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1 COVERPAGEINVESTMENT UPDATER eport as on 31 October the Managing Director s DeskMarket OverviewFrom the Chief Business Officer's DeskSnapshot of Equity Funds & Other CategoriesSnapshot of Hybrid Funds & Solution Oriented SchemeSBI Blue Chip FundEquity - Large CapSBI Magnum Equity ESG Fund(Previously known as SBI Magnum Equity Fund)Equity - Thematic FundSBI Flexicap Fund(Previously known as SBI Magnum Multicap Fund)Equity - Flexicap FundSBI Contra FundEquity - Contra FundSBI Large & Midcap Fund(Previously known as SBI Magnum Multiplier Fund)Equity - Large & Mid Cap FundSBI Focused Equity Fund(Previously known as SBI Emerging Businesses Fund)Equity - Focused FundSBI Magnum MidCap FundEquity - Mid Cap FundSBI Magnum global FundEquity - Thematic FundSBI Small Cap Fund(Previously known as SBI Small & Midcap Fund)Equity - Small Cap FundSBI Long Term Equity Fund(Previously known as SBI Magnum Taxgain Scheme)Equity - ELSSSBI Healthcare Opportunities Fund(Previously known as SBI Pharma Fund)Equity - Sectoral FundSBI Banking And Financial Services FundEquity - Sectoral FundSBI PSU FundEquity - Sectoral FundSBI Magnum Comma FundEquity - Sectoral FundSBI Infrastructure FundEquity - Sectoral FundSBI Consumption Opportunities Fund(Previously known as SBI FMCG Fund)Equity - ThematicSBI Technology Opportunities Fund(Previously known as SBI IT Fund)

2 Equity - Sectoral FundSBI Equity Minimum Variance FundEquity - ThematicSBI Gold FundFund of FundsSBI International Access - US Equity FoFFund of FundsSBI Nifty Index FundIndex FundSBI Equity Hybrid Fund(Previously known as SBI Magnum Balanced Fund)Hybrid - Aggressive Hybrid FundSBI Debt Hybrid Fund(Previously known as SBI Magnum Monthly Income Plan)Hybrid - Conservative Hybrid FundSBI Multi Asset Allocation Fund(Previously known as SBI Magnum MonthlyIncome Plan - Floater)Hybrid - Multi Asset Allocation FundSBI Magnum Children's Benefit Fund - Savings Plan(Previously known as SBI Magnum Children's Benefit Fund) Solutions Oriented Scheme - Children s Equity Savings FundHybrid - Equity Savings FundSBI Arbitrage Opportunities FundHybrid - Arbitrage FundSBI Balanced Advantage FundHybrid - Balanced Advantage FundSBI Magnum Children s Benefit Fund Investment PlanSolutions Oriented Scheme - Children s FundSBI retirement Benefit Fund Aggressive PlanSolutions Oriented Scheme - retirement FundSBI retirement Benefit Fund Aggressive Hybrid PlanSolutions Oriented Scheme - retirement FundSBI retirement Benefit Fund Conservative Hybrid PlanSolutions Oriented Scheme - retirement FundSBI retirement Benefit Fund Conservative PlanSolutions Oriented Scheme - retirement FundSBI Magnum Gilt Fund(Previously known as SBI Magnum Gilt Fund - Long Term Plan)

3 Debt - Gilt FundSBI Magnum Income FundDebt - Medium To Long Duration FundSBI Dynamic Bond FundDebt - Dynamic Bond FundSBI Corporate Bond FundDebt - Corporate Bond FundSBI Credit Risk Fund(Previously known as SBI Corporate Bond Fund)Debt - Credit Risk FundSBI Magnum Medium Duration Fund(Previously known as SBI Regular Savings Fund)Debt - Medium Duration FundSBI Short Term Debt FundDebt - Short Duration FundSBI Magnum Constant Maturity Fund(Previously known as SBI Magnum Gilt Fund - Short Term Plan)Debt - Gilt Fund With 10 Year Constant DurationSBI Magnum Low Duration Fund(Previously known as SBI Ultra Short Term Debt Fund)Debt - Low Duration FundSBI Savings FundDebt - Money Market FundSBI Banking and PSU Fund(Previously known as SBI Treasury Advantage Fund)Debt - Banking And PSU FundSBI Liquid Fund(Previously known as SBI Premier Liquid Fund)Debt - Liquid FundSBI Magnum Ultra Short Duration Fund(Previously known as SBI Magnum InstaCash Fund)Debt - Ultra Short Duration FundSBI Floating Rate Debt FundDebt Floater FundSBI Overnight Fund(Previously known as SBI Magnum InstaCash Fund -Liquid Floater)Debt - Overnight FundSnapshot of Debt Funds & Other CategoriesComparative Performance for all SchemesSystematic Investment Plan (SIP)Total Expense RatiosIDCW History Of Debt & Hybrid FundsBenchmark RiskometerDisclaimerSBI Funds Management Pvt Ltd BranchesHow to read the the Managing Director s DeskDear Investors,Vinay M.

4 TonseManaging Director & CEOThe October-December quarter is always an interesting time of the year owing to the festive state of mind in thecountry. This year that state of mind is even more heightened as we come out of lockdowns - fully or partiallyvaccinated - ready to welcome the festivities with enthusiasm and cheer, the likes of which we haven t seen inrecent memory. The return to normalcy is writ large in every corner as celebrations and festivities are other indicators of a return to normalcy begin with, offices are back to functioning at full capacity as are public modes of transport such as buses,trains, metros, among others. Being able to travel and visit family and friends is definitely a sign of return tonormalcy. Shopping malls and supermarkets are seeing serpentine queues over the weekends while cinematheatres are running at almost full capacity with many more releases lined up.

5 Fireworks at Diwali amid publicgatherings, although small and in controlled environments, is yet another sight that tells us things are slowlychugging back to where they were , the first signs of a return to normalcy were already factored in the by the equity markets. The S&P BSES ensex and NSE Nifty have been hovering at all-time high levels for the past few weeks. While pockets of themarket have been looking precariously expensive, several companies are still looking to hit the market with theirinitial public offerings (IPOs) to get listed on the bourses. IPOs are always seen as an indication of optimism in themarkets. It also shows that there are new opportunities in the market, whatever be its though markets are filled with optimism, they can remain volatile and unpredictable in the short-term butthat shouldn t keep investors from participating in the market.

6 At these levels when equity markets are touchingnew highs and interest rates are expected to stay low, investors could make the best of both by investing inhybrid funds which take exposure to both equity and first-time investors who are looking to start their investment journey, hybrid funds can be the right funds provide diversification within and across asset classes tenets of a healthy investment wishing for higher equity exposure can choose an equity-oriented hybrid fund such as equity hybrid fundswhile those looking for stability with higher debt exposure can choose debt-oriented funds such as debt hybridfunds. Those who wish to have a dynamic mix of both equity and debt could look at dynamic asset allocationfunds which manage exposure to both debt and equity based on market I have mentioned before, there is no right time to enter the market.

7 There will never be the most opportunemoment to make an investment. Markets were and will always be difficult to predict and time. Therefore, the bestthing to do is to stay invested through all market that note, I hope this festive season while you spend on your loved ones and shower them with gifts, you willalso take time to plan for your future and theirs by staying invested in the s wishing you all a happy and prosperous November!Warm Regards,Vinay M. TonseMD & CEO04 Market OverviewA surge in short end rates globally as the markets started to question the narrative of "transitoryinflation"as espoused by central banks was the defining feature over the last month. Even as supply sideinflation remains persistent in a situation where economic growth revival remains broadly on track, recentcomments from key central banks have hinted at some shift in the assessment surrounding inflation.

8 Theresult has been markets repricing expectations of policy normalisation with even rate hike timelines in keydeveloped markets having shifted forward. Market implied policy rates based on Fed Fund Futures havepriced in 2 rate hikes by end of CY 2022 as against nil hikes in 2022 a couple of months : SBIFM research, BloombergWhile markets are prone to overshooting which could lead to some retracement in yields if eventual near-term central bank actions fall short of market pricing, the directional trend remains fairly evident in termsof lesser incremental policy support. While a few central banks in developed markets have initiated thesame with termination of QE by Bank of Canada and dropping of Yield Curve Control by the Reserve Bank ofAustralia respectively, the key Central Bank actions are awaited in the month of November with theexpected taper by the FED and policy statement/ actions from the Bank of equities ended October flat month on month with large caps gaining and mid and small capsreturning and respectively.

9 The month end numbers however mask the high volatilitywitnessed intra month as the strong uptick in the first half was followed by a selloff in the second. Theuptick in volatility is likely to make investors cautious at a time when a slew of large IPOs weighs onliquidity. FPIs have turned sellers as well cashing in on India's sharp outperformance in CY21, havingoutperformed emerging market benchmark by over 25% and developed world benchmark by over 6% thisyear. The outperformance has been pinned on rapid vaccination coverage (64% of India's adult populationEquity05has been vaccinated with the first dose, 24% is fully vaccinated), corresponding uptick in economic activity(which has recovered to 7% above pre-pandemic levels) and continued strong earnings growth (running at20%+ even in the Sep'21 quarter).

10 Structural factors such as global quest for alternatives to China, risingformalization and digitalization, and continued supply side reforms help India's cause too. Democracy,strong institutions and focus on sustainability (including the recent 5-point climate commitment at COP26)make India stand out as an investment destination. Yet, the sharp expansion in valuation premium versuspeers does make Indian equities vulnerable on relative performance in the near key near term uncertainty for markets to grapple with continues to be the strongly divergent trends beingwitnessed in two of the largest economies in the world. While the US Fed inches towards policy normalizationto tackle inflation, China's economic growth continues to slump and has the potential to be deflationary forthe global economy.