Publish Date:
Mahindra Mutual Fund introduces – Mahindra Manulife Business Cycle Fund
It is an open-ended equity scheme following business cycles based investing theme
Accordingly, the investment objective of the scheme is to generate long term capital appreciation by investing predominantly in equity and equity related securities with a focus on identifying and investing in business cycles through dynamic allocation between various sectors and stocks at different stages of business cycles in the economy. However, there is no assurance that the objective of the Scheme will be realized.
Under normal circumstances, Mahindra Manulife Business Cycle Fund will hold an allocation of 80% to 100% of its assets in Equity and Equity related instruments of companies selected based on the business cycle theme, 0% to 20% in Equity and Equity related instruments of companies other than above, 0% to 20% in Debt and Money Market Securities# (including TREPS (Tri-Party Repo) and Reverse Repo in Government Securities) and 0% to 10% in Units issued by REITs & InvITs.
As per the Scheme Information Document, Mahindra Manulife Business Cycle Fund aims to invest in equity and equity related securities with a focus on investing in companies and sectors to participate in the business cycles through active portfolio allocation. The portfolio management would involve active allocation between sectors and stocks based on the stages of business cycles in the economy as business growth for various sectors have a lead or a lag effect vis a vis economy.
The Scheme may also invest some portion of the investible funds in equity and equity related securities of companies other than in the companies selected based on the business cycle theme. The Scheme would follow the top-down approach of portfolio construction to identify the stage of business cycle, through domestic and global risk appetite and liquidity analytics, to arrive at a risk on/risk off assessment for sectors.
Mahindra Manulife Business Cycle Fund performance will be benchmarked against Nifty 500 TRI
The scheme will be managed by Mr Krishna Sanghavi, Mr Renjith Sivaram Radhakrishnan and Mr Kush Sonigara
The NFO opens for subscription on August 21, 2023 and closes on September 04, 2023. The schemes will reopen for continuous sale and repurchase on September 13, 2023.
The fund's face value is Rs 10/- per unit. The minimum subscription amount is Rs 1,000/- and in multiples of Re. 1/- thereof.
The scheme offers Regular Plan and Direct Plan each plan offers Growth and Income Distribution cum capital withdrawal option (IDCW) option.