Friday, Dec 01, 2023

Mirae Asset Flexi Cap Fund To Capture Growth Across Market Caps, NFO Runs From Feb 3-17—Should You Consider?

Outlook Money

Mirae Asset Flexi Cap Fund To Capture Growth Across Market Caps, NFO Runs From Feb 3-17—Should You Consider?

The Mirae Asset Flexi Cap Fund is benchmarked against the NIFTY50 TRI, and covers sectors across market capitalisations.

mutual funds

Mirae Asset Mutual Fund has announced the launch of Mirae Asset Flexi Cap Fund, an open-ended dynamic equity fund investing across large, mid, and small-cap stocks.

The new fund offer (NFO) runs from February 3 to 17. The minimum subscription amount is Rs 5,000, and after that, in multiples of Re 1. The fund is benchmarked against the NIFTY50 TRI.

Commenting on the fund, Swarup Mohanty, CEO of Mirae Asset Investment Managers (India) Pvt. Ltd., in a press release, said, “Our product aims to reflect the market conditions while addressing the risk-reward factor and the Mirae Asset Flexi Cap Fund can be an integral part of investors’ portfolio for long-term.”
He added, the “Fund is being offered at a time when India’s macro-economic outlook is robust and the capex cycle across many segments is set to witness a significant uptrend.”

Who Should Invest?

Mirae Asset Flexi Cap Fund is ideal for investors looking to stay invested for more than five years Investors building a core portfolio comprising large, mid, and small cap stocks, using a single fund can also consider. The scheme offers both direct and regular plan.

Fund manager Vrijesh Kasera said: “The India story is still resilient and investors could experience the benefit of participating in the growth of the Indian economy. Through our bottom up stock selection process, we will invest in companies with growth potential” for long-term hold. 

He said that such opportunities are available across market capitalisations, and so, these stocks will be selected from diverse sectors with substantial growth potential.

Key Features:
•    The flexi cap fund will invest across market capitalisation—large, mid, and small cap stocks.
•    As such, it offers wide investment avenues to help investors capture the growth curves across sectors.
•    Offers a mix of value and growth stocks
•    Diversification of ideas, sectors, market caps and risk
•    Opportunity to tap India’s growth story
•    The fund comes with high risks

With India’s economic outlook improving post covid-19, the mutual fund houses have been launching a slew of schemes across sectors and asset classes to capture the growing interest of investors in the stock market. 

On Thursday, Nippon India Mutual Fund announced the launch of Nippon India Nifty SDL plus G-Sec June 2029 Maturity 70:30 Index Fund, an open-ended target maturity index fund, investing primarily in government securities (G-Secs) and state development loans (SDL).

The NFO opens on February 6 and closes on February 14, 2023. The scheme will track the Nifty SDL plus G-Sec Index for performance, subject to tracking errors.
In October last year, Mirae Asset AMC launched two new target maturity index funds: Mirae Asset Nifty AAA PSU Bond Plus SDL April 2026 50:50 Index Fund and Mirae Asset CRISIL IBX Gilt Index – April 2033 Index Fund. Both these open-ended plans seek to capitalise on the emerging opportunities from the high interest rate environment. However, they have high interest rate risk and relatively low credit risk.