Monthly Investment Update: ULIP May, 2011 NewsletterMay 11.pdf*Please note that Unit Plus III,...

1

2008

SBI Life has a variety of unit linked products with different funds which gives you flexibility to choose your investment pattern to generate market linked returns according to your risk appetite.

SSBBII LLiiffee UULLIIPP FFUUNNDDSS

Fund Names

Products*

SBI Life - Unit Plus

Super

SBI Life – Smart

Performer

SBI Life – Saral Maha

Anand

SBI Life – Smart

Scholar

SBI Life – Smart Elite

SBI Life – Smart

Horizon

SBI Life – Smart

Pension

SBI Life – Smart

Wealth Assure

Equity

Bond

Money Market

Growth

Balanced

Equity Optimiser

Index

Top 300

P/E Managed

Daily Protect

Daily Protect II

Equity Elite Fund II

Guaranteed Pension Fund (GPF)

Return Guarantee Fund (RGF)

*Please note that Unit Plus III, Horizon III, Maha Anand II, Unit Plus Elite II, Unit Plus II Child, Unit Plus III Pension, Horizon III Pension & Smart ULIP (Series II) are withdrawn w.e.f 1 September 2010. However the various funds under these products are still in force.

ULIPU N I T L I N K E D P R O D U C T S F R O M S B I L I F E I N S U R A N C E C O . L T D .Monthly Investment Update: Volume 4, Issue 2 May, 2011

2

DEBT MARKET REVIEW AND OUTLOOK

MARKET REVIEW

Yields rose sharply during the month as India’s central bank stepped up its fight against the high inflation, by

raising interest rates by a bigger than expected 50 basis points (bps). Further the statements were hawkish and

RBI was more determined to battle price pressures even at the cost of some economic growth. The Gsec

borrowing calendar for the May was also higher compared to April that further puts pressure on the G-sec

yields.

Corporate bonds yields mirrored their Gsec counter parts amidst supplies from large PSU issuers viz. Indian

Railway Finance Corporation, Power Grid Corporation, Power Finance Corporation and MRF Ltd. Liquidity

conditions were comfortable during the month.

Key rate movements during the month are as under:

Instrument May '11 April '11 Mar ’11 Change YTD

Change (MOM)

10 Yr Gsec 8.41% 8.13% 7.98% 0.43% 0.28% 30 Yr Gsec 8.66% 8.50% 8.36% 0.30% 0.16%

3 Yr AAA Bond 9.75% 9.55% 9.32% 0.43% 0.20% 5 Yr AAA Bond 9.65% 9.29% 9.14% 0.51% 0.36% 10 Yr AAA Bond 9.70% 9.32% 9.11% 0.59% 0.38%

364 Days Treasury Bill 8.32% 7.75% 7.58% 0.74% 0.57% 91 Days Treasury Bill 8.19% 7.45% 7.23% 0.96% 0.74%

1 Yr Certificate of Deposit 10.10% 9.75% 9.60% 0.50% 0.35% Crude $/barrel 103$ 114$ 100$ 3$ -11$

(Source: Bloomberg, Reuters & RBI)

Macro Indicators: RBI turns aggressive with a 50 bps policy rate hike as inflation continues to threaten growth

Index of Industrial output grew at 7.3% year-on-year (y-o-y) in March almost double of what

economists were expecting in their consensus estimates. Manufacturing rose by 7.9% y-o-y which

was the highest since October 2010. Electricity output was also quite strong at 7.19% and mining grew

by 0.21% y-o-y. Capital Goods sector which was dragging Index of Industrial Production (IIP) for the

last few months grew at a double digit pace to stoke up the IIP number in March. . The core sector

growth came in at 5.2% in April against 7.4% in March. The IIP number needs to start coming stronger

in order for India to achieve close to the 8.5-9% GDP growth in FY 12

May, 2011

3

The April inflation came in at 8.66% against the consensus estimate of 8.35% owing to a 1.1% month-

on-month (m-o-m) rise in manufacturing prices clearly indicating that the spill-over is happening from

food prices and other indices like input and output prices components of the HSBC India Purchasing

Manager’s Index (PMI) also foretell more price pressures going forward. The overall expectations are

still way too high at around 13% which needs to be arrested.

India’s trade deficit narrowed to $ 5.6 bn in March, with exports growing at a strong 46%. The year FY

11 ended with exports clocking $245 bn. The current account deficit for FY 11 came at 2.5% of GDP

when there were strong fears of the figure approaching 3.5%.

Bank deposits in the latest fortnight of FY12 rose by 3247 cr and are currently growing at 17.38%.

Credit growth fell by 5271 cr and the current growth rate of loans and disbursals is 22.28%.

Indian GDP grew at the slowest pace in the last 5 quarters in Q4 FY 11 at 7.8%. The full year GDP was

revised 8.5% from the earlier estimate of 8.6%. The slowdown has been owing to the dragging effect

of higher interest rates and with much of the rate hikes yet to trickle down to the consumers and

business houses, more pull down can be expected as we go further into FY 12

Source: Bloomberg, Reuters & RBI

Global News: US data points to probable economic sluggishness; Euro Zone follows up with sovereign debt worries

The US non farm payrolls rose by just 54,000 against an expectation of around 1,60,000 which was the lowest

in the last 7 months and led to unemployment rise back to 9.1% in May. The Institute of supply Management

(ISM) manufacturing index also decline by a huge margin of 6 points which is one of the largest in history. Even

the US long term credit rating is under the scanner according to reports by Moody’s Investor Services. When

the collective data from the US is as negative as this it does lead to a US and thereafter a global flight to safety

as investors start moving funds from riskier assets to sovereign bonds. The major announcement that the

market is looking out for is the possible mention of QE-3 and is that does happen one can expect equities and

commodities. The Euro zone also has been through some hapless economic releases as the Market PMI fell to

a seven month low. Greece has announced that it is ready to further its austerity plans in order to get some

favorable sovereign debt restructuring moves by the European Central Bank (ECB).

Source: Bloomberg, Reuters

May, 2011

4

OUTLOOK

The latest round of economic data for India has been giving that cushion, preventing Gsec yields from rising

higher. The Q4 GDP of FY 11 was the lowest in the last 5 quarters at 7.8% and even the first quarter of FY 12 is

expected to be soft owing to an industrial sector slackening and also because the positive impacts of monsoon

would be felt only beyond the month of July. The economic scenario in the US is still one of feeble growth and

this has been pulling long term U .S . Treasury (UST) yields and now is trading below 3%. Though correlations

are not strong enough the UST yields do tend to have a similar impact on our Gsec yields. Global commodity

prices have also come off from the recent peaks. Recent comments from Finance Ministry Source suggest that

government is not comfortable with 10 year Gsec trading at higher levels and the Finance Ministry may

intervene if yields rise significantly.

Gsec yields have spiked since the beginning of this financial year, going ahead expectation of slowdown in

global and domestic growth, fall in commodity prices will weigh on Gsec yields. The only major risk from here

is fiscal slippage and consequently higher Gsec supplies. We believe the 10 year benchmark should trade in the

range of 8.20% to 8.40%.

EQUITY OUTLOOK Results reported by corporate India confirmed market fears of margin and growth pressure. Nifty and Sensex

both remained sluggish and fell 3.29% during the month of May, 2011 confirming the fear that it had been

showing in anticipation of bad results. Sensex closed at 18,503.

Markets under performed developed and the other emerging markets in the region. Fear of inflation, interest

rate hike and hike in prices of petroleum products loomed large in the minds of investors.

Foreign Institutional Investors (FII) sold stocks worth USD 1.5 billion and Indian Mutual funds bought stocks

worth USD 80 million.

One of the important developments during the month was the indirect strength that the ruling Congress

derived from the defeat of Left in important state elections. Trinamol congress led by Ms. Mamta Benerjee

and ruling congress party won in Kerala and Assam elections.

GDP growth rate for the financial year 2011 came in at 8.5%. This was slightly below expectation of 8.6%.

Fiscal deficit number for the FY 2011 came at 4.7%, lower than estimated 5.1%.

May, 2011

5

Growth rate in IIP (@ 7.3% in March) and Core sector (7.4% in March) were above expectations. Steady growth

in inflation prompted RBI to increase reverse repo (or interest rate) by 50 bps to 7.5%.

With most of the important results being behind, market participants would start watching closely the

progress of monsoon. However, it is important to note that the series of interest rate hike to tame inflation

would possibly continue for some more time. Given this, it may be difficult to say that we are at the bottom.

We therefore would continue to hold a cautious view.

Disclaimer:

1) This newsletter only gives an overview of economy and should not be construed as financial advice 2) SBI Life Insurance Co. Ltd however makes no warranties, representations, promises or statements that

information contained herein are correct and accurate. Please consult your Advisor/Consultant before making the investment decision

3) The Company reserves the right to close or add existing / new fund option subject to IRDA approval. 4) Company shall select the investments, including derivatives and units of mutual funds, by each fund at its

sole discretion subject to the investment objectives of the respective plan and the IRDA regulations.

May, 2011

6

INVESTMENT STYLE & FUND PERFORMANCE* As on 31st May 2011

Equity Fund

INVESTMENT STYLE

To provide high equity exposure targeting higher returns in the long term. The fund has the following asset

class allocation strategy:

Assets of Equity Fund Minimum Maximum Risk Actual Asset Mix

(As on 31 Mar 11)

Equity 80% 100%High

91.61%

Debt & Money Market Instruments 0% 20% 8.39%

FUND PERFORMANCE

Returns From

1 April 11 1 yr 2 yrs 3 yrs 4 yrs 5 yrs

Since Inception

(10 Jan 05)

Equity Fund -3.47% 10.46%

16.05%

5.90%

7.48%

12.78%

23.57%

Benchmark - NIFTY -4.69%

9.32%

11.79%

4.52%

6.66%

12.60%

17.51%

Bond Fund

INVESTMENT STYLE To provide relatively safe and less volatile investment option mainly through debt instruments and

accumulation of income through investment in fixed income securities. The fund has the following asset class

allocation strategy:

Assets of Bond Fund Minimum Maximum Risk Actual Asset Mix

(As on 31 Mar 11)

Debt Instruments 60% 100% Low to

Medium

75.12%

Money Market Instruments 0% 40% 24.88%

FUND PERFORMANCE

Returns From


Since Inception

(10 Jan 05)

Bond Fund 0.69%

4.92%

6.49%

9.40%

9.74%

9.42%

8.59%

Benchmark – CRISIL CompBex 0.37% 4.09%

4.40%

5.85%

6.31%

5.78%

5.43%

May, 2011

*i) Returns less than or equal to one year are absolute returns. Returns greater than a year are in terms of Compound Annual Growth Rate (CAGR)

ii) Past performance of any of the funds is not indicative of their future prospects or returns

7

Growth Fund

INVESTMENT STYLE Long-term capital appreciation through investment primarily in equity and equity related instruments with a

small part invested in debt and money market for diversification and risk reduction.

The fund has the following asset class allocation strategy:

Assets of Growth Fund Minimum Maximum Risk Actual Asset Mix

(As on 31 Mar 11)

Equity 40% 90% Medium

to High

74.61%


FUND PERFORMANCE

Returns From

1 April 11 1 yr 2 yrs 3 yrs 4 yrs

5 yrs

Since

Inception

(24 Nov 05)

Growth Fund -3.09%

6.44%

9.66%

0.92%

3.42%

8.40%

14.48%

Benchmark – Nifty (70%)

CompBex (30%)

-3.17%

7.75%

9.58%

-0.34%

2.87%

9.36%

11.49%

Balanced Fund

INVESTMENT STYLE To provide accumulation of income through investment in both equities and fixed income securities with an

attempt to maintain a suitable balance between return and safety. The fund has the following asset class


Assets of Balanced Fund Minimum Maximum Risk Actual Asset Mix

(As on 31 Mar 11)

Equity 40% 60%Medium

47.64%


FUND PERFORMANCE

Returns From


Since Inception

(5 Dec 05)

Balanced Fund -1.26%

5.81%

8.94%

6.38% 8.96%

11.35%

12.35%


CompBex (50%)

-2.16%

6.70%

8.10%

3.55%

5.68%

9.30%

10.29%

May, 2011

8

Equity Optimiser Fund

INVESTMENT STYLE To provide equity exposure targeting higher returns through long term capital gains.


Assets of Equity Optimiser Fund Minimum Maximum Risk Actual Asset Mix

(As on 31 Mar 11)

Equity 60% 100%High

86.11%


FUND PERFORMANCE

Returns From

1 April 11 1 yr 2 yrs 3 yrs

Since Inception

(21 Jan 08)

Equity Optimiser Fund -3.92%

7.84%

12.71%

6.24%

6.11%

Benchmark – Nifty (80%) LiquiFEX (20%) -3.50%

8.83%

10.43%

1.30%

-0.87%

Index Fund

INVESTMENT STYLE To provide returns closely corresponding to returns of NSE, S&P CNX Nifty Index, though investment

regulations may restrict investment in group companies and some large cap companies listed on the Nifty

Index leading to higher tracking error. The fund has the following asset class allocation strategy:

Assets of Index Fund Minimum Maximum Risk Actual Asset Mix

(As on 31 Mar 11)

Equity 90% 100%High

92.71%

Money Market Instruments & Cash 0% 10% 7.29%

FUND PERFORMANCE

Returns From

1 April 11 1 yr

Since Inception

(7 Jan 2010)

Index Fund -4.15%

10.03%

5.42%

Benchmark – Nifty -4.69%

9.32%

4.01%

May, 2011

9

Top 300 Fund

INVESTMENT STYLE To provide long term capital appreciation by investing in stocks of top 300 companies in terms of market

capitalization on the National Stock Exchange. The fund has the following asset class allocation strategy:

Assets of Top 300 Fund Minimum Maximum Risk Actual Asset Mix

(As on 31 Mar 11)

Equity 60% 100%High

68.51%


FUND PERFORMANCE

Returns From

1 April 11 1 yr

Since Inception

(7 Jan 2010)

Top 300 Fund -1.66%

7.16%

12.78%


8.83%

4.40%

P/E Managed Fund

INVESTMENT STYLE To provide long term capital appreciation through dynamic asset allocation with reference to forward Price

Earning (P/E) multiple. The allocation to equity and equity related instruments is determined largely by

reference to forward Price Earning (P/E) multiple on the NSE, S&P, CNX Nifty Index and remaining fund is

invested in debt instruments, money market & cash. The fund has the following asset class allocation strategy:

Forward P/E Bands Asset Allocation

Risk Equity & Equity Related Instruments

Debt, Money Market Instruments & Cash

<12 90% to 100% 0% to 10% High 12 ≥ and < 15 80% to 100% 0% to 20%

15 ≥ and < 18 60% to 90% 10% to 40%18 ≥ and < 21 40% to 80% 20% to 60%

≥ 21 0% to 50% 50% to 100%

Actual Asset Mix (As on 31 Mar 11)

Equity: 70.08% Debt, Money Market Instruments & Cash: 29.92%

FUND PERFORMANCE

Returns From

1 April 11

Since Inception

(8 Sep 2010)

P/E Managed Fund -3.62% -1.18%

Benchmark –NA NA NA

May, 2011

10

Daily Protect Fund

INVESTMENT STYLE To provide NAV protection using the CPPI methodology. The asset allocation is dynamically rebalanced to give

a guarantee^ of 105% of the highest NAV in the built-up phase. The fund has the following asset class


Assets of Daily Protect Fund Min Max Risk Actual Asset Mix (As on 31 Mar 11)

Equity & Equity Related Instruments 0% 100% Low to

Medium

76.95%


^The Guaranteed NAV shall be available only at maturity and shall be subject to the Policy being in force till the maturity date. Guarantee charge of 0.50% p.a. of Daily Protect Fund value, would be recovered from the fund (through cancellation of units) to provide the NAV guarantee. FUND PERFORMANCE

Returns From 1 April 11 Since Inception

(6 Sep 2010)

Daily Protect Fund -2.86%

-4.21%


Equity Elite Fund II

INVESTMENT STYLE To provide high equity exposure targeting higher returns in the long run. The fund has the following asset class


Assets of Equity Elite Fund II Minimum Maximum Risk Actual Asset Mix

(As on 31 Mar 11)

Equity 60% 100%High

75.75%


FUND PERFORMANCE

Returns From

1 April 11 1 yr Since Inception

(10 Feb 2010)

Equity Elite Fund II -3.57%

10.83%

8.37%

Benchmark – Nifty (80%) LiquiFex (20%) -3.50%

8.83%

11.40%

May, 2011

11

Equity Elite Fund

INVESTMENT STYLE

For long-term capital appreciation through higher exposure in equity and equity related instruments. The fund

has the following asset class allocation strategy:

Assets of Equity Elite Fund Minimum Maximum Risk Actual Asset Mix

(As on 31 Mar 11)

Equity & Equity Related Instruments 60% 100%High

87.11%


FUND PERFORMANCE

Returns From


Since Inception

(25 Feb 08)

Equity Elite Fund -4.36%

9.45%

13.58%

10.93%

12.17%


LiquiFEX (20%)

-3.50%

8.83%

10.43%

1.30%

-0.31%

FlexiProtect Fund

INVESTMENT STYLE To optimise returns and provide capital protection by adopting dynamic asset allocation plan. The fund has the

following asset class allocation strategy:

Assets of FlexiProtect Fund Minimum Maximum Risk Actual Asset Mix

(As on 31 Mar 11)


Medium

40.17%


FUND PERFORMANCE

Returns From

1 April 11 1 yr 2 yr

Since Inception

(8 March 09)

FlexiProtect Fund -1.18%

8.35%

10.76%

26.43%

Benchmark – NA NA NA NA NA

May, 2011

12

FlexiProtect Fund (Series II)

INVESTMENT STYLE To provide capital protection and optimum returns based on systematic asset allocation model. The fund has

the following asset class allocation strategy:

Assets of FlexiProtect Fund (Series II) Minimum Maximum Risk Actual Asset Mix

(As on 31 Mar 11)


Medium

73.77%


FUND PERFORMANCE

Returns From

1 April 11 1 yr

Since Inception

(8 Jan 2010)

FlexiProtect Fund (Series II) -2.40%

10.32%

11.40%

Benchmark – NA NA NA NA

Equity Pension Fund INVESTMENT STYLE To provide high equity exposure targeting higher returns in the long term. The fund has the following asset

class allocation strategy:

Assets of Equity Pension Fund Minimum Maximum Risk Actual Asset Mix

(As on 31 Mar 11)


95.01%


FUND PERFORMANCE

Returns From


Since Inception

(15 Jan 07)

Equity Pension Fund -4.35%

7.43%

11.21%

3.38%

6.25%

7.59%


9.32%

11.79%

1.56%

5.05%

5.61%

May, 2011

13

Bond Pension Fund INVESTMENT STYLE To provide relatively safe and less volatile investment option mainly through debt instruments and

accumulation of income through investment in fixed income securities. The fund has the following asset class


Assets of Bond Pension Fund Minimum Maximum Risk Actual Asset Mix

(As on 31 Mar 11)

Debt Instruments 60% 100% Low to

Medium

76.73%


FUND PERFORMANCE

Returns From


Since Inception

(16 Jan 07)

Bond Pension Fund 0.76%

4.88%

6.78%

8.27%

8.78%

8.82%

Benchmark – CRISIL CompBex 0.37%

4.09%

4.40%

5.85%

6.31%

5.95%

Growth Pension Fund

INVESTMENT STYLE To provide long-term capital appreciation through investments primarily in equity and equity related

instruments with a small part invested in debt and money market for diversification and risk reduction.


Assets of Growth Pension Fund Minimum Maximum Risk Actual Asset Mix

(As on 31 Mar 11)

Equity & Equity Related Instruments 40% 90% Medium

to High

75.63%


FUND PERFORMANCE

Returns From


Since Inception

(15 Feb 07)

Growth Pension Fund -2.95%

8.17%

12.78%

3.61%

7.70%

11.04%


CompBex (30%)

-3.17%

7.75%

9.58%

-3.15%

1.32%

2.35%

May, 2011

14

Balanced Pension Fund

INVESTMENT STYLE To provide accumulation of income through investment in both equities and fixed income securities with an

attempt to maintain a suitable balance between return and safety. The fund has the following asset class


Assets of Balanced Pension Fund Minimum Maximum Risk Actual Asset Mix

(As on 31 Mar 11)

Equity & Equity Related Instruments 40% 60%Medium

48.51%


FUND PERFORMANCE

Returns From


Since Inception

(21 Feb 2007)

Balanced Pension Fund -1.24%

5.90%

8.92%

7.85%

11.69%

14.00%


CompBex (50%)

-2.16%

6.70%

8.10%

3.55%

5.68%

6.20%

Equity Optimiser Pension Fund

INVESTMENT STYLE To provide equity exposure targeting higher returns (through long term capital gains). The fund has the

following asset class allocation strategy:

Assets of Equity Optimiser Pension Fund Minimum Maximum Risk Actual Asset Mix

(As on 31 Mar 11)


87.84%


FUND PERFORMANCE

Returns From


Since Inception

(21 Jan 2008)

Equity Optimiser Pension Fund -4.18%

8.23%

12.73%

6.26%

6.13%


8.83%

10.43%

1.30%

-0.87%

May, 2011

15

Index Pension Fund

INVESTMENT STYLE To provide returns closely corresponding to returns of NSE, S&P CNX Nifty Index, though investment

regulations may restrict investment in group companies listed on index leading to higher tracking error. The

fund has the following asset class allocation strategy:

Assets of Index Pension Fund Minimum Maximum Risk Actual Asset Mix

(As on 31 Mar 11)

Equity 90% 100%High

97.41%


FUND PERFORMANCE

Returns From

1 April 11 1 yr

Since Inception

(18 Jan 2010)

Index Pension Fund -4.12%

9.99%

8.45%


9.32%

3.93%

Top 300 Pension Fund

INVESTMENT STYLE To provide long term capital appreciation by investing in stocks of top 300 companies in terms of market

capitalization on National Stock Exchange. The fund has the following asset class allocation strategy:

Assets of Top 300 Pension Fund Minimum Maximum Risk Actual Asset Mix

(As on 31 Mar 11)

Equity 60% 100%High

72.30%


FUND PERFORMANCE

Returns From

1 April 11 1 yr

Since Inception

(18 Jan 2010)

Top 300 Pension Fund -1.93%

4.98%

9.88%


8.83%

4.35%

May, 2011

16

Money Market Fund

INVESTMENT STYLE To deploy the funds in liquid and safe instruments so as to avoid market risk on a temporary basis.


Assets of Money Market Fund Minimum Maximum Risk Actual Asset Mix

(As on 31 Mar 11)

Debt Instruments 0% 20%Low

0.14%


FUND PERFORMANCE

Returns From


Since Inception

(1 Feb 06)

Money Market Fund 1.12%

5.98%

5.50%

6.54%

6.28%

6.36%

6.31%

Benchmark – LiquiFEX 1.25%

6.91%

10.23%

NA NA NA NA

Money Market Pension Fund

To provide an option to deploy the funds in liquid and safe instruments so as to avoid market risk on a

temporary basis. The fund has the following asset class allocation strategy:

Assets of Money Market Pension Fund Minimum Maximum Risk Actual Asset Mix

(As on 31 Mar 11)

Debt Instruments 0% 20%Low

9.01%


FUND PERFORMANCE

Returns From


Since Inception

(20 Mar 08)

Money Market Pension Fund 1.37%

6.83%

5.29%

6.58%

6.52%

Benchmark - LiquiFEX 1.25%

6.91% 10.23%

NA NA

May, 2011

17

Guaranteed Pension Fund (GPF070211)^

INVESTMENT STYLE To maximise the investment return subject to a guaranteed return over a pre specified fixed period (till the last

vesting date of all policies invested in the fund). It aims to guarantee a reverse repo related return by investing

mostly in fixed income securities (debt instruments, money market instruments and cash) with maturities

close to the maturity date of the fund.

Assets of GPF Minimum Maximum Risk Actual Asset Mix

(As on 31 Mar 11)

Equity 0% 10%Low

0%

Debt &Money Market Instruments 90% 100% 100%

FUND PERFORMANCE

Returns From

1 April 11

Since Inception

(09 Feb 2011)

Guaranteed Pension Fund (GPF070211) 0.90%

1.58%

Benchmark –NA NA NA^The Guaranteed NAV is applicable only at maturity, and shall be further subject to the Policy being in force till

the Maturity Date. Guarantee Charge of 0.35% p.a. would be recovered from the Fund (through cancellation of

units) to provide the NAV Guarantee.

Daily Protect Fund II

INVESTMENT STYLE To provide NAV protection using the CPPI methodology. The asset allocation is dynamically rebalanced to give

a guarantee^ of 105% of the highest NAV in the built-up phase. The fund has the following asset class


Assets of Daily Protect Fund II Min Max Risk Actual Asset Mix (As on 31 Mar 11)


Medium

38.98%


^The Guaranteed NAV shall be available only at maturity and shall be subject to the Policy being in force till the maturity date. Guarantee charge of 0.50% p.a. of Daily Protect Fund II value, would be recovered from the fund (through cancellation of units) to provide the NAV guarantee. FUND PERFORMANCE

Returns From 1 April 11 Since Inception

(4 Mar 2011)

Daily Protect Fund II -3.81% 1.64%


May, 2011

18

Return Guarantee Fund (RGF)*

INVESTMENT STYLE To maximise the investment return subject to a guaranteed return over a pre specified fixed period (till the last

vesting date of all policies invested in the fund). It aims to guarantee a reverse repo related return by investing

mostly in fixed income securities (debt instruments, money market instruments and cash) with maturities

close to the maturity date of the fund.

Assets of RGF Minimum Maximum Risk Actual Asset Mix (As on 31 Mar 11)

Equity 0% 10% Low

Debt &Money Market Instruments 90% 100% 100%

FUND PERFORMANCE

Returns From

1 April 11

Since Inception

(09 Mar 2011)

Return Guarantee Fund (RGF) -1.71%

-0.99%


*The ‘Return Guarantee’ (Minimum NAV Guarantee) is applicable only in respect of the Return Guarantee Fund (RGF) and

is applicable to the NAV at the end of the 10th year from the start of the subscription period of the Fund and /or sub-

fund(s). The guarantee will apply to all contributions made during the subscription period. To provide the ‘Return

Guarantee’ a guarantee charge of 0.35% p.a. of the Fund Value levied on RGF would be recovered through cancellation of

units.

May, 2011

19

Funds Inception

Date

Bench marks (BM)

Returns in %(Less than or equal to 1 yr : Absolute Returns, greater than 1 yr : CAGR)

From

1 Apr 11

1 yr

2 yrs

3 yrs

4 yrs

5 yrs

Since Inception

Fund BM Fund BM Fund BM Fund BM Fund BM Fund BM Fund BM

Equity 10-Jan-05 NIFTY

-3.47 -4.69 10.46 9.32 16.05 11.79 5.90 4.52 7.48 6.66 12.78 12.60 23.57 17.51

Equity Pension# 15-Jan-07

-4.35 -4.69 7.43 9.32 11.21 11.79 3.38 1.56 6.25 5.05 NA NA 7.59 5.61

Growth# 24-Nov-

05 Nifty (70%)

CompBex (30%)

-3.09 -3.17 6.44 7.75 9.66 9.58 0.92 -0.34 3.42 2.87 8.40 9.36 14.48 11.49

Growth Pension# 15-Feb-07

-2.95 -3.17 8.17 7.75 12.78 9.58 3.61 -3.15 7.70 1.32 NA NA 11.04 2.35

Equity Optimiser* 21-Jan-08

Nifty (80%)

LiquiFEX (20%)

-3.92 -3.50 7.84 8.83 12.71 10.43 6.24 1.30 NA NA NA NA 6.11 -0.87

Equity Optimiser Pension#* 21-Jan-08

-4.18 -3.50 8.23 8.83 12.73 10.43 6.26 1.30 NA NA NA NA 6.13 -0.87

Equity Elite# 25-Feb-08 -4.36 -3.50 9.45 8.83 13.58 10.43 10.93 1.30 NA NA NA NA 12.17 -0.31

Equity Elite Fund II* 10-Feb-10

-3.57 -3.50 10.83 8.83 NA NA NA NA NA NA NA NA 8.37 11.40

Balanced# 5-Dec-05 Nifty (50%)

CompBex (50%)

-1.26 -2.16 5.81 6.70 8.94 8.10 6.38 3.55 8.96 5.68 11.35 9.30 12.35 10.29

Balanced Pension# 21-Feb-07

-1.24 -2.16 5.90 6.70 8.92 8.10 7.85 3.55 11.69 5.68 NA NA 14.00 6.20

Bond 10-Jan-05 CRISIL CompBex

0.69 0.37 4.92 4.09 6.49 4.40 9.40 5.85 9.74 6.31 9.42 5.78 8.59 5.43

Bond Pension 16-Jan-07

0.76 0.37 4.88 4.09 6.78 4.40 8.27 5.85 8.78 6.31 NA NA 8.82 5.95

Money Market# 1-Feb-06

LiquiFEX

1.12 1.25 5.98 6.91 5.50 10.23 6.54 NA 6.28 NA 6.36 NA 6.31 NA

Money Market Pension#

20-Mar-08

1.37 1.25 6.83 6.91 5.29 10.23 6.58 NA NA NA NA NA 6.52 NA

FlexiProtect 8-Mar-09

NA

-1.18 NA 8.35 NA 10.76 NA NA NA NA NA NA NA 26.43 NA

FlexiProtect (Series II) 8-Jan-10

-2.40 NA 10.32 NA NA NA NA NA NA NA NA NA 11.40 NA

Guaranteed Pension Fund (GPF070211)

9-Feb-11

0.90 NA NA NA NA NA NA NA NA NA NA NA 1.58 NA

Daily Protect 6-Sep-10

-2.86 NA NA NA NA NA NA NA NA NA NA NA -4.21 NA

Daily Protect II 4-Mar-11

-3.81 NA NA NA NA NA NA NA NA NA NA NA 1.64 NA

RGF070311 9-Mar-11


P/E Managed 8-Sep-10


Index 7-Jan-10

Nifty -4.15 -4.69 10.03 9.32 NA NA NA NA NA NA NA NA 5.42 4.01

Index Pension 18-Jan-10 -4.12 -4.69 9.99 9.32 NA NA NA NA NA NA NA NA 8.45 3.93

Top 300* 7-Jan-10

Nifty (80%)

Liquifex (20%)


Top 300 Pension* 18-Jan-10


May, 2011

20

# W.e.f. 1st April, 2009 the Benchmark for the funds has been revised for better representation of the investment philosophy of the fund. The benchmark returns mentioned above accordingly represent aggregate performance of old benchmark upto March 09 and revised benchmark thereafter. * W.e.f. 1 June 2010, the Benchmark for the funds have been defined.

Past performance of any of the funds above is not indicative of their future prospects or returns.

IN THIS POLICY, THE INVESTMENT RISK IN INVESTMENT PORTFOLIO IS BORNE BY THE POLICYHOLDER To know more about us

Visit us at www.sbilife.co.in or Call Toll Free No. 1800 22 9090 SBI Life Insurance Co. Ltd.

Corporate Office: "Natraj", M.V Road & Western Express Highway Junction, Andheri (E), Mumbai-400069 Registered Office: "Natraj", M.V Road & Western Express Highway Junction, Andheri (E), Mumbai-400069

Regn. No. 111

Insurance is the subject matter of solicitation For more details on Risk Factors, Terms & Conditions, please read the sales brochure carefully before concluding a sale

Risk Factors:

1) Unit Linked Life Insurance products are different from the traditional insurance products and are subject to

the risk factors

2) Premium paid in unit linked policies are subject to market risks associated with capital markets and NAVs of

units may go up or down based on the performance of fund and factors influencing the capital market and

the insured is responsible for his/her decision.

3) SBI Life Insurance Co. Ltd. is only the name of the insurance company and the various products offered are

only the names of the unit linked life insurance contract and does not in any way indicate the quality of the

contract, its future prospects or returns

4) The various funds offered under SBI Life Unit Linked products are only the names of funds and do not in any

way indicate the quality of these funds, their future prospects and returns

5) Please know the associated risks and the applicable charges, from your Insurance agent or the intermediary

or policy document of the insurer

6) Past Performance of the Fund is not indicative of its future prospects or returns.

May, 2011

Monthly Investment Update: ULIP May, 2011 NewsletterMay 11.pdf*Please note that Unit Plus III,...

Documents

Transcript of Monthly Investment Update: ULIP May, 2011 NewsletterMay 11.pdf*Please note that Unit Plus III,...