Publish Date:
Axis Mutual Fund has Introduced a new scheme – Axis NASDAQ 100 Fund of Fund
It is an open-ended fund of fund scheme investing in units of ETFs focused on the Nasdaq 100 TRI.
Accordingly, the investment objective of the scheme is to replicate the performance of the Nasdaq 100 TRI by investing ETFs whose primary objective is to track/replicate the performance of the Nasdaq 100 TRI, subject to tracking errors. However, there is no assurance or guarantee that the investment objective of the scheme will be achieved.
Under normal circumstances, Axis NASDAQ 100 Fund of Fund will hold an allocation of 95% to 100% of its assets in Units of overseas ETFs focused on Nasdaq 100 TRI and 0% to 5% in Debt, Money market instruments.
As per the Scheme Information Document, Axis NASDAQ 100 Fund of Fund aims to provide long term capital appreciation by replicating the performance of the Nasdaq 100 TRI by investing in ETFs whose primary objective is to track/replicate the performance of the Nasdaq TRI Index. The Nasdaq 100 is one of the world’s preeminent large-cap growth indexes. It includes 100 of the largest domestic and international non-financial companies listed on the Nasdaq Stock Market based on market capitalization. While technology is a dominant segment in the index, it is well-balanced by sectors such as consumer services, healthcare, consumer goods, and industrials amongst others.
The exchange traded fund route is one of the most efficient ways to gain exposure to the index. The fund may use one or more ETFs mentioned below to achieve its investment objective. The scheme may also invest in similar overseas Exchange Traded Funds which shall have similar investment objective, asset allocation, benchmark, investment strategy.
Axis NASDAQ 100 Fund of Fund’s performance will be benchmarked against NASDAQ 100 TRI (INR).
The scheme will be managed by Mr Hitesh Das
The NFO opens for subscription on October 07, 2022 and closes on October 21, 2022. The schemes will reopen for continuous sale and repurchase Within 5 Business Days from the date of allotment.
The fund’s NAV is priced at Rs 10/- per unit during the NFO period. The minimum subscription amount is Rs 500/- and in multiples of any amount thereafter.
The scheme offers Regular Plan and Direct Plan each plan offers Growth and Income Distribution cum capital withdrawal option (IDCW) option.
[Read: Axis NASDAQ 100 Fund of Fund: Should You Consider International Allocation in Your Portfolio?]