Axis Mutual Fund has launched a diversified equity fund, Axis Equity Fund. The fund house started off in October with the launch of Axis Liquid Fund and Axis Treasury Advantage Fund.
The fund seeks long-term capital appreciation from a diversified portfolio of stocks across the market capitalization spectrum. The fund will follow a bottom-up stock-picking system and focus on growth companies with sustainable business models.
The fund has enabling provisions to be fully invested in derivatives, up to 40 per cent in overseas financial markets through ADRs, GDRs, foreign equity and debt and in its own or other mutual funds.
Chandresh Nigam, 40, is an engineer and holds a PGDM from IIM-Calcutta and has an 18-year experience in equity markets. Prior to Axis he was advisor to TCG Advisory Services and has also served as Fund Manager, ICICI Prudential AMC.
Axis AMC, a wholly-owned subsidiary of Axis Bank, is a new entrant in the fund management business. The start its operations, it filed four offer documents with the Securities and Exchange Board of India (SEBI) -- Axis Equity Fund, Axis Liquid Fund, Axis Treasury Advantage Fund and Axis Tax Saver Fund. The company has already launched its two fixed income funds -- Liquid Fund (Net Assets Rs 295 crore) and Treasury Fund (Net Assets Rs 1,177 crore).
Type: Open-End Growth Scheme
NFO Opens: November 11, 2009
NFO Closes: December 08, 2009
NFO Price: Rs 10 per unit
Options: Growth and Dividend (payout and reinvestment)
Minimum Application Amount: Rs 5,000 and in multiples of Re 1 thereafter
Minimum Additional Purchase Amount: Rs 100 and in multiples of Re 1
SIP Investment: Available at minimum SIP installment of Rs 1,000 and in multiples of Re 1 thereafter; minimum number of SIP installments is 36
Minimum Target Amount: Rs 1 cr
Benchmark: S&P CNX Nifty
Load Structure (During NFO):
Entry Load: Nil
Exit Load: 1 per cent if units are redeemed/switched within 1 year from date of allotment
Annual Recurring Expense (maximum): 2.50 per cent (including Investment Management fee of 1.25 per cent).