Mirae Mutual Fund to launch a new NFO in the Dynamic Asset Allocation Category : Mirae Asset Balanced Advantage Fund
Mirae Asset Mutual Fund is launching a new dynamic asset allocation fund, Mirae Asset Balanced Advantage Fund, that dynamically manages assets between equities and debt instruments.
The New Fund Offer (NFO) period for the Mirae Asset Balanced Advantage Fund is from July 21st 2022 to August 3rd 2022.
The Mirae Asset Balanced Advantage Fund’s investment objective is to capitalize on the potential upside of equities while attempting to limit the downside. The fund aims to do this by dynamically managing the portfolio through investment in equity & equity-related instruments and active use of debt, derivatives and money market instruments. However, there is no guarantee that the fund’s investment objective will be realized.
|Mirae Asset Balanced Advantage Fund||Details|
|NFO Opening Date||July 21st 2022|
|NFO Closing Date||August 3rd 2022|
|Re-Opens for Subscription||August 12th 2022|
|Type of Fund||Open-ended equity scheme|
|Fund Manager||Mr Harshad Borawake (Equity Portion), Mr Mahendra Kumar Jajoo (Debt Portion)|
|Minimum Investment Amount||INR 5,000|
|Minimum Additional Purchase Amount||INR 1,000|
|Benchmark||Nifty 50 Hybrid Composite Debt 50:50 Index TRI|
|Plans and Options||Regular Plan & Direct Plan, Growth Option & Income Distribution cum Capital Withdrawal (IDCW) Option|
All additional investment amounts should be multiple of INR 1/-
If redeemed within 365 days from the date of allotment: 1% of the applicable NAV
If redeemed after 365 days from the date of allotment: NIL
Who Can Invest?
Mirae Asset Balanced Advantage Fund is an open, dynamic asset allocation mutual fund that invests in both equity and debt instruments. The fund employs a fundamental strategy to evaluate equity market valuations at any given time in order to determine its desired net equity position. Therefore, the fund seeks to provide investors with optimal participation in the equity market. The net equity and arbitrage position exposure assists the investor in achieving equity capital gains taxation at all times.
The debt exposure aims to provide the fund with an income strategy. The fund strives to deliver a risk-adjusted return while minimizing volatility through active management of its net equity position.
Since the portfolio is investing in equities, a high-risk tolerance level is required for investing in the scheme. Investors who aim to get exposure to equity and debt at the same time can consider Mirae Asset Balanced Advantage Fund.
Popular Funds by Mirae Asset Mutual Funds
- Mirae Asset Tax Saver Fund
- Mirae Asset Large Cap Fund
- Mirae Asset Midcap Fund
- Mirae Asset Focused Fund
- Mirae Asset Emerging Bluechip Fund
Mr. Harshad Borawake
Mr Borawake has more than 17 years of experience across industries like Financials, Oil & Gas, Logistics and Aviation. He joined Mirae Mutual Fund in 2016 and is currently Head of Research and Fund Manager. He has strong experience in research and investment processes, Financials, Oil & Gas and the Economy.
Prior to joining Mirae, he was with Motilal Oswal Securities and Capmetrics & Risk Solutions. Mr Harshad holds a Bachelor’s in Engineering degree and also an MBA in Finance.
Mr. Mahendra Kumar Jajoo
Mr Mahendra Kumar Jajoo has more than 28 years of experience in the field of financial services, of which 14 years of experience in Fixed Income funds management. At the Mirae fund house, he is the Chief Investment Officer – Debt and is responsible for managing fixed income assets across all mutual fund products. Prior to joining Mirae, he was with MJ Investment Services, Pramerica Asset Managers Pvt. Ltd., Tata Asset Management Ltd., ABN AMRO and Asset Management Ltd. Furthermore, he is a CFA charter holder – CFA Institute, USA.
Following is the indicative asset allocation of the Mirae Asset Balanced Advantage Fund.
|Types of Instruments||Indicative Allocation Minimum||Indicative Allocation Maximum||Risk Profile|
|Equity and equity-related instruments||0%||100%||High|
|Debt securities (including securitized debt), money market instruments (including Triparty REPO, Reverse Repo and equivalent)||0%||100%||Medium to High|
Mirae Asset Balanced Advantage Fund is an open-ended dynamic asset allocation fund that aims to invest dynamically across both equity and debt schemes. Investing across different asset classes will offer a different risk-return profile. And also offers relatively low correlation to each other in comparison to other investments within the same asset class. The fund manager will dynamically determine asset allocation between debt and equity depending on prevailing economic market and market conditions. The equity-debt mix at any point in time will be a function of various factors like equity valuations, interest rates, asset classes and risk management etc.
Also, the Scheme may periodically employ an internal proprietary algorithm to analyze the market and identify asset allocation opportunities.
Mirae Asset Balanced Advantage Fund is aimed at investors who wish to get exposure to both equity and debt schemes. Furthermore, it is considered to be an equity scheme, and a medium to long-term investment horizon is advisable. Moreover, since the Mirae Asset Balanced Advantage Fund does not guarantee returns, it is wise to monitor the investments closely.