 2%
CHILE 1.6% 282 1% TURKEY 1.5% 822 4%
COLOMBIA 1.0% 369 2% PHILIPPINES 0.9% 272 1%
GREECE 0.5% NA NA PERU 0.4% 210 1%
HUNGARY 0.3% 131 1% CZECH REPUBLIC 0.2% 199 1%
EGYPT 0.2% 262 1%
Source: Morgan Stanley. GDP is IMF 2013e
India ranks 6th on the basis of weight within MSCI EM Index, while it ranks 4th on the basis of GDP
India has a 6.5% weight on the basis of Market Cap (within MSCI EM Index) compared to its GDP contribution of 8.0%
FOR PROFESSIONAL INTERMEDIARIES ONLY
MSCI India – Well Diversified vs. Other EMs
28
EM India China Brazil Korea Taiwan South Africa Russia
Energy 11.1% 12.0% 13.6% 14.4% - 0.7% 10.5% 55.3%
Materials 9.6% 6.3% 3.1% 17.6% 9.5% 12.1% 10.8% 7.9%
Industrials 6.5% 4.2% 6.6% 4.8% 11.7% 3.3% 3.9% -
Cons disc 8.9% 6.4% 5.3% 4.9% 17.6% 4.9% 23.5% -
Consumer staples 8.6% 10.8% 6.1% 17.3% 4.9% 2.8% 5.4% 6.9%
Healthcare 1.7% 7.0% 1.6% 0.7% 0.7% 0.1% 6.1% 19.4%
Financials 26.7% 23.1% 37.9% 29.1% 14.0% 18.3% 26.1% 9.2%
Info tech 16.2% 24.3% 11.6% 3.1% 36.7% 52.8% - -
Telecoms 7.4% 2.5% 10.4% 3.1% 0.9% 4.9% 13.9% 1.2%
Utilities 3.4% 3.6% 3.8% 5.0% 1.8% - - -
1. India has a very well diversified index in terms of sector concentration.
2. India has a better domestic and global sector balance with about equal weight between the two.
3. The large domestic economy lowers India’s risk in the event of any global crisis.
Source: Morgan Stanley
FOR PROFESSIONAL INTERMEDIARIES ONLY
1993-2008 – India Outperformed Significantly
29
0
100
200
300
400
500
600
700
800
1993 1997 2001 2005
MSCI India MSCI EM MSCI World
CAGR % (USD) MSCI India MSCI EM MSCI World
1993-2008 +13.5% 9.6% 8.2%
FOR PROFESSIONAL INTERMEDIARIES ONLY
Source: Credit Suisse
2008-2013 – India Underperformed
30
20
40
60
80
100
120
2008 2012
MSCI India MSCI EM MSCI World
} Currency depreciation has been a key driver of underperformance
} Domestic factors like slower policy decision making, inflation, CAD and FD are other important factors which impacted growth and
market performance
CAGR % (USD) MSCI India MSCI EM MSCI World
2008-2013 -8.0% -3.6% +0.2%
FOR PROFESSIONAL INTERMEDIARIES ONLY
Source: Credit Suisse
Rising US Bond Yields Have Historically Been Positive for EM/India
31
- 1.0 2.0 3.0 4.0 5.0 6.0 7.0 8.0 9.0 10.0
-
5,000
10,000
15,000
20,000
25,000 M
ay-9
2
May
-93
May
-94
May
-95
May
-96
May
-97
May
-98
May
-99
May
-00
May
-01
May
-02
May
-03
May
-04
May
-05
May
-06
May
-07
May
-08
May
-09
May
-10
May
-11
May
-12
May
-13
US
yields (%) S
ense
x
Sensex US 10 yr yields
} Periods of rising US bond yields have historically been the periods of best returns for India and other EM equities
} Rising yields indicate a global economy returning to normalcy which should augur well for EM and Indian growth too
} This should also lead to increased risk appetite for investors leading to reallocation of money from the 'safety' trade of the past few years
Source: Ambit Capital. Average returns for Sensex, S&P500 and MSCI EM in the grey regions (of rising US Bond yields) versus average returns in all periods since 92 on a quarterly basis. While the Sensex has delivered 3.1% on average per quarter in all periods since '92, it has delivered 8.6% average per quarter in these grey regions. Similarly EMs have delivered 2.3% on average per quarter in all periods since '92, while they have delivered 7.7% average per quarter in these grey regions.
FOR PROFESSIONAL INTERMEDIARIES ONLY
Risks
Risks
} Inflation – Despite recent moderation, CPI and WPI are at elevated levels
} Political risk and election outcome
} Oil prices: India imports ~85% of its oil requirement yearly
} Twin Deficits: Fiscal Deficit and Current Account Deficit (CAD) - though there has been some improvement recently
} Rupee Depreciation
} Global macro/pace of taper
33 FOR PROFESSIONAL INTERMEDIARIES ONLY
Summary
34
} GDP growth will hit a trough in the December 2013 or March 2014 quarter
} This will coincide with the national elections scheduled in May, which we believe will play a pivotal role in the trajectory of growth over the medium term
} We expect earnings growth to pick up after 5 years of sub-par growth and average 15% for the next couple of years
} The mix of the market is shifting towards “value” and we believe that the differential between the top quintile and the bottom quintile stocks will converge after almost 5 years of divergence
FOR PROFESSIONAL INTERMEDIARIES ONLY
Disclaimer
• BlackRock Investment Management (UK) Limited is authorised and regulated by the Financial Services Authority. Registered office: 12 Throgmorton Avenue, London, EC2N 2DL. Registered in England No. 2020394. Tel: 020 7743 3000. Tel: 020 7743 3000. For your protection, telephone calls are usually recorded. BlackRock is a trading name of BlackRock Investment Management (UK) Limited.
• This information can be distributed in and from the DIFC by BlackRock Advisors (UK) Limited - Dubai Branch which is regulated by the Dubai Financial Services Authority (“DFSA”) and is only directed at 'Professional Clients' and no other person should rely upon the information contained within it. Neither the DFSA or any other authority or regulator located in the GCC or MENA region has approved this information.
• This information and associated materials have been provided to you at your express request, and for your exclusive use. This document is not intended for distribution to, or use by, any person or entity in any jurisdiction or country where such distribution would be unlawful under the securities laws of such. Any distribution, by whatever means, of this document and related material to persons other than those referred to above is strictly prohibited.
• Past performance is not a guide to future performance. The value of investments and the income from them can fall as well as rise and is not guaranteed. You may not get back the amount originally invested. Changes in the rates of exchange between currencies may cause the value of investments to diminish or increase. Fluctuation may be particularly marked in the case of a higher volatility fund and the value of an investment may fall suddenly and substantially. Levels and basis of taxation may change from time to time.
• Any research in this document has been procured and may have been acted on by BlackRock for its own purpose. The results of such research are being made available only incidentally. The views expressed do not constitute investment or any other advice and are subject to change. They do not necessarily reflect the views of any company in the BlackRock Group or any part thereof and no assurances are made as to their accuracy. This document is for information purposes only and does not constitute an offer, advice or invitation to anyone to invest in any BlackRock funds and has not been prepared in connection with any such offer. Subject to the express requirements of any client-specific investment management agreement or provisions relating to the management of a fund, we will not provide notice of any changes to our personnel, structure, policies, process, objectives or, without limitation, any other matter contained in this document. The information contained in this material is confidential and may not be reproduced or circulated beyond the intended recipients without the prior consent of the BlackRock Legal and Compliance department
• © 2012 BlackRock Investment Management (UK) Limited. All rights reserved. Calls may be monitored or recorded.
• This presentation is intended solely for specific category of audience and the same shall not be reproduced, distributed or published, in whole or in part to large audience, for any purpose whatsoever without prior written consent.
• In this material DSP BlackRock Investment Managers Pvt. Ltd. (the AMC) has used information that is publicly available, including information developed in-house. Information gathered and used in this material is believed to be from reliable sources. The AMC however does not warrant the accuracy, reasonableness and / or completeness of any information.
• For scheme risk factors and other details, please read the Scheme Information Document, Statement of Additional Information and Key Information Memorandum available on the AMC website www.dspblackrock.com.
• All figures and other data mentioned in this material (unless otherwise specified) are as on 26th November, 2013 and the same may or may not be relevant in future. The data or figures mentioned in this material shall not be construed as indicative yields/returns/guarantee any performance of any of the Schemes of DSP BlackRock Mutual Fund.
• Past performance may or may not be sustained in the future.
• Mutual Fund investments are subject to market risks, read all scheme related documents carefully.
35
Disclaimer Cont…
• BlackRock Investment Management (UK) Limited is authorised and regulated by the Financial Services Authority. Registered office: 12 Throgmorton Avenue, London, EC2N 2DL. Registered in England No. 2020394. Tel: 020 7743 3000. Tel: 020 7743 3000. For your protection, telephone calls are usually recorded. BlackRock is a trading name of BlackRock Investment Management (UK) Limited.
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• Past performance is not a guide to future performance. The value of investments and the income from them can fall as well as rise and is not guaranteed. You may not get back the amount originally invested. Changes in the rates of exchange between currencies may cause the value of investments to diminish or increase. Fluctuation may be particularly marked in the case of a higher volatility fund and the value of an investment may fall suddenly and substantially. Levels and basis of taxation may change from time to time.
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• Any research in this document has been procured and may have been acted on by BlackRock for its own purpose. The results of such research are being made available only incidentally. The views expressed do not constitute investment or any other advice and are subject to change. They do not necessarily reflect the views of any company in the BlackRock Group or any part thereof and no assurances are made as to their accuracy. This document is for information purposes only and does not constitute an offer, advice or invitation to anyone to invest in any BlackRock funds and has not been prepared in connection with any such offer. Subject to the express requirements of any client-specific investment management agreement or provisions relating to the management of a fund, we will not provide notice of any changes to our personnel, structure, policies, process, objectives or, without limitation, any other matter contained in this document. The information contained in this material is confidential and may not be reproduced or circulated beyond the intended recipients without the prior consent of the BlackRock Legal and Compliance department
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