The 100

CurateMyMoney is excited to introduce “The Hundred“, a portfolio built to solve the misery that prevails in investing.

Before we get onto what is ‘The Hundred’ and how it works, what would be your reaction if we tell you that “A regular investment continued for a long term can give good returns’

That might sound very usual and boring. Right?

You may say, any investment held for the long term has the potential to deliver higher returns.

So, What’s NEW.

Though we don’t disagree with the universal thought of staying for longer to get better returns, the most important element missing is “what is long-term and what is the probability of negative returns”.

Let’s assume if we face similar times like March 2020, where stock markets fell sharply and panic situations around. Most of us believe that the falling market would eat up the accumulated gains (which is right), so there is always a doubtful scenario while investing in capital market products.

This made us figure out a product or an approach that can solve the mystery of ‘What is long term and what is the probability of negative returns, we dig deep into all such situations & scenarios and emerged with an apt solution for all the investors.

That’s where our new approach “The Hundred” Portfolio comes into play.

Our thesis is made from the past performance of the market. As you all know, past performance is not an indicator for future returns and you must read the offer documents carefully before investing.

The intention of this analysis is to make investors aware of the benefit of investing for long.

In the investing world, when everyone is wondering how to tackle the volatility and when to enter into the stock market, what is the probability of making or losing money in the stock market, etc? Our study says ‘a hundred-month SIP’ has always given a positive outcome.

Yes, that’s true.

If you are agreeing that market-related instruments are the way to go to make inflation plus returns, our research lens helped us to know that at any given point you enter into the stock market through SIP and continue to invest for 100 months, you would have ended on the positive side in the past.

Obviously, no one can predict the future market growths and the past performance of the mutual funds is not necessarily indicative of the future performance of the schemes.

In our study, we pulled out the SENSEX data from Jan-2001 and given the facts below:

Data points for the analysis

Period Considered	Jan-2001 to Jun-2021
Total no. of months involved	246 months
SIPs with 100 months completed	146 months
Sensex on Jan-2001 (beginning of Jan)	3972.12
Sensex on Jun-2021 (end of Jun)	52482.71
First 100th month completes in	Apr-09

Decoding the chart and data points:

If you had invested at any point during the last 20 years and continued the SIP for about 100 months, then the annualized returns every 100^th month you make are given in the graph.

That is, if you started your SIP in Jan-2001 and continued for 100 months (till April 2009), by May-2009, your returns would have been 21.56% per annum. Similarly, if you had started your SIP in Feb 2013 and continued for 100 months, (till May 2021), by June 2021, your returns would have been 13.47%.

Our analysis says if you had started a SIP anytime from 2001, you would have ended up on a positive note.

Summarizing the actual numbers:

Return Probability in %

Range	<0%	0%-5%	5% to 10%	11% to 20%	>20%
No. of times occurred	0	2	49	75	20
in %	0	1%	34%	51%	14%

Return Chart (p.a)

Average	Maximum	Minimum
12.20%	24.15%	3.14%

We also did an analysis on the actual performance of the scheme in any 100-month SIP during the last 20 years. Since there are only a handful of funds in each category that have a track record of 20 years, we pulled out few funds and the outcome is: (Considered SIP rolling returns for arriving at the calculation).

*Period Considered Jan-2001 to Jun-2021

Return probability in %age

Scheme Name	Range	0%-5%	6%-10%	11%-20%	>20%	Data Points
ABSL Flexi-Cap Fund	No. of times occurred	0	16	103	28	147
ABSL Flexi-Cap Fund	in %	0	11%	70%	19%	147
UTI Nifty Index Fund	No. of times occurred	2	47	82	6	147
UTI Nifty Index Fund	in %	1%	32%	56%	11%	147
Franklin India Prima Fund	No. of times occurred	0	13	70	64	147
Franklin India Prima Fund	in %	0	9%	48%	44%	147

Returns Chart

Scheme Name	Average	Maximum	Minimum
ABSl Flexi-cap Fund	17.0%	33.2%	5.1%
UTI Nifty Index Fund	12.3%	22.9%	2.1%
Franklin India Prima Fund	18.6%	30.8%	5.9%

Obviously, neither we are suggesting to go for a fund with 20 year track record nor the above funds. The take-away point is here is that, either the index or the actual funds, a 100-month SIP have always delivered superior returns.

So, if you are a long-term investor, the opportunity to make good returns are high.

Investing as per the risk-appetite, duration of investment and the objective is mandatory. There are no compromises on it.

Hope you would have understood the importance of going for 100 months SIP, if you want a quick recap of ‘The Hundred’ description, here we go:

“At any given point, you enter into the stock market through SIP and continue to invest for 100 months, you would have ended only on the positive side in the past. When we dig the Sensex data between Jan 2001 to June 2021, had anyone invested at any point during the last 20 years and continued the SIP for 100 months, then the annualized returns every 100^th month have always been on the positive side and there are Zero months with negative returns.

Return Probability in %

Range	< 0%	0% to 5%	5% to 10%	11% to 20%	> 20%
No. of times occurred	0	2	49	75	20
in %	0	1%	34%	51%	14%

So, ‘The Hundred’ Portfolio filters the best possible scheme that prevails. Based on the risk appetite, we identify the suitable funds for you, provide you the solution, and monitor it for 100 months.

Precisely, 8 years and 4 months.

It doesn’t end there; we also assist you to move the accumulated corpus at the end of 10 years (stay invested in the funds from 100 months to 120 months) and help with the monthly withdrawal amount of your choice through SWP (Systematic Withdrawal Plan).