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Nippon India Flexi Cap Fund NFO Review

Updated: Jul 26, 2021


Nippon India Mutual Fund has announced the launch of Nippon India Flex Cap Fund. The scheme would be an open-ended scheme that will invests across market capitalization of stocks i.e., large caps, mid-caps, and small caps. It means a single Flexi Cap fund itself will act like a diversified portfolio.

The NFO will be open for subscription from 26 July 2021 to 9 August 2021. The fund will be re-opened for continuous sale and repurchase within 5 business days of allotment.


INVESTMENT OBJECTIVE OF THE SCHEME

The primary investment objective of the scheme is to seek to generate capital appreciation & provide long-term growth opportunities by investing in a portfolio constituted of equity securities & equity related securities and the secondary objective is to generate consistent returns by investing in debt and money market securities.

The fund will have the flexibility to invest in a broad range of companies with an objective to maximize the returns, at the same time trying to minimize the risk by reasonable diversification. However, there can be no assurance that the investment objective of the scheme will be realized, as actual market movements may be at variance with anticipated trends

INVESTMENT STRATEGIES?

According fund house the scheme will attempt to provide long-term wealth creation by dynamically managing investments in large, mid and small cap stocks.

For investment in equity and equity related securities, the scheme will identify companies for investment based on the following criteria amongst others:

a) Sound Management

b) Good track record of the company

c) Possibility of future growth

d) Industry Economic Scenario

For investments in debt securities, income can be generated through receipt of coupon payments, amortization of discounts on debt instruments, or through the purchase and sale of securities in the underlying portfolio. The fund will have the flexibility to invest in a wide range of companies with the aim of maximizing returns, as well as attempting to minimize risk by appropriate diversification.


Benchmark : Scheme benchmark will NIFTY 500 TRI

Scheme Asset Allocation:

Under normal circumstances, the anticipated asset allocation would be:

NFO Details:

Fund Managers:

The fund will be managed by Manish Gunwani, chief investment officer-equity along with Dhrumil Shah, Varun Goenka and Nikhil Rungta (co-fund manager), Kinjal Desai, fund manager-overseas.


Performance of existing Flexi Cap Funds

Here is the performance of some existing flexicap funds. This would give an idea to investors on how these funds have performed in medium to long term. Returns indicated here are annualized returns


Suitability : This product is suitable for investors who are seeking*:

  • Long Term Capital Appreciation

  • An open ended dynamic equity scheme investing across large cap, mid cap and small cap stocks

  • Investors who have an investment tenure of 5 years or more should invest in this scheme

 
 

*Investors should consult their financial advisors if in doubt about whether the product is suitable for them

Note: The above information has been sourced from the Scheme Information Document provided by Nippon India Asset Management. Read the entire document before investing,

Disclaimer: Jaiprakash (ARN/Distributor - 70524; brand name Vasundhra Investment ) is the

distributor of the mutual fund. Please consult your investment advisor before investing

Mutual Fund investments are subject to market risks, read all scheme related documents carefully.



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