Multi Asset Allocation Fund:Bajaj Finserv Asset Management Limited (Bajaj Finserv AMC) has announced the launch of Bajaj Finserv Multi Asset Allocation Fund. It is an open-ended scheme designed to provide diversified investment opportunities to investors. The fund offers exposure to different asset classes including equity with High Dividend Yield Strategy, debt with dynamic duration management, commodity and Real Estate Investment Trust (REIT) or Infrastructure Investment Trust (InvIT).
In equity matters, the fund will be jointly managed by Nimesh Chandan and Saurabh Gupta, for fixed income, the fund will be jointly managed by Nimesh Chandan and Siddharth Chaudhary and for commodity investments, the fund will be jointly managed by Vinay Bafna. The new fund offer has opened for subscription today on 13th May and will close on 27th May 2024. Thereafter, this offer for subscription will open on on-going basis on or before 6 June 2024. The benchmark of the fund is 65% Nifty 50 TRI + 25% Nifty Short Duration Debt Index + 10% Gold Domestic Prices
Where and how much funds will be invested
Bajaj Finserv Multi Asset Allocation Fund invests in different asset classes with different allocations. It maintains a diversified portfolio with equity allocation ranging from 35 percent to 80 percent. Along with this, it employs dividend yield strategy, multi-theme and multi-sector approach and multi-cap orientation. With an emphasis on quality portfolio and safety first approach, the fund allocates 10% to 55% to fixed income instruments. Additionally, it allocates 10 percent to 55 percent to commodities. It provides exposure to gold ETFs, silver ETFs and exchange-traded commodity derivatives, offering upside potential and protection in case of equity volatility. Apart from this, this fund can allocate 0 percent to 10 percent to REIT or InvIT.
Dividend Yield Strategy
Ganesh Mohan, CEO, Bajaj Finserv AMC, said that Bajaj Finserv Multi Asset Allocation Fund offers investors a unique opportunity to access multiple asset classes through a single investment. It is India’s first multi asset fund that offers dividend yield strategy. The objective of this strategy is to provide better returns to investors along with stability. The fund’s asset allocation decisions are informed by a comprehensive assessment of macroeconomic factors, valuation metrics and investor behavior. We have an investment philosophy that focuses on gaining an edge in information, volume and practicality to outperform the market. Our objective is to offer a robust portfolio that can navigate varying market conditions and deliver consistent returns.
Ability to give better returns
Nimesh Chandan, CIO, Bajaj Finserv AMC, said that we believe in a disciplined approach to asset allocation considering macroeconomic factors, valuation metrics and investor behavior. In the current environment our focus is on dividend yield based investments. It has the ability to reduce the impact of volatility and provide better returns for investors. Investors who want an all-season investment opportunity with higher returns, professional asset allocation and lower volatility than pure equity funds can consider Bajaj Finserv Multi Asset Allocation Fund.
Entry Load: Not Applicable
Exit Load: For every purchase of units through Lump Sum/Switch-in/Systematic Investment Plan (SIP) and Systematic Transfer Plan (STP) it will be as follows:
If units are redeemed/switched out within 1 year from the date of allotment:
– Up to 30% of allotted units are redeemed/switched out – Zero
– Units redeemed/switched-out more than 30% of the units allotted – 1% of applicable NAV
No exit load is to be paid if units purchased or switched from any other scheme of the fund are redeemed or switched after 1 year from the date of allotment.
