Invesco India Caterpillar Portfolio - A portfolio following Mid & Small Cap strategy - Invesco Mutual Fund

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Invesco India Caterpillar Portfolio - A portfolio following Mid & Small Cap strategy - Invesco Mutual Fund
Invesco India Caterpillar Portfolio
A portfolio following Mid & Small Cap strategy

March 2019
Invesco India Caterpillar Portfolio - A portfolio following Mid & Small Cap strategy - Invesco Mutual Fund
Why Mid & Small cap strategy?

   Widening pool of entrepreneurial talent in India is best tapped in mid & small sized companies
       – New entrant in an industry/ Participation in an emerging businesses

   Provides exposure to structural growth stories
       – Niche/ Local business opportunity

   Better compounding machines
       – Acquiring future large companies – early

   Provides alpha generation as they are under-researched & largely overlooked
       – Beneficiaries of earning growth and P/E multiple expansion
Invesco India Caterpillar Portfolio - A portfolio following Mid & Small Cap strategy - Invesco Mutual Fund
Mid & Small cap transition in last 15 years
Period: June 2003 to June 2018

         Stock Categorisation as June 29, 2003                                                                            Stock Categorisation as June 30, 2018

           Market Cap                                No. Of Stock                                                 Large Cap                         Mid Cap                      Small Cap

          Mid Cap                                            150                                                         25                              89                             36

       Small Cap                                               78                                                          4                             36                             38

Stock classification definition used:
Large Caps: 1st to 100th company in terms of full market capitalization
Mid Cap: 101st to 250th company in terms of full market capitalization
Small Cap: 251st company onwards in terms of full market capitalization

Past performance may or may not be sustained in future. Source: Bloomberg. Stock Universe: Listed stocks as on June 30, 2003 with minimum INR 100 Crs full market capitalization. Stock which have got
delisted or not quoted on June 29, 2018, have been excluded from the stock universe for the above study.

3
Invesco India Caterpillar Portfolio - A portfolio following Mid & Small Cap strategy - Invesco Mutual Fund
Transition leads to better performance…

Period: June 30, 2003 – June 29, 2018. Return basis: Average CAGR

                                                                                                                                                                                      37.85%

                                                                                                                                  32.18%

                                                                               22.55%

                           17.47%

         Mid Cap (2003) to Mid Cap (2018)                   Small Cap (2003) to Mid Cap (2018)                 Mid Cap (2003) to Large Cap (2018) Small Cap (2003) to Large Cap (2018)

                   Stocks                                               Stocks                                              Stocks                                                  Stocks
             Mid Cap (2003) to Mid                               Small Cap (2003) to                                    Mid Cap (2003) to                                 Small Cap (2003) to
                  Cap (2018)                                      Mid Cap (2018)                                        Large Cap (2018)                                   Large Cap (2018)

Past performance may or may not be sustained in future. Return Method: Compound Annual Growth Return (CAGR). Source: Bloomberg. Definition: Large Caps:1st to 100th company in terms of full market
capitalization. Mid Cap:101st to 250th company in terms of full market capitalization. Small Cap:251st company onwards in terms of full market capitalization. Stock Universe: Listed stocks with minimum 100 Crs full
market capitalisation as on June 30, 2008. Stock which have got delisted or not quoted on June 29, 2018, have been excluded from the stock universe for the above study. The return of individual stock in a category is
based on adjusted stock price considering corporate action excluding dividends. The average return of each category is calculated as simple average of CAGR returns of all the stocks in that particular category.

4
Invesco India Caterpillar Portfolio - A portfolio following Mid & Small Cap strategy - Invesco Mutual Fund
… however stocks may have divergent performance
hence stock selection is the key

Period: June 30, 2003 – June 29, 2018. Return basis: Average CAGR
    60%
    55%                                                                                                                                                                          Maximum Return
                                                                                                                                                                                     49.59%
    50%                                                                                                                        Maximum Return
                                                                                                                                   45.01%
    45%
                                                                                                                                                                                                          Average
    40%                                                                       Maximum Return                                                                                                               Return
                           Maximum Return
                                                                                  34.77%                                                                                                                  37.85%
                               32.93%                                                                                                                   Average
    35%
                                                                                                                                                         Return
    30%                                                                                                                                                 32.18%

    25%                                                                                                Average
                                                                                                                                                                                 Minimum Return
                                                                                                        Return
                                                                                                                                                                                     27.49%
    20%                                             Average                                            22.55%                  Minimum Return
                                                     Return                                                                        22.59%
    15%                                             17.47%
                                                                                                                                                                        Nifty Midcap 100
                                                                                                                                                                     15 Year CAGR: 18.94%
    10%
                                                                              Minimum Return
     5%                                                                           11.43%

     0%
    -5%                     Minimum Return
                                -1.46%
    -10%
              Mid Cap (2003) to Mid Cap (2018)                 Small Cap (2003) to Mid Cap (2018) Mid Cap (2003) to Large Cap (2018)                                  Small Cap (2003) to Large Cap
                                                                                                                                                                                 (2018)

Past performance may or may not be sustained in future. Return Method: Compound Annual Growth Return (CAGR). Source: Bloomberg. Definition: Large Caps:1st to 100th company in terms of full market
capitalization. Mid Cap:101st to 250th company in terms of full market capitalization. Small Cap:251st company onwards in terms of full market capitalization. Stock Universe: Listed stocks with minimum 100 Crs full
market capitalisation as on June 30, 2003. Stock which have got delisted or not quoted on June 29, 2018, have been excluded from the stock universe for the above study. The return of individual stock in a category is
based on adjusted stock price considering corporate action excluding dividends. Maximum Return and Minimum Return are of individual stock in that particular category. The average return of each category is
calculated as simple average of CAGR returns of all the stocks in that particular category.

5
Invesco India Caterpillar Portfolio - A portfolio following Mid & Small Cap strategy - Invesco Mutual Fund
Shree Cement Ltd.
Transition from Mid Cap to Large Cap

Share Price Chart. Period: June 30, 2003 – June 30, 2018.

          21,000
                                                 FY2003        FY 2018     Growth
                          Financials
                                              (In INR Crs.) (In INR Crs.) (CAGR)
          18,000
                          Sale                    494.28          9,833.10       23.81%
                          EBITDA                  134.68          2,861.83       24.40%
          15,000          Profit after Tax        13.04           1,384.18       39.54%

          12,000

            9,000

            6,000

            3,000

                 0
                 Jun/03      Jun/04      Jun/05       Jun/06      Jun/07      Jun/08       Jun/09      Jun/10      Jun/11       Jun/12      Jun/13      Jun/14      Jun/15       Jun/16      Jun/17      Jun/18

Company Financial Data Source: Capitaline. Company Share Price Data Source: Bloomberg. Data for the period June 30, 2003 till June 30, 2018
Past Performance may or may not be sustained in future.
CAGR: Compound Annual Growth Rate. CAGR shown for price movement. EBITDA: Earnings before interest, taxes, depreciation, and amortization
Disclaimer: The stocks referred above are for the purpose of explaining the concept transition of stock from Mid Cap to Large Cap category and should not be construed as recommendations from Invesco Asset
Management (India) Pvt. Ltd. The stock referred above should not be construed as recommendations from Invesco Asset Management (India) Private Limited. The Portfolio may or may not have any present or future
positions in these stock or in any other portfolios offered by Invesco Asset Management (India) Private Limited. The performance of above stocks should not be construed as performance of the portfolio as the portfolio
would be constituted of number of stocks having different weights and the individual stock held by the portfolio may or may not give positive returns. Invesco Asset Management (India) Private Limited is not
guaranteeing or promising or forecasting any returns.

6
Invesco India Caterpillar Portfolio - A portfolio following Mid & Small Cap strategy - Invesco Mutual Fund
United Breweries Ltd.
Transition from Small Cap to Large Cap

Share Price Chart. Period: June 30, 2003 – June 30, 2018.

            1,400
                                                 FY2003        FY 2018    Growth
                          Financials
                                              (In INR Crs.) (In INR Crs.) (CAGR)
            1,200         Sale                     493             5,619          19%
                          EBITDA                    58               915          22%

            1,000         Profit after Tax        -12.27           653.85         19%*

              800

              600

              400

              200

                 0
                 Jun/03      Jun/04      Jun/05       Jun/06      Jun/07      Jun/08       Jun/09      Jun/10      Jun/11       Jun/12      Jun/13      Jun/14      Jun/15       Jun/16      Jun/17      Jun/18

Company Financial Data Source: Capitaline. Company Share Price Data Source: Bloomberg. Data for the period June 30, 2003 till June 30, 2018. * From INR 55.11 Crs. Profit after Tax in March 31, 2007 to INR
653.85 Crs. Profit after Tax in March 31, 2018. CAGR: Compound Annual Growth Rate. CAGR shown for price movement. EBITDA: Earnings before interest, taxes, depreciation, and amortization
Past Performance may or may not be sustained in future.
Disclaimer: The stocks referred above are for the purpose of explaining the concept transition of stock from Small Cap to Large Cap category and should not be construed as recommendations from Invesco Asset
Management (India) Pvt. Ltd. The stock referred above should not be construed as recommendations from Invesco Asset Management (India) Private Limited. The Portfolio may or may not have any present or future
positions in these stock or in any other portfolios offered by Invesco Asset Management (India) Private Limited. The performance of above stocks should not be construed as performance of the portfolio as the portfolio
would be constituted of number of stocks having different weights and the individual stock held by the portfolio may or may not give positive returns. Invesco Asset Management (India) Private Limited is not
guaranteeing or promising or forecasting any returns.

7
Invesco India Caterpillar Portfolio - A portfolio following Mid & Small Cap strategy - Invesco Mutual Fund
Invesco India Caterpillar Portfolio

8
Invesco India Caterpillar Portfolio - A portfolio following Mid & Small Cap strategy - Invesco Mutual Fund
Invesco India Caterpillar Portfolio
Capitalizing on transformational opportunities

 Investment                                   Fundamentally strong and high growth mid-sized1 and small-sized2 companies
 Universe
 Investment                                   Scalable business model coupled with sustainable growth prospects
 Focus                                        Companies with niche or emerging business prospects
                                              Under owned & overlooked investment opportunities
 Attributes                                       Competitive advantages and industry attractiveness
                                                  Good quality management with sound corporate governance
                                                  Attractive returns on capital and adequate cash flow
                                                  Potential for Earning growth and P/E multiple expansion

 Quantitively                                 For Manufacturing Companies: Return on Capital Employed & Free Cash Flow
 Filters                                      For Financial Companies: Return of Equity & Return on Assets
 Stock Selection                              Bottom-up stock picking
 Approach
 Portfolio                                    High conviction portfolio
 Construct                                    15 to 25 Stock Portfolio

1 Mid Cap:101st to 250th company in terms of full market capitalization. Small Cap:251st company onwards in terms of full market capitalization. P/E: Price to Earnings

9
Invesco India Caterpillar Portfolio - A portfolio following Mid & Small Cap strategy - Invesco Mutual Fund
Investment Process

                       Fund Objective

                     Investment Universe

10
Stock Categorization Framework

 Stock                      Descriptions                              Growth Prospects         Company Attribute            Financial Parameter
 Category                   (e.g.)                                    (e.g.)                   (e.g.)                       (e.g.)
                                                                                               Track record of
                                                                      In line or better than                                Industry leading
 Leader                     Established companies                                              leadership, globally
                                                                      industry                                              margin / ROE
                                                                                               competitive
                            Young / established                                                Unique proposition and /     Margin & ROE          Growth
 Warrior                                                              Better than industry
                            companies                                                          or right place, right time   expansion
                                                                                               Entrepreneur vision,
 Star                       Young companies                           High growth                                           Operating Leverage
                                                                                               scalability
                            Company with                                                       Management intent to         Value of
 Diamond                                                              Low growth
                            valuable assets                                                    unlock value                 asset / business
                                                                                                                                                  Value
                            Company in a                                                       Intrinsic strengths in
 Frog Prince                                                          Back to growth                                        P2P, ROE expansion
                            turnaround situation                                               core business
                                                                                               Corporate event,
 Shotgun                    Opportunistic investment                  Positive surprise        restructuring, earnings      Event visibility      Event
                                                                                               news

                            Call on the cycle                                                  Integration, cost efficiency,
 Commodities                                                          Positive                                               Profit leverage
                            is paramount                                                       globally competitive
P2P: Path to Profit; ROE: Return on Equity.

Based on internal proprietary stock categoristaion and subject to change from time to time

11
Stock Selection Process

                                Stock
                                                                                  Investment Strategy &                                        Portfolio Construction
                            Categorization
                                                                                    Quantitively Filters                                               Levers
                             Framework#

      5 Benchmark
         Indices*
            +                                                   Categorized                                                 Portfolio                                                 Portfolio
     Select Bottom-                                               Stocks                                                    Universe
        up ideas

     No. of Stocks:                                           No. of Stocks:                                           No. of Stocks:                                           No. of Stocks:
          301                                                      127                                                       65                                                     15–25

Data as on March 31, 2019
#For details on Stock Categorization Framework please refer previous slide.
*5 Benchmark Indices: S&P BSE 200 Index, Nifty Midcap 100 Index, Nifty Infrastructure Index, Nifty Bank Index and S&P BSE PSU Index. Quantitative Filters: Return on Capital Employed & Free Cash Flow.

12
City Union Bank Ltd.
Financials

                                                                                                                                                         Amount in INR Crs. Except return ratios
Brief description & our thesis                                                                   Financial Data                                           Data / Estimate as on March 31, 2019
    City Union Bank Ltd. (CUBK) is one of the oldest private sector bank                                                                                                YoY Growth
                                                                                                                                                                   CAGR
     having more than 100 years of profitable operations. The bank has a better                  Financial Snapshot             FY19      FY20E       FY21E              (9MFY19 v/s
                                                                                                                                                                FY19-21E
     regional presence in Tamil Nadu and is well-poised to leverage high-quality                                                                                            9MFY18)
     growth in micro, small & medium enterprises (MSME) and retail segments                      Sales                          1,638       1,787      1,991           10%                12%
     where it has grown its loan mix.
                                                                                                 PPOP                           1,051       1,126      1,247            9%                -1%
    The bank has demonstrated consistent performance over long term. The 5
     year average Return On Asset (ROA) has been at 1.5% and Return on                           Profit After Tax                 698         792        826            9%                15%
     Equity (ROE) at 17%.

    In FY18, the bank reported healthy growth in adjusted book value of 17%.
     As of FY18, it has Tier 1 ratio of 15.79% and would not require any capital                 Ratios                         FY19      FY20E
     even under stress scenarios. As a result, the bank is well placed to utilize
     capital for growth.                                                                         ROA                             1.6%       1.5%

                                                                                                 ROE                           16.1%       14.8%
    Net slippage at 1.55% (FY18) is better to the average ratio of 2.9% of its
     peers which include Karur Vysya Bank, South Indian Bank & Federal Bank.
                                                                                                 Price / Adj. Book                 3.1         2.7
    CUBK at Rs. 205/- trades at price to adjusted book of 2.7x FY20E for                        P/E                             19.2        16.9
     adjusted book value CAGR of 15% over FY19-21.

                                                                                                 Market Cap / Current Market Price

                                                                                                 Market Cap (In INR Crs)                  13,426

                                                                                                 Current Market Price                         205

Past performance may or may not be sustained in future.
Source: Company, Bloomberg, Internal Estimates. CAGR: Compounded annualized growth rate. ROE: Return on Equity. ROCE: Return on Capital Employed. P/E: Price to Earnings.
EPS: Earnings per Share. PPOP: Pre-Provision Operating Profit. ROA: Return on Assets
Disclaimer: The stock referred above should not be construed as recommendation, advice to buy, sell or in any manner transact in this stock and neither should it be considered as
Research Report from IAMI. IAMI may or may not have any present or future positions in this stock or in any other portfolios offered by IAMI. The performance of above stock should not
be construed as performance of IAMI portfolio offerings as each portfolio would be constituted of number of stocks having different weights and the individual stock held by the portfolio
may or may not give positive returns. Invesco Asset Management (India) Private Ltd. is not guaranteeing or promising or forecasting any returns.

13
Music Broadcast Ltd.
Consumer Discretionary

                                                                                                                                                         Amount in INR Crs. Except return ratios
Brief description & our thesis                                                                   Financial Data                                           Data / Estimate as on March 31, 2019
    Music Broadcast Ltd. (MBL), a part of Jagran Prakashan group, is amongst                                                                                           YoY Growth
                                                                                                                                                                  CAGR
     the top 3 players with pan India presence, and the frequency is commonly                    Financial Snapshot             FY19      FY20E       FY21E             (9MFY19 v/s
                                                                                                                                                               FY19-21E
     known as “Radio City”.                                                                                                                                                9MFY18)
                                                                                                 Sales                            331         375        428           14%                 9%
    Radio is the 3rd fastest growing advertising medium in India and offers
     extended period of healthy growth with healthy RoCE for most of the large                   EBITDA                           116         142        174           22%                17%
     players.
                                                                                                 Profit After Tax                   66         86        112           30%                22%
    MBL offers high operating leverage through higher capacity utilization of
     legacy operating channels and scale up in revenues from new frequencies
     which have recently got operational.
                                                                                                 Ratios                         FY19      FY20E
    The startup of operations in 11 new cities, over its existing presence in 28
     cities, resulted in a lot of set up and operating expenses which negatively                 ROCE                            13%         15%
     impacted profits in FY16 and FY17. Subsequent scale up in the same radio
                                                                                                 ROE                             13%         15%
     stations will drive operating leverage to the profitability over the next few
     years.                                                                                      EV/EBITDA                       12.7        10.4
    MBL at Rs 58/- trades at 19x PE and 10x EV/EBIDTA based on FY20E                            P/E                             24.5        18.8
     numbers for expected EPS CAGR of 30% and EBITDA CAGR of 22% over
     FY19-21.

                                                                                                 Market Cap / Current Market Price

                                                                                                 Market Cap (In INR Crs)                   1,616

                                                                                                 Current Market Price                          58

Past performance may or may not be sustained in future.
Source: Company, Bloomberg, Internal Estimates. CAGR: Compounded annualized growth rate. ROE: Return on Equity. ROCE: Return on Capital Employed. P/E: Price to Earnings.
EPS: Earnings per Share. EV: Enterprise Value. EBITDA: Earnings before interest, tax, depreciation, and amortization.
Disclaimer: The stock referred above should not be construed as recommendation, advice to buy, sell or in any manner transact in this stock and neither should it be considered as
Research Report from IAMI. IAMI may or may not have any present or future positions in this stock or in any other portfolios offered by IAMI. The performance of above stock should not
be construed as performance of IAMI portfolio offerings as each portfolio would be constituted of number of stocks having different weights and the individual stock held by the portfolio
may or may not give positive returns. Invesco Asset Management (India) Private Ltd. is not guaranteeing or promising or forecasting any returns.

14
Equitas Holdings Ltd.
Financials

                                                                                                                                                         Amount in INR Crs. Except return ratios
Brief description & our thesis                                                                   Financial Data                                           Data / Estimate as on March 31, 2019
    Equitas is a diversified small finance bank (SFB) with presence in                                                                                                  YoY Growth
                                                                                                                                                                   CAGR
     microfinance business (28% of AUM), vehicle finance (27% of AUM), Loan                      Financial Snapshot             FY19      FY20E       FY21E              (9MFY19 v/s
                                                                                                                                                                FY19-21E
     against Property (26% of AUM), housing finance (6%) and business loans                                                                                                 9MFY18)
     (5% of AUM) for FY18.                                                                       Sales                          1,157       1,440      1,774           24%                25%
    Company has demonstrated a better track record during the period FY11-                      PPOP                             367         587         788          46%                97%
     FY16 when Equitas reported an AUM Growth of 50% CAGR aided by
     better growth in micro finance business (33% CAGR) and commencement                         Profit After Tax                 159         279         380          54%               100%
     of new business lines.

    better AUM growth has also been complimented by Net Interest Income
     CAGR of 32%, pre-provisioning profit CAGR of 35% and Profit after Tax                       Ratios                         FY19      FY20E
     CAGR of 42% during the same period.
                                                                                                 ROA                             1.6%       1.8%
    FY17 and FY18 got negatively impacted due to advancement of expenses
                                                                                                 ROE                             8.6%      11.0%
     towards SFB transitioning, higher credit costs on microfinance book and
     conscious reduction in microfinance book.
                                                                                                 Price / Adj. Book                 1.6         1.5
    However, since the transitioning related costs are now fully incurred, we                   P/E                              24.1       13.8
     expect Return on Assets expansion from 0.3% in FY18 to 1.1% in FY19
     driven by operating leverage and normalization of credit costs (financial
     leverage) leading to 183% CAGR in earnings from FY19-21 and ROE’s to
     improve from 1.5% in FY18 to 7% in FY20                                                     Market Cap / Current Market Price

    Equitas at Rs. 137/- trades at price to adjusted book of 1.5x FY20E for                     Market Cap (In INR Crs)                    3,834
     adjusted book value CAGR of 10% over FY19-21.
                                                                                                 Current Market Price                         137

Past performance may or may not be sustained in future.
Source: Company, Bloomberg, Internal Estimates. CAGR: Compounded annualized growth rate. ROE: Return on Equity. ROCE: Return on Capital Employed. P/E: Price to Earnings.
EPS: Earnings per Share. PPOP: Pre-Provision Operating Profit. ROA: Return on Assets
Disclaimer: The stock referred above should not be construed as recommendation, advice to buy, sell or in any manner transact in this stock and neither should it be considered as
Research Report from IAMI. IAMI may or may not have any present or future positions in this stock or in any other portfolios offered by IAMI. The performance of above stock should not
be construed as performance of IAMI portfolio offerings as each portfolio would be constituted of number of stocks having different weights and the individual stock held by the portfolio
may or may not give positive returns. Invesco Asset Management (India) Private Ltd. is not guaranteeing or promising or forecasting any returns.

15
Portfolio Performance

16
Since inception model portfolio performance
As on March 31, 2019

If Rs. 25 Lahks were invested in Invesco India Caterpillar Portfolio, Nifty Midcap 100 Index and Nifty 50 Index on
June 26, 2006, its present value would have been…

                         INR 2.09 Cr.
                            CAGR: 18.12%

                                                                8.38 X

                                                                                                   INR 1.14 Cr.
                                                                                                     CAGR: 12.62%
                                                                                                                                                                            INR 0.95 Cr.
                                                                                                                                          4.56 X                               CAGR: 11.05%

                                                                                                                                                                                                                   3.81 X

                 Invesco India Caterpillar Portfolio                                                   Nifty Midcap 100                                                                Nifty 50

Period: June 26, 2006 – March 31, 2019.

Past performance may or may not be sustained in future. The data given above is for model portfolio. The returns are calculated on the basis of daily market value of the Portfolio. Disclaimer: The returns of model
portfolio given above are for illustration purpose only. Model portfolio returns does not take into account expenses/charges and Profit/Loss on account of derivative transactions. Returns under client wise portfolio may
vary vis-à-vis returns of model portfolio due to various factors viz. timing of investment/additional investment in client’s portfolio, timing of withdrawals in client’s portfolio, mandates given by respective client, profit/loss
on account of derivative transactions, expenses charged to respective portfolio, dividend income in the respective portfolio etc. The Portfolio manager does not offer guaranteed or assured returns. Securities
investments are subject to market risks, please read the Disclosure Document carefully before investing.

17
Model portfolio performance
As on March 31, 2019

                                                                                                                                                                   30.85%

                                                                                                     22.96%                         23.22%

                                                                                                                                                                                 18.28%          18.12%
                                                                      15.69%                                       16.22%

                                                                                    12.72%                                                        13.11%                                                       12.62%

                                        7.34%

                                                      3.04%

         -1.23%
                   -2.66%
               1 Year                        2 Years                        3 Years                        5 Years                        7 Years                       10 Years                  Since Inception
                                                                                                                                                                                                  (June 26, 2006)
        Invesco India Caterpillar Portfolio                Nifty Midcap 100

Past performance may or may not be sustained in future. Returns over 1 year are Compound Annual Growth Return. The data given above is for model portfolio. The returns are calculated on the basis of daily
market value of the Portfolio. Disclaimer: The returns of model portfolio given above are for illustration purpose only. Model portfolio returns does not take into account expenses/charges and Profit/Loss on account of
derivative transactions. Returns under client wise portfolio may vary vis-à-vis returns of model portfolio due to various factors viz. timing of investment/additional investment in client’s portfolio, timing of withdrawals in
client’s portfolio, mandates given by respective client, profit/loss on account of derivative transactions, expenses charged to respective portfolio, dividend income in the respective portfolio etc. The Portfolio manager
does not offer guaranteed or assured returns. Securities investments are subject to market risks, please read the Disclosure Document carefully before investing.

18
Consistent outperformance
Rolling return analysis: Model portfolio vs Benchmark
Period: January 1, 2010 to March 31, 2019

  2 Year Rolling Return (CAGR)                                         3 Year Rolling Return (CAGR)                                      4 Year Rolling Return (CAGR)                                        5 Year Rolling Return (CAGR)

 No. of Observations                                    2,648       No. of Observations                                    2,283      No. of Observations                                    1,917       No. of Observations                                   1,552
 Negative Observations: Model Portfolio                    44       Negative Observations: Model Portfolio                      0     Negative Observations: Model Portfolio                      0      Negative Observations: Model Portfolio                      0
 Negative Observations: Benchmark                         513       Negative Observations: Benchmark                         305      Negative Observations: Benchmark                            3      Negative Observations: Benchmark                            0

                                                                                                                                                                                           Maximum Return             Minimum Return            Average Return

         69.91%

                                    46.87%                                 47.15%

                                                                                                                                              39.90%

                                                                                                                                                                                                                34.72%
                                                                                                      32.95%
                                                                                                                                                           27.43%        30.34%                                              27.76%
                                                                                        25.53%
                      24.20%
                                                                                                                                                                                                                                          25.02%
                                                                                                                                                                                                                           21.04%
                                                                                                                   14.00%                                                             15.14%                                                           15.50%
                                                 13.17%

                                                                                                                                                          8.99%
                                                                                       1.56%                                                                                                                                                          5.61%

                     -1.90%                                                                                                                                                         -0.32%
                                               -11.11%                                                          -10.11%

      Invesco India Caterpillar      Nifty Midcap 100                   Invesco India Caterpillar     Nifty Midcap 100                    Invesco India Caterpillar      Nifty Midcap 100                   Invesco India Caterpillar      Nifty Midcap 100
             Portfolio                                                         Portfolio                                                         Portfolio                                                         Portfolio

Past performance may or may not be sustained in future. Data as on March 31, 2019.The performance details provided herein is of model portfolio. Model portfolio returns does not take into account expenses/charges and Profit/Loss on account of
derivative transactions. Returns under client wise portfolio may vary vis-à-vis returns of model portfolio due to various factors viz. timing of investment/additional investment in client’s portfolio, timing of withdrawals in client’s portfolio, mandates given by
respective client, profit/loss on account of derivative transactions, expenses charged to respective portfolio, dividend income in the respective portfolio etc. The Portfolio manager does not offer guaranteed or assured returns. Securities investments
are subject to market risks, please read the Disclosure Document carefully before investing. Returns above 1 year are Compounded Annualised Growth Rate (CAGR)

19
Portfolio Update

20
Model Portfolio Holdings
As on March 31, 2019

Top 15 Holdings                                                                                              Sector
Scrip Name                                                                 % of Net Assets                   Sector Name                                                                   % of Net Assets

Mahanagar Gas Ltd.                                                                            7.11           Financials                                                                                      29.57
                                                                                                             Consumer Discretionary                                                                          17.05
Mahindra Logistics Ltd.                                                                       6.33
                                                                                                             Utilities                                                                                       13.02
City Union Bank Ltd.                                                                          6.32
                                                                                                             Industrials                                                                                     11.23
Equitas Holdings Ltd.                                                                         6.02           Consumer Staples                                                                                10.64
Indraprastha Gas Ltd.                                                                         5.91           Materials                                                                                         8.07
Music Broadcast Ltd.                                                                          5.91           HealthCare                                                                                        5.02

United Breweries Ltd.                                                                         5.69           Cash & Cash Equivalent                                                                            5.40

Exide Industries Ltd.                                                                         5.14
Sanofi India Ltd.                                                                             5.02           Market Capitalization Break Up (In INR Crs. )
Karur Vysya Bank Ltd.                                                                         5.00            Market cap range                                % of Net Assets                    No. of Scrips

Heritage Foods India Ltd.                                                                     4.95            Less Than to 10,000                                             39.97                                 8
                                                                                                              10,000 to 15,000                                                15.90                                 3
Voltas Ltd.                                                                                   4.90
                                                                                                              15,000 to 20,000                                                16.36                                 3
RBL Bank Ltd.                                                                                 4.90
                                                                                                              20,000 to 40,000                                                22.39                                 5
Tata Metaliks Ltd.                                                                            4.31            Median Market Cap                                                                ₹ 12,613 crores
V-Mart Retail Ltd.                                                                            3.98            Average Weighted Market Cap                                                      ₹ 11,945 crores

Source: Internal / Bloomberg
Disclaimer: The stocks / sectors referred above should not be construed as recommendations from Invesco Asset Management (India) Private Limited. The Portfolio may or may not have any present or future
positions in this stock /sectors or in any other portfolios offered by Invesco Asset Management (India) Private Limited. This should not be seen as an investment advice. Securities investments are subject to market
risks, please read the Disclosure Document carefully before investing.

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Model Portfolio Characteristic
As on March 31, 2019

 Fundamental Attributes                                          Portfolio             Nifty Midcap 100   Performance Attributes

Dividend Yield1                                                         0.31%               0.43%         Standard Deviation                                   3.94%

Price to Earnings1 FY 19 Estimate                                         24.0              17.6          Beta                                                  0.69

Price to Earnings1 FY 20 Estimate                                         19.5              15.6          Sharpe Ratio                                          0.17

                                                                                                          Based on 3 years, monthly data points
Price to Earnings1 FY 21 Estimate                                         16.0              13.6          (Risk-free rate of 7.45% based on Overnight MIBOR)

2 Year EPS CAGR (FY19-FY21)2                                            20.3%               13.0%

Return on Assets1 FY 19 Estimate                                         2.8%               2.2%

Return on Equity1 FY 19 Estimate                                        13.8%               12.1%

1 Weighted Harmonic Mean
2 EPS Growth is derived from P/E ratios
Note: Excludes companies with net loss for appropriate results for various ratios
Source: Factset, Internal. EPS: Earning Per Share. CAGR: Compounded annualize growth rate

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Key Portfolio Facts

Portfolio Name         Invesco India Caterpillar Portfolio

Investment Objective   To achieve capital appreciation over a long term by investing in a diversified portfolio.
Indicative Asset                                                                                  Indicative Allocation
Allocation              Instruments                                                              (% of Portfolio Value)                       Risk Profile

                        Equity & Equity Related Instruments1                                            90–100%                               High

                        Cash & Cash Equivalent                                                            0–10%                               Low to medium

                       1The   Portfolio may have exposure to derivatives upto 30% of portfolio value in accordance with guidelines issued by SEBI.

Benchmark              Nifty Midcap 100 Index

Portfolio Manager      Mr. Amit Nigam
                       Total Experience: 17 Years.
                       Experience in managing this portfolio: May 16, 2018.
Inception Date         June 26, 2006

Minimum Investment     INR 25 Lacs
                       Subscription Mode: Cheque and/or Stock Transfer.

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Portfolio Manager

             Mr. Amit Nigam
             Portfolio Manager – Portfolio Management Services

Amit has over 17 years’ experience in the Indian equity market. In his last assignment,
Amit was working with Essel Mutual Fund as Head of Equities where he was responsible
for the equity management function at the firm. In the past, he has also worked with
companies like BNP Paribas Investment Partners, BNP Paribas Mutual Fund, SBI Funds
Management & Reliance Industries Ltd. Amit holds a Mechanical Engineering Degree from
Indian Institute of Technology Roorkee and a PGDBM from Indian Institute of Management
- Indore.

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Who Should Invest

 Investor seeking long term capital appreciation

 Investor without short term liquidity needs

 Investor with long term investment horizon

 Investor who can tide over short term volatility

 An ability to take higher risk

25
Compliance Information

Disclaimer: This presentation does not solicit any action based on the material contained herein. Invesco Asset Management (India) Private Limited (“the Portfolio
Manager/the Company/IAM”) will not treat recipients as clients by virtue of their receiving this presentation. It does not constitute a personal recommendation or
take into account the particular investment objectives, financial situation/circumstances and the particular needs of any specific person who may receive this
presentation. The Co's/sectors referred in this presentation are only for the purpose of explaining the concept of Portfolio and should not be construed as
recommendations from Portfolio Manager. The Portfolio may or may not have any present or future positions in these stocks. The Portfolio(s) discussed in the
presentation may not be suitable for all the investors. The recipient of this material alone shall be fully responsible/liable for any decision taken on the basis of this
material. The appropriateness of a particular investment or strategy will depend on an investor’s individual circumstances and objectives. The distribution of this
presentation in certain jurisdictions may be restricted or totally prohibited to registration requirements and accordingly, persons who come into possession of this
presentation are required to inform themselves about and to observe any such restrictions and/ or legal compliance requirements. Persons who may receive this
presentation should consider and independently evaluate whether it is suitable for his/her/their particular circumstances and are requested to seek
professional/financial advice. Past performance is not a guide for future performance. Future returns are not guaranteed and a loss of principal may occur. The
Company and its affiliates accept no liabilities for any kind of loss arising out of the use of this presentation. With respect to all information found in this
presentation the Company has obtained data from sources it considers reliable however, the Company and its directors, officers, agents, or employees and its
affiliates make no warranty, express or implied, including the warranties of merchantability and fitness for a particular purpose, or assume any legal liability or
responsibility for the accuracy, completeness, or usefulness of any information contained therein and the Company shall not be liable for any indirect, incidental or
consequential damages sustained or incurred in connection with the use, operation, or inability to use this presentation and information contained therein. Under
no circumstances will the Portfolio Manager be liable for any loss or damage caused by anyone’s reliance on information contained in this presentation.

Risk Factors: All securities investments are subject to market risks and there can be no assurance that the objectives of the portfolio(s) will be achieved. Each
portfolio will be exposed to various risks depending on the investment objective, investment strategy and the asset allocation. The performance of the portfolio may
be affected by changes in factors affecting the securities markets such as volume and volatility in the capital markets, interest rates, currency exchange rates,
changes in law/policies of the Government, taxation laws, political, economic or other developments, general decline in the Indian markets, which may have an
adverse impact on individual securities, a specific sector or all sectors. Further, the investments by the portfolio shall involve investment risks such as trading
volumes, settlement risk, liquidity risk, default risk including the possible loss of capital. The portfolio with investment objective to invest in a specific sector/industry
would be exposed to risk associated with such sector/industry and its performance will be dependent on performance of such sector/industry. The Portfolio
Manager in accordance with the features of respective Portfolio may use derivatives which require an understanding not only of the underlying instrument but of
the derivative itself. Derivative products are leveraged instruments and can provide disproportionate gains as well as disproportionate losses to the investor.
Execution of such strategies depends upon the ability of the Portfolio Manager to identify such opportunities. The decisions of Portfolio Manager may not always
be profitable. The portfolio, returns and expenses charged including Portfolio Management fees for each Client may differ from that of the other Client. Investors of
the Portfolio Management Services are not being offered any guaranteed/assured returns. The Portfolio Manager may invest in shares, debt, units of mutual funds,
deposits or other financial instruments of associate/ group Co's. The name of the portfolio(s) does not in any manner indicate either the quality of the product or
their future prospects and returns. Securities investments are subject to market risk, investors are advised to read the risk factors given in the Portfolio
Management Services Agreement and Disclosure Document carefully before making investments.

26                                                                                                                                        MKTG/PMSPRODPPT/0418/C00196
Get in Touch

Corporate Office:
Invesco Asset Management (India) Private Limited
2101-A, A Wing, 21st Floor, Marathon Futurex,
N. M. Joshi Marg, Lower Parel, Mumbai – 400013
T +91 22 67310000 F +91 22 23019422

To invest:                                         Follow us on
Call 1800-209-0007 ∆ sms ‘Invest’ to 56677
Invest Online www.invescomutualfund.com

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