The scheme will be a true to label fund in its category with a potential high active share component. It will focus on targeting future profit pool industries and will have a relatively low turnover ratio. The scheme is being managed by Nimesh Chandan, Chief Investment Officer, and Sorbh Gupta (Equity portion) and Siddharth Chaudhary (Debt portion). The fund will be benchmarked against S&P BSE 500 TRI.
Bajaj Finserv Flexi Cap Fund will follow an investment philosophy based on InQuBe – the AMC’s proprietary framework that adds the layer of behavioural finance to the Informational and Quantitative edges. By doing this, it seeks to eliminate behavioural biases in investment decision making. The stock selection can be based on multiple parameters such as company fundamentals, valuations, and most importantly MEGATRENDS across Technological, Regulatory, Economic, Nature, Demographic and Social changes.
Speaking on the launch of the product, Ganesh Mohan, CEO, Bajaj Finserv Asset Management, said, “Flexi Cap as a category is the most flexible amongst the equity scheme offerings and we believe it can become an integral part of investors’ core portfolio, especially those who are looking for long-term investments and value creation. We recognise the scope and need for differentiation in the industry which we are trying to fill through our MEGATRENDS investing approach and we believe it has the potential to be a game-changer for this category. Megatrends investing in Flexi Cap truly unlocks the power of ‘flexibility’ in this category, making this a smart product for investors.”
He further added, “India is a high growth economy showing resilience and continues to be one of the most favourable investment destinations in the world. This provides an opportunity to investors who could benefit from the growth of the economy and its diverse sectors contributing towards this growth. Our Flexi Cap Fund is powered by a MEGATRENDS strategy which means the fund manager would invest with an aim to come into trend at the right time and exit at the right time as well.”
Nimesh Chandan, CIO, Bajaj Finserv Asset Management, said, “Bajaj Finserv Flexi Cap Fund is based on MEGATRENDS which are powerful long-term changes that affect economies, businesses, and companies. Spotting Megatrends paves the way for long term Buy-and-Hold investing opportunities and this is a key differentiator between cyclical, thematic and factor investing. Our portfolio will be long-term, multi-thematic, multi-cap, multi-sector and growth-oriented.”He also added, “Equity returns tend to correlate with profit stream dynamics. Megatrends investing helps in identifying future profit movements and positioning the portfolio appropriately. This investing approach combines both top-down and bottom-up analysis. The Megatrends filter acts as a top-down layer, while bottom-up analysis helps in identifying businesses that are suited to benefit from those trends.”The New Fund Offer (NFO) opens for subscription on July 24, 2023 and closes on August 7, 2023.
