Life insurer, Axis Max Life Insurance has announced the launch of a new fund on January 2. The newly launched fund is called ‘Axis Max Life Sustainable Wealth 50 Index Fund’ .
Here’s a look at some key things you should know about Axis Max Life Sustainable Wealth 50 Index Fund:
Axis Max Life Sustainable Wealth 50 Index Fund: Objective Of The Scheme
The Axis Max Life Sustainable Wealth 50 Index Fund plans to invest in stocks of companies that generate consistent cash flows based on the Axis Max Life Sustainable Yield Index. The Axis Max Life Sustainable Yield Index is a customised index computed and maintained by NSE Indices Limited according to a release by Axis Max Life Insurance.
“We have worked with Axis Max Life Insurance to create this customised index based on Axis Max Life Insurance’ methodology. The Customised Index will be computed and maintained by NSE Indices Limited,” Mukesh Agarwal the CEO of NSE Indices Limited said in the release.
The index aims to select 50 top-performing stocks from the NSE 500 based on their Free Cash Flow Yield (FCF Yield). The index will assess the Dividend Yield of financial companies to rank their performance. The index excludes Axis Bank and Axis Max Life Group stocks along with companies in the Nifty 500 Index that feature negative net worth.
Axis Max Life Sustainable Wealth 50 Index Fund: Asset Allocation
The Axis Max Life Sustainable Wealth 50 Index Fund proposes to allocate 80-100 per cent of the total funds in equity and 0-20 per cent in cash and money market instruments.
Axis Max Life Sustainable Wealth 50 Index Fund: How To Apply
Currently, investors can apply for the fund through Axis Max Life's Online Unit Linked Insurance Plans (ULIP ) products, including the Online Savings Plan and Flexi Wealth Advantage Plan. However investment in the fund will be included in additional products in the future.
Who Is The Scheme Suitable For?
The life insurer said in the release that the fund offers exclusive access to a quantitative, factor-based index. The life insurer added that the fund caters to investors who are seeking stability and performance.
‘As the first proprietary index fund in the insurance industry, the Axis Max Life Sustainable Wealth 50 Index Fund offers exclusive access to a quantitative, factor-based index and aligns with investor demand for sustainable and value-driven investments. By focusing on companies with strong cash flows and consistent growth potential, it caters to customers seeking stability and performance,” Axis Max Life Insurance said in the release.
Sachin Bajaj the EVP and Chief Investment Officer of Axis Max Life said that the fund leverages the power of a unique factor-based index and he expects the fund to be a valuable addition to the company’s portfolio.
"The launch of the Axis Max Life Sustainable Wealth 50 Index Fund, reaffirms our commitment to providing value-driven investment options that address evolving market dynamics and investor priorities. This fund leverages the power of a unique, factor-based index that identifies companies with robust cash flows based on our internal methodology. We believe this fund will be a valuable addition to our portfolio and strengthen our position as one of India’s leading life insurance companies," Bajaj said.
