Publish Date:
Canara Robeco Mutual Fund (MF) has launched an open ended equity scheme - Canara Robeco Focused Equity Fund.
Following a focused investment mandate, the scheme will be investing in maximum of 30 stocks in large cap, mid cap and small cap companies.
Accordingly, the investment objective of the scheme is to generate long term capital appreciation/income by investing in equity and equity related instruments across market capitalization of up to 30 companies. However, there can be no assurance that the investment objective of the Scheme will be realized.
Under normal circumstances, 65% to 100% of the funds portfolio will be invested in Equity & Equity related instruments (Subject to overall limit of 30 stocks). Whereas upto 35% of its assets can be invested in Debt & Money Market Instruments. The Scheme may seek to invest upto 10% of its net assets in Units issued by REITs and InvITs, upto 5% in Units of MF schemes, and upto 10% Equity Exchange Traded Funds.
The investment strategy of Canara Robeco Focused Equity Fund as mentioned in the Scheme Information Document (SID) is as follows:
The scheme will aim to invest predominantly equity and equity related instruments with an aim to generate long-term capital appreciation from a concentrated portfolio of predominantly equity and equity related securities with higher focused approach of investing in upto a maximum of 30 stocks across market capitalization.
Canara Robeco Focused Equity Fund shall follow an active investment style and it will seek to invest in companies with strong competitive position, ability to increase the market share, good financial track-record along with quality management that may help them to achieve good growth over medium to long term.
The scheme would take concentrated exposure in not more than 30 high conviction stocks in sectors depending on the growth opportunities.
While making investment decisions, besides other factors, the impact of the prevailing economic environment over the medium to long term prospects of the companies will also be taken into consideration. The AMC will endeavour to meet the investment objective of the scheme while maintaining a balance between safety, liquidity and return on investments.
The scheme’s performance will be benchmarked against S&P BSE 500 – TRI (Total Return Index).
It will be managed by Mr Shridatta Bhandwaldar.
The NFO opens for subscription on April 23, 2021, and closes on May 07, 2021. The scheme will reopen for fresh investments on May 18, 2021.
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 Option (Re-investment and Pay-out facility).