Mutual Fund News : BNP Paribas Mutual Fund Introduces BNP Paribas Funds Aqua Fund of Fund

Publish Date:

BNP Paribas Mutual Fund has launched an open-ended fund of fund scheme - BNP Paribas Funds Aqua Fund of Fund.

The scheme will be investing its assets in BNP Paribas Funds Aqua (Lux) i.e. the Underlying Fund, which aims to invest in attractive global companies that are part of the growing global water value chain.

The primary investment objective of the Scheme is to seek capital appreciation by investing predominantly in units of BNP Paribas Funds Aqua (Lux).

However, there can be no assurance that the investment objectives of the Scheme will be realized. The Scheme does not guarantee / indicate any returns.

BNP Paribas Funds Aqua Fund of Fund is a passively managed fund mandated to invest 95% to 100% of its net assets in Units of BNP Paribas Funds Aqua (Lux) and 0% to 5% of the net assets in Money market instruments and / or units of liquid schemes.

Accordingly, the Scheme will invest predominantly in units of BNP Paribas Funds Aqua (Lux). The Scheme may also invest a certain portion of its corpus in Money Market Instruments and/or money market/overnight/liquid schemes of BNP Paribas Mutual Fund, in order to meet liquidity requirements from time to time.

About BNP Paribas Funds Aqua (Lux):

BNP Paribas Aqua (Lux) seeks to achieve sustainable, above market returns over the longer term by investing globally in companies active in the rapidly growing water value chain.

It invests in profitable companies growing faster than the broader market due to rising demand for environmental products and services.

The water investment universe offers diversification across geographic regions, end markets and sectors to allow the portfolio managers to build balanced portfolios of both defensive and cyclical stocks and to position per Impax's macroeconomic forecast.

The fund offers a high active share versus global equities, whilst still maintaining similar risk characteristics to a broader equity portfolio.

The investable universe of the fund has a high exposure to fast growing, global mid cap equities.

As of March 2021, BNP Paribas Aqua (Lux) held 48% allocation to North American region i.e. United States; and 34% in European region [United Kingdom, Switzerland, France, Netherlands, Denmark, Sweden, Austria]; 5% in Japan; 3% in China; and around 6% in other countries.

BNP Paribas Funds Aqua Fund of Fund’s performance will be benchmarked against MSCI World Index (NR).

The fund will be managed by Mr Abhijeet Dey and Mr Karthikraj Lakshmanan.

The NFO opens for subscription on April 16, 2021, and closes on April 30, 2021. The scheme will reopen for continuous sale and repurchase within five Business Days from the date of allotment.

The minimum subscription amount is Rs 5,000 and in multiples of Re 1 thereafter.

The fund offers Regular Plan and Direct Plan having Growth Option and Income Distribution cum Capital Withdrawal (IDCW) Option (Re-investment and Pay-out facilities).