Mutual fund investment: Bandhan Mutual Fund has introduced the ‘Bandhan Nifty 200 Quality 30 Index Fund’, an open-ended scheme that mirrors the Nifty 200 Quality 30 Index. The NFO for the scheme is currently open for subscription and will close on November 29. The scheme will then resume continuous sale and repurchase on December 5.
The scheme’s investment goal is to mirror the Nifty 200 Quality 30 Index by investing in the same proportion of securities in the index, aiming to deliver returns that closely follow the total return of the Nifty 200 Quality 30 Index, taking into account potential tracking errors. The benchmark for the scheme will be the Nifty 200 Quality 30 Index, and it will be overseen by Nemish Sheth.
Key details:
1. The scheme will be compared to the Nifty 200 Quality 30 Index.
2. Investment Details: Minimum Lumpsum Amount: Rs 1,000 with increments of Rs 1 thereafter.
SIP Investment Amount: Rs 100 with increments of Rs 1 thereafter, with a minimum of six installments.
3. Exit Load: An exit load of 0.25% will be applied if redeemed within 15 days from the allotment date. The exit load will not be applicable if redeemed after 15 days from the allotment date.
4. This scheme is suitable for investors aiming for long-term wealth creation and who are interested in investing in equity and equity related instruments within the Nifty 200 Quality 30 Index.
5. The plan will invest 95-100% of its assets in securities from the Nifty 200 Quality 30 Index, including stock and index derivatives, and 0-5% in debt and money market instruments.
6. The scheme will be passively managed with investments in stocks that mirror the weights of these stocks in the Nifty 200 Quality 30 Index. The investment strategy will focus on minimizing tracking errors by rebalancing the portfolio based on changes in stock weights in the index, as well as incremental collections/redemptions from the scheme.
7. The scheme is fit for those who are looking to invest for a long term and want investment in equity and equity-related instruments belonging to Nifty 200 Quality 30 Index.
8. The principal invested in the scheme will be at “very high” risk according to the riskometer of the scheme.
Canara HSBC Life Insurance’s India Manufacturing Fund
Canara HSBC Life Insurance unveiled the India Manufacturing Fund as part of its Unit Linked Insurance Plan (ULIP) offerings on Thursday, November 7. Investors have the opportunity to subscribe to this New Fund Offer (NFO) at an initial NAV of Rs 10 until November 21, 2024.
The primary objective of the fund is to achieve long-term capital appreciation by capitalizing on the growth in India’s manufacturing sector through a diversified equity portfolio.
With a focus on equity and equity-related investments in the manufacturing industry, the India Manufacturing Fund is designed to create wealth-building opportunities for investors.
Key sectors include Automobiles, Capital Goods, Defence, Healthcare, and Metals.
The fund’s benchmark, the Nifty India Manufacturing Index, covers a range of sectors within Indian manufacturing and is based on free-float market capitalisation.
To reduce risk concentration, each stock has a maximum weight of 5%.
The fund not only offers the opportunity for wealth growth but also includes life insurance benefits. It follows an asset allocation strategy that invests between 60% to 100% in equities and equity-linked instruments, with the remaining 0% to 40% in money market instruments, excluding debt securities. Canara HSBC Life’s Wealth Edge Plan aims to assist customers in reaching their life goals while providing the added security of life insurance coverage to protect against unforeseen events, as mentioned by the insurance company.
Jyoti Vaswani, Chief Investment Officer at Canara HSBC Life Insurance, said, “The India Manufacturing Fund aligns with India’s growth in manufacturing and industry, which drive economic progress. It offers investors exposure to promising companies in this sector.”
Mirae Asset Long Duration Fund
Mirae Asset Mutual Fund has introduced an open-ended debt scheme called the ‘Mirae Asset Long Duration Fund’, with a primary focus on government securities and other debt assets, as stated in an official announcement by Mirae Asset Investment Managers (India).
The New Fund Offer (NFO) will be open for subscription from November 21 to December 2, 2024. The fund’s performance will be evaluated against the AMFI Tier 1 Benchmark, specifically the CRISIL Long Duration Debt A-III Index.
It will be overseen by Kruti Chheta, who serves as the Fund Manager and Fixed Income Analyst.
The scheme will reopen for continuous sale and repurchase on December 9, 2024.
During the NFO period, the minimum initial investment required for the scheme is Rs 5,000, with subsequent investments being multiples of Re 1.
The fund has been structured to cater to investors seeking to capitalize on interest rate fluctuations, while primarily investing in government securities, corporate bonds, and state development loans (SDLs). This fund is suitable for investors looking to make strategic allocations within their overall debt portfolio.
It mainly invests in a mix of top-rated instruments, such as long-term government securities, AAA-rated corporate bonds, and other debt instruments. By maintaining a Macaulay duration exceeding seven years, the fund aims to align with a more extended investment timeframe.
Mahendra Kumar Jajoo, Chief Investment Officer – Fixed Income, Mirae Asset Investment Managers (India), said: “Building on the robust foundation of our debt offerings established over the years, Mirae Asset Long Duration Fund broadens our product suite, offering investors a diversified range of choices. India’s strengthening structural growth suggests a long term trend of declining yields in line with global patterns. This fund is thoughtfully designed to align with those long-term expectations.”
Kruti Chheta, Fund Manager & Fixed Income Analyst, Mirae Asset Investment Managers (India), said, “In the backdrop of stable growth and declining inflation India is set to take the next step towards building a structural story. As India moves a step closer to top three economies, the interest rate framework might also reset towards lower interest rates. Investors may consider this fund as part of a diversified portfolio, especially those looking to manage interest rate cycles effectively while balancing risk and returns.”
