Publish Date:
Nippon India Mutual Fund has launched Nippon India Asset Allocator FoF.
It is an open-ended fund of funds scheme investing in equity-oriented schemes, debt-oriented schemes and gold ETF of Nippon India Mutual Fund.
The primary investment objective of the Scheme is to seek long term capital growth by investing in units of equity-oriented schemes, debt-oriented schemes and gold ETF of Nippon India Mutual Fund. However, there can be no assurance that the investment objective of the scheme will be achieved.
Under normal circumstances, Nippon India Asset Allocator FoF will hold an allocation of 0% to 100% of its assets in Equity oriented schemes, and 0% to 100% of its assets in Debt oriented schemes. It will hold 0% to 25% of its assets in Gold ETF, and 0% to 5% in Money Market Instruments & Units of Liquid Schemes.
Accordingly, Nippon India Asset Allocator FoF will invest in the units of equity oriented schemes, debt oriented schemes and gold ETF of Nippon India Mutual Fund. The scheme may also invest in Money Market Instruments and units of Liquid schemes. It will remain invested at least 95% (minimum allocation) in the underlying schemes at all points of time.
The Scheme will follow an in-house proprietary model to determine the optimum allocation in equity, debt and gold. The rebalancing will be done on a monthly basis.
The model consists of following broad parameters:
Nippon India Asset Allocator FoF’s performance will be benchmarked against CRISIL Hybrid 50 + 50 - Moderate Index.
It will be managed by Mr Prashant Pimple and Mr Ashutosh Bhargava.
The NFO opens for subscription on January 18, 2021 and closes on February 01, 2021. The scheme will reopen for continuous Sale and Repurchase not later than February 15, 2021.
The fund’s NAV is priced at Rs 10/- per unit during the NFO period. 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 Dividend Option (Dividend Re-investment and Dividend Pay-out facilities).