NFONEST

November 2019

NFOs of subdued hues adorn the November 2019 NFONEST. There has also been a drastic reduction in the number of upcoming NFOs.

Tata Focused Equity Fund

Opens: November 15, 2019

Closes: November 29, 2019

Entering the focused fund club (nearly 20 in number), Tata Mutual Fund has announced the launch of Tata Focused Equity Fund. The investment objective of this open-ended equity fund is to generate long term capital appreciation by investing in a concentrated portfolio of equity and equity related instruments of up to a maximum of 30 stocks across market capitalisation. The proportion of midcap/small cap will be governed by the relative risk-reward opportunity. The risk management framework will act as a guard rail. These practices are important, given the risks of running a focused fund. The fund is benchmarked against the S&P BSE 200 TRI. The fund will be managed by Mr. Rupesh Patel.

Union Large & Midcap Fund

Opens: November 15, 2019

Closes: November 29, 2019

Union Asset Management Company has announced the launch of Union Large & Midcap Fund, an open-ended equity fund investing in both largecap and midcap stocks. The investment objective of the fund is to seek to generate capital appreciation by investing predominantly in a portfolio of equity and equity linked securities of large cap and mid cap companies. By definition, a large and midcap fund has to have a minimum investment in equity and equity related instruments of large cap companies at 35% of total assets and minimum investment in equity and equity related instruments of mid cap stocks at 35% of total assets. Thus, at all times 70% of its assets will be in equity. The remaining 30% will be tactical allocation. The fund is benchmarked against S&P BSE 250 Large MidCap Index $ (TRI). It will be managed by Mr. Vinay Paharia, Chief Investment Officer, Union AMC.

Axis Greater China Equity Fund, HSBC Ultra Short Duration Fund, Axis Quant Fund and Sundaram Bluechip Fund are expected to be launched in the coming months.