Bajaj Finserv Asset Management has announced the establishment of an open-ended equity strategy focused on just 25-30 large-cap firms. Bajaj Finserv Large Cap Fund will be measured against the Nifty 100 Total Return Index (TRI). Its high active share strategy seeks to generate greater risk-adjusted returns over time. "Having a substantial active stake in the portfolio is necessary to exceed the benchmark. In a news statement, Nimesh Chandan, chief investment officer of Bajaj Finserv Asset Management, stated that the largecap fund will maintain a high active allocation, concentrating on 25-30 businesses.
"Bajaj Finserv Large Cap Fund offers investors a unique opportunity to invest in the champions of corporate India through a single investment avenue," said Ganesh Mohan, CEO of Bajaj Finserv Asset Management, in a statement.
The business stated that the investing approach is consistent with its research, which discovered that largecap stocks are trading at close to their fair value, making them an appealing long-term investment opportunity. The study also found that such equities lose less and recover quicker than mid and smallcap firms during market downturns. According to Mohan, research shows that the Nifty 100 TRI Index has fared well in 18 of the previous 21 years.
Investment Allocation
The Bajaj Finserv AMC Large Cap Fund would invest 80 percent to 100 percent of its assets in large-cap stocks and equity-linked securities. It may invest up to 20% of its assets in shares and equity-related securities of non-large-cap firms, equity and equity-related securities of overseas corporations, or debt or money market securities. It may also invest between 0% and 10% in REIT and InvIT units.
Investment Period
NFO starts for subscriptions on July 29th and ends on August 12th, 2024.
Minimum Investment
The program will be provided as direct and regular plans via growth and IDCW choices with a minimum investment of Rs. 500 for both lump payment and SIP.
Fund Managers
The fund will be managed by Nimesh Chandan, Sorbh Gupta, and Siddharth Chaudhary.
