(An open-ended Target Maturity Index Fund investing in constituents of CRISIL-IBX AAA NBFC Index – Jun 2027. A moderate interest rate risk and relatively low credit risk.)
| Fund Snapshot: –
· An open-ended Target Maturity Index Fund investing in constituents of CRISIL-IBX AAA NBFC Index – Jun 2027. A moderate interest rate risk and relatively low credit risk. · Benchmark: CRISIL-IBX AAA NBFC Index – Jun 2027 · Expected Scheme Maturity Date: 30th June, 2027 · NFO Date: September 13 to September 23, 2024 · Minimum Investment: Rs. 5,000 and in multiples of Rs. 1/- thereafter · Fund Manager: Aditya Pagaria · Exit Load: Nil |
Bengaluru | September 13, 2024: Axis Mutual Fund, one among the fastest growing fund houses in India, announced the launch of their New Fund Offer – AXIS CRISIL-IBX AAA NBFC INDEX – JUN 2027 Fund. It is an open-ended Target Maturity Index Fund investing in constituents of CRISIL-IBX AAA NBFC Index – Jun 2027, a moderate interest rate risk and relatively low credit risk. The new fund will track the CRISIL-IBX AAA NBFC Index – Jun 2027. The fund will be managed by Aditya Pagaria. The minimum investment amount is Rs. 5,000/- and in multiples of Rs. 1/- thereafter. The exit load is Nil.
AXIS CRISIL-IBX AAA NBFC INDEX – JUNE 2027 Fund
The investment objective of the scheme is to provide investment returns before fees and expenses that closely correspond to the total returns of the securities as represented by the CRISIL-IBX AAA NBFC Index – Jun 2027, subject to tracking errors. There is no assurance that the investment objective of the Scheme will be achieved. The scheme would be allocating 95% to 100% of its underlying assets in Fixed Income Instruments replicating CRISIL-IBX AAA NBFC Index – Jun 2027 and the remaining in Debt and Money Market instruments for liquidity purpose. (Please refer to SID for detailed Asset Allocation & Investment Strategy)
The open-ended nature of such a fund means that investors can use systematic investment and withdrawal facilities to tailor entry and exit in the fund to meet investor objectives. The fund is a passively managed scheme by providing exposure to constituents of CRISIL-IBX AAA NBFC Index – Jun 2027 and tracking its performance, before expenses. Furthermore, the Scheme will follow Buy and Hold investment strategy in which debt instruments by NBFCs will be held till maturity unless sold for meeting redemptions/rebalancing.
Top features of the fund include:
- Index YTM: 8.12% (as on 9th Sep 2024)
- Low-Cost Passive Investment: A hassle-free solution for investors looking for a low cost fixed income product
- High quality portfolio: 100% AAA rated assets
- Reduced Bias in Security Selection: As the fund is passively managed and replicates CRISIL-IBX AAA NBFC Index – Jun 2027, there is reduced bias in security selection
- Simple and Easy: Target maturity NBFC portfolio
The above features are based on Index details as on September 9, 2024.
Commenting on the launch of the NFO, Mr. B. Gopkumar, MD & CEO, Axis AMC said, “AXIS CRISIL-IBX AAA NBFC INDEX – JUN 2027 FUND is first NBFC Sector based target maturity mutual fund scheme in India. It gives an opportunity to investors to invest in a high-quality portfolio. Target Maturity Funds can be a viable option for investors seeking some degree of predictability. The newly launched scheme will be an important add on to Axis Mutual Fund’s portfolio of passive debt offerings”
The new fund offers (NFO) open for subscription between September 13 to September 23, 2024.
