NFO Alert: New Fund Offers Launched By Axis Mutual Fund, LIC Mutual Fund - Check Details

The mutual fund industry is witnessing more and more participation from investors in India. Keeping the rising popularity of mutual funds as an asset class in mind, fund houses are trying to provide new investment opportunities to investors.

Amid the rising popularity of mutual funds, two New Fund Offers (NFOs) have been launched by Axis Mutual Fund and LIC Mutual Fund. Here’s a look at some key features of the NFOs which have been launched today:

LIC MF Multi Asset Allocation Fund

LIC Mutual Fund has launched an open-ended scheme which invests in equity, debt and gold

Subscription Period

LIC MF Multi Asset Allocation Fund opened for subscription today January 24. The NFO is scheduled to close for subscription on February 7. The NFO will remain open for a minimum of 3 working days and will not be kept open for more than fifteen days.

Objective of Scheme

LIC MF Multi Asset Allocation Fund aims to generate long-term capital appreciation by investing in a portfolio comprising diverse assets such as equity & equity-related instruments, debt & money market instruments and units of Gold Exchange Traded Funds (ETFs).

Minimum Subscription Amount

The minimum subscription amount during the new fund offer period is Rs. 5,000 and in multiples of Re. 1 thereafter. The minimum subscription amount for SIP investors is as follows:

Daily – Rs. 100 and in multiples of Rs. 1 thereafter.

Monthly –   Rs.   200 and in multiples of Rs. 1 thereafter.

Quarterly – Rs. 1,000 and in multiples of Rs. 1 thereafter 

Minimum Redemption Amount

The minimum redemption or switch-out amount for the scheme is Rs.500 and in multiples of Rs. 1 thereafter or account balance whichever is lower (except demat units).

Who Is The Scheme Suitable For

As per the scheme information document investors seeking capital appreciation over a long period of time can invest in the scheme. Additionally, the scheme is suitable for investors seeking to invest in a diversified portfolio of equity and equity-related instruments, debt and Money Market Instruments and Units of Gold ETFs as per asset allocation pattern.

What Is The Benchmark Index For The Scheme

The LIC MF Multi Asset Allocation Fund tracks the Nifty 500 TRI, Nifty Composite Debt Index and the Price of Domestic Gold.

Investment Plans Offered

The scheme can be invested in via both a regular plan and a direct plan. The Regular Plan is for investors who wish to route their investment through any distributor and the Direct Plan is only for investors who purchase units in a Scheme directly with the Mutual Fund or through a Registered Investment Advisor (RIA).

Axis Nifty500 Momentum 50 Index Fund

The Axis Nifty500 Momentum 50 Index Fund is an Open-Ended Index Fund tracking the Nifty500 Momentum 50 TRI.

Subscription Period

The subscription period for the New Fund Offer Period begins on January 24 and closes on February 07.

Investment Objective

The scheme seeks to provide returns before expenses that correspond to the Nifty500 Momentum 50 TRI.

Who Is The Scheme Suitable For

As per the scheme information document the scheme is suitable for investors who are seeking a long-term wealth creation solution.

Exit Load For The Scheme

If an investor redeems or switches out units within 15 days from the date of allotment as much as 0.25 per cent of the invested amount will be charged as exit load. However, no exit load will be charged 15 days after allotment.

Minimum Application Amount

During the NFO period, investors can subscribe by investing a minimum of Rs. 100 and in multiples of Re. 1/- thereafter. On a continuous basis subscriptions can be made of Rs. 100 and in multiples of Re. 1/- thereof.

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