The fund that finds value in the ordinary

In the vast landscape of mutual funds, only a handful walk the unexciting contrarian path to generate returns. Among these, SBI Contra Fund stands out with its exceptional performance over the last few years under the leadership of Dinesh Balachandran, head of equity at SBI Mutual Fund. Consequently, the fund has garnered massive investor attention, with its asset base growing 15 times from about Rs 1,700 crore in Jan 2021 to over Rs 25,000 crore now. For the uninitiated, a contra strategy involves taking an opposing view to the prevailing market trends and investing in undervalued sectors/themes and stocks to generate returns. The idea is to wait for the market to correct and recognise the true value of these overlooked stocks. Who is it suitable for? SBI Contra Fund invests across various sectors and company sizes-large, mid and small. It is suitable to be a part of your core equity portfolio for long-term goals and wealth creation. However, its contrarian approach, which focuses on long-term potential, best suits the patient investor. Investment strategy Three-bucket por