Publish Date:
Baroda Mutual Fund (MF) has launched an open ended equity scheme - Baroda Large and Mid Cap Fund, focused on creating long term capital growth by investing in a mix of Large & Mid cap stocks.
As defined by SEBI, large and mid-cap funds should invest a minimum 35% in large cap companies, and another 35% in mid-cap companies.
The investment objective of Baroda Large and Mid Cap Fund is to seek long term capital growth through investments in both large cap and mid cap stocks. However, there is no assurance or guarantee that the investment objective of the Scheme will be realized.
Baroda Large and Mid Cap Fund would invest in a minimum of 35% in Large & Mid cap stocks each with a maximum cap of 65% in each. The fund can also invest upto 30% of the corpus in other equities including small-cap stocks, debt & money market instruments, REITs / InVITs. Due to their exposure in both large and mid cap stocks, these funds are positioned on a higher risk return trade-off as compared to a pure Large cap fund, but less riskier than a Multi-cap fund.
The scheme’s performance will be benchmarked against S&P BSE 250 Large MidCap 65:35 - TRI (Total Return Index).
It will be managed by Mr Sanjay Chawla (Chief Investment Officer) and Mr Ashwani Kumar Agarwalla (Senior Analyst) - (Dedicated fund manager for overseas investments).
The NFO opens for subscription on August 17, 2020 and closes on August 31, 2020. The scheme will reopen for fresh investments on September 14, 2020.
The minimum subscription amount is Rs 5,000 and in multiples of Rs 1 thereafter.
The fund offers Regular Plan and Direct Plan having Growth Option and Dividend Option (Dividend Re-investment and Dividend Pay-out facilities).