Publish Date:
Bajaj Finserv Mutual Fund launches – Bajaj Finserv Balanced Advantage Fund
It is an open-ended dynamic asset allocation fund.
Accordingly, the investment objective of the scheme is to capitalize on the potential upside of equities while attempting to limit the downside by dynamically managing the portfolio through investment in equity & equity related instruments and active use of debt, money market instruments and derivatives. However, there is no assurance that the investment objective of the Scheme will be achieved.
[Read: Why Balanced Advantage Funds Make Sense in the Current Volatile Market Conditions]
Under normal circumstances, Bajaj Finserv Balanced Advantage Fund will hold an allocation of 65% to 90% in Equity and equity related instruments and 10% to 35% in Debt and money market instruments and units of mutual fund schemes.
As per the Scheme Information Document, Bajaj Finserv Balanced Advantage Fund’s primary equity strategy is to build a portfolio of high-growth companies which may have achieved reasonable scale or size.
The focus is primarily on identifying companies with robust business models, sustainable competitive advantages, and superior return ratios compared to their industry peers. The investment process adheres to the INQUBE philosophy framework, considering key factors such as business fundamentals, management quality, and valuation.
[Read: 3 Best Balanced Advantage Funds or Dynamic Asset Allocation Funds…]
Investment strategy emphasizes on capturing term and credit spreads and maintaining a balance between safety, liquidity, and return aspects of various investments. The investment approach combines a top-down perspective for assessing interest rate trends and sector allocation with a bottom-up approach for selecting individual securities and instruments. The fund management team will take an active view of interest rate movements by keeping a close watch on various parameters of the Indian economy, as well as developments in global markets.
Bajaj Finserv Balanced Advantage Fund offers exposure to India’s thriving healthcare sector and its performance will be benchmarked against NIFTY 50 Hybrid Composite debt 50:50 Index
The scheme will be managed by Mr. Nimesh Chandan and Mr. Sorbh Gupta (Equity Portion), Mr. Siddharth Chaudhary (Debt Portion).
The NFO opens for subscription on November 24, 2023 and closes on December 08, 2023. The schemes will reopen for continuous sale and repurchase Within five business days of allotment date.
The minimum subscription amount is Rs 500/- and in multiples of Re.1/- thereof.
The scheme offers Regular Plan and Direct Plan each plan offers Growth option and Income Distribution cum capital withdrawal Option (IDCW).