Axis NASDAQ 100 Fund of Fund NFO

Axis NASDAQ 100 Fund of Fund NFO Review

Trupti Jalan •

Updated on 3 Apr, 2024

Reviewed by

Fact checked by

4 Mins

Article Content

Objective
Fund Details
Who Can Invest?
Fund Manager
Asset Allocation
Frequently Asked Questions

Axis to launch a new fund in the fund of fund category: Axis NASDAQ 100 Fund of Fund

Axis Mutual Fund is launching a new FOF, Axis NASDAQ 100 Fund of Fund, that invests in units of ETFs focussed on NASDAQ 100 Index.

The New Fund Offer (NFO) period for the Axis NASDAQ 100 Fund of Fund is from October 7^th 2022 to October 21^st 2022. The scheme re-opens for continuous repurchases within five business days from the date of allotment.

Objective

The fund’s primary objective is to replicate the performance of the Nasdaq 100 TRI by investing in ETFs whose primary objective is to track/replicate the performance of the Nasdaq 100 TRI, subject to tracking errors. However, there is no assurance or guarantee that the investment objective of the scheme will be realised.

Fund Details

Axis NASDAQ 100 Fund of Fund	Details
NFO Opening Date	October 7^th 2022
NFO Closing Date	October 21^st 2022
Re-open Date	Within five Business Days from the date of allotment
Type of Fund	Open-ended fund of fund
Fund Manager	Mr Hitesh Das
Minimum Investment Amount	INR 500
Minimum Additional Purchase Amount	INR 100
Exit Load	0-1%
Suitability	Very High
Benchmark	NASDAQ 100 Index
Plans and Options	Regular Plan & Direct Plan

NOTE:

All additional investment amounts should be multiple of INR 1/-
Minimum SIP/SWP/STP for monthly frequency is INR 500, quarterly frequency is INR 1000, and half-yearly frequency is INR 2000/-

Who Can Invest?

Axis NASDAQ 100 Fund of Fund invests in units of ETFs that replicate the performance of NASDAQ 100 Index. The ETFs that the fund will invest in are Xtrackers Nasdaq 100 UCITS ETF, iShares Nasdaq 100 UCITS ETF, and Invesco EQQQ Nasdaq-100 UCITS ETF. Even though investments through FOFs are convenient than ETFs, investors must know that these funds have a higher expense ratio. These funds offer a higher potential for growth while being prone to significantly higher risk.

This fund aims to achieve the performance of the underlying equity index. Also, it offers good diversification by giving access to international markets. Thus, this fund is aimed at investors seeking global markets exposure with high risk tolerance and a long term investment horizon of 5+ years.

Popular Funds by Axis Mutual Funds

Fund Manager

Mr. Hitesh Das

Mr Das has over 9 years of experience in financial markets. He joined Axis Mutual Fund in 2015. Prior to working with Axis, he worked with Barclays and Credit Suisse Securities India. As a Research Analyst at Axis Mutual Fund, he covered Capital Goods, Engineering & Construction, Information Technology sectors. Also, he holds a Bachelors and Master’s degree in technology and a Diploma in Management from IIM Lucknow.

Asset Allocation

The following is the indicative asset allocation of the Axis NASDAQ 100 Fund of Fund.

Types of Instruments	Indicative Allocation Minimum	Indicative Allocation Maximum	Risk Profile
Units of overseas ETFs focussed on NASDAQ 100 Index	95%	100%	Very High
Debt and Money Market Instruments	0	5%	Low to Medium

Frequently Asked Questions

How Can I Invest in the Axis NASDAQ 100 Fund of Fund NFO?

You can invest in the Axis NASDAQ 100 Fund of Fund NFO through any of the following methods:
Offline: By filling out the Axis NFO application and submitting it along with all documents and cheques to the nearest Investor Service Centre of CAMS or Axis Mutual Fund Office.
Online:
Axis Mutual Fund Website
Online FinTech platforms and mutual fund platforms
Through demat account
Through a mutual fund distributor or agent

When will the scheme open for ongoing subscriptions, switches and redemptions?

The fund of fund will re-open for subscriptions, switches and redemptions within 5 business days from the date of allotment.

Is Axis NASDAQ 100 Fund of Fund risky?

Yes, it is a high-risk investment based on the riskometer. Axis NASDAQ 100 Fund of Fund is a pure equity mutual fund that invests in units of ETFs focussed on NASDAQ 100 Index. Thus, the scheme falls under the very high-risk category. However, it is a convenient approach for investors to invest in global markets through a fund of funds. Also, these funds have a high expense ratio and investors must be aware of the risks associated with investment in equities.

Is there a lock-in period for Axis NASDAQ 100 Fund of Fund?

Axis NASDAQ 100 Fund of Fund doesn’t have a lock-in period. Mutual fund units can be bought and sold easily. However, the scheme is subject to market volatility due to investments in international markets.