Bajaj Finserv Flexi Cap Fund is an open-ended equity scheme investing across large cap, mid cap, small cap stocks. The new fund offer of the scheme will close on August 7. The scheme will be benchmarked against S&P BSE 500 TRI. It will be managed by Nimesh Chandan, Sorbh Gupta (Equity Portion) and Siddharth Chaudhary (Debt Portion). The minimum application amount for lumpsum investment is Rs 500 and in multiples of Re 1. For a systematic investment plan, the minimum investment amount can be from Rs 500 up to Rs 1,000 (minimum 60 instalments) and above Rs 1,000 (minimum 6 instalments).
Kotak Nifty Financial Services Ex-Bank Index Fund is an open-ended scheme replicating/ tracking Nifty Financial Services Ex-Bank Index. The scheme will be benchmarked against NIFTY Financial Services Ex-Bank Index (Total Return Index). The new fund offer of the scheme will close on August 7. The scheme will be managed by Devender Singhal, Satish Dondapati, and Abhishek Bisen. The scheme will follow a passive investment strategy with investments in stocks in the same proportion as in Nifty Financial Services Ex-Bank Index. The investment strategy would revolve around reducing the tracking error to the least possible through rebalancing of the portfolio, taking into account the change in weights of stocks in the index as well as the incremental collections/redemptions from the scheme.
Mirae Asset Nifty 1D Rate Liquid ETF is an open-ended listed liquid scheme in the form of an Exchange Traded Fund, tracking Nifty 1D Rate Index, with daily income distribution cum capital withdrawal (IDCW) and compulsory reinvestment of IDCW option. A relatively low interest rate risk and relatively low credit risk. The new fund offer of the scheme will close on July 26. The investment objective is to seek to provide current income, commensurate with low risk while providing a high level of liquidity through a portfolio of tri-party repo on government securities or t-bills / repo & reverse repo. The scheme will be benchmarked against Nifty 1D Rate Index. The scheme will be managed by Amit Modani.
Should you invest in these NFOs to maximize the returns from your mutual fund portfolio? We typically ask investors to avoid investing in NFOs unless they offer something unique. The uniqueness could be that the scheme is offering an investment option that is not available in the market or offering something extra to an existing option. Otherwise, we believe investors are better off with an existing scheme with a long performance record. This is because you have some historical data to base your investment decision. You don’t have any data when it comes to new offerings. Always consider investing in a scheme based on your financial goal, investment horizon, and risk appetite. Even when you are investing in an NFO don’t ignore these factors.
