Axis Global Innovation Fund of Fund - NFO Overview

-

 


Axis AMC has come out with NFO of "Axis Global Innovation Fund of Fund", which is basically, an open ended fund of fund(FoF), investing in "Schroder International Selection Fund-Global Disruption". 

NFO period - 10th to 24th May 2021.

NFO has been extended till 24th May 2021.

The primary investment objective of the Scheme, is to provide long term capital appreciation by predominantly investing in units of 'Schroder International Selection Fund Global Disruption', an equity fund that aims to provide capital growth by investing, in companies worldwide, which benefit from disruption and to invest a part of corpus in debt, money market instruments and / or units of liquid schemes in order to meet liquidity requirements from time to time.

Since, Indian markets do not offer opportunities for investors to invest in companies involved in disruption across sectors, this fund provides that opportunity for Indian investors to invest in companies involved in disruption across geographies.


About  'Schroder International Selection Fund-Global Disruption':

Disruption typically means innovation (whether due to technology or otherwise) which changes a particular industry by creating new markets, products or service models. Disruption can be observed in many industries such as e-commerce, media & communications, banking & payments, digitalization, fintech, healthcare, environmental, automation etc.

The Fund invests at least two-thirds of its assets in equity and equity related securities of companies worldwide. The Fund seeks, to invest in companies benefiting from disruption, before this is fully reflected in market expectations. 

The fund is benchmarked against the MSCI AC World (Net TR) Index. The fund invests on a discretionary basis and is not limited to investing in accordance with the composition of this benchmark.


'Schroder International Selection Fund Global Disruption' was launched on 12 December 2018 and the performance details are as given below:

 Performance in Rupees (INR)
 1 Year
 Since Inception
 SISF Global Disruption (Share Class C Acc)
 66.60%
 33.40%
 MSCI AC World (Net TR) Index
 50.10%
 19.40%

       *Returns as on 31st March, 2021.


Top 10 Holdings:

Stock

Portfolio weight (%)

Alphabet Inc

4.5%

Microsoft Corp

4.3%

Amazon.Com Inc

3.6%

TSMC

3.0%

Apple Inc

2.6%

Visa Inc

1.9%

Blackrock Inc

1.9%

Booking Holdings Inc

1.8%

Texas Instruments Inc

1.7%

ASML

1.7%


Sector Wise Holdings:

Sector

Portfolio weight (%)

Information Technology

36.3%

Communication Services

14.9%

Consumer Discretionary

13.4%

Industrials

10.5%

Real Estate

1.9%

Utilities

2.0%

Energy

1.4%

Materials

2.7%

Health Care

8.3%

Consumer Staples

2.9%

Financials

5.3%

Cash & NCA

0.4%

 

Region Wise Holdings:

Region

Portfolio (%)

North America

61.6%

Emerging Markets

14.6%

Continental Europe

11.3%

Japan

6.4%

United Kingdom

2.9%

Pacific X Japan

2.7%

[Cash]

0.4%

*Data as on 31st March, 2021


Risks involved:

Since this fund is a thematic fund, it belongs to Very High risk category of fund as per SEBI Riskometer. Hence, this is suitable for Investors with high risk appetite/profile. Investors looking to diversify their portfolio with global investing, with a long term view can look at this fund.

Being global diversified fund, the fund has following inherent risks: Legal and Tax risk, Regulatory risk, Currency fluctuation risk, Sectoral performance cycle risk etc.


Exit load:

If redeemed / switched-out within 12 months from the date of allotment:

  • For 10% of investment: Nil
  • For remaining investment: 1%

If redeemed/switched out after 12 months from the date of allotment: Nil


Taxation:

Being a global fund, the fund is treated as Debt Mutual fund for taxation purpose in India. Be aware of tax implications while investing in this fund.


Investors should look at investing in this fund with long term view and should stay invested for at least 5 years to benefit from the underlying theme of the fund.


Disclaimer: Above article is based on data available in the Scheme Information Document(SID) of the fund available at  Axis Global Innovation FoF (Fund of Fund). Please refer to the documentation available at the site for more information regarding the scheme.

* Mutual Fund Investments are subject to market risks, read all scheme related documents carefully. Investors should consult their financial advisers, about whether the product is suitable for them.

Comments

Post a Comment

Popular Posts

Invesco India Business Cycle Fund - NFO Overview

-
Image
  Invesco India AMC has come out with NFO of " Invesco India Business Cycle Fund ", which is an open-ended thematic equity scheme following  business cycles based investing theme .  NFO Period : February 6 - 20 2025.   Why invest in Business Cycles Fund ?   Economic cycle is characterized by different phases; each presenting a unique investment opportunity. The relative performance of equity market sectors typically tends to rotate, as the overall economy shifts from one stage of the business cycle to the next, with different sectors assuming performance leadership in different economic phases. Business cycle investing focuses on assessing sub-segments within a sector and identifying emerging themes that provide structural benefits. A Business Cycle Fund invests predominantly in equity and equity related securities, with a focus on riding business cycles through dynamic allocation between various sectors and stocks at different stages of business cycle...
Read more

Canara Robeco Banking and PSU Debt Fund - NFO Overview

-
Image
  Canara Robeco AMC has come out with NFO of " Canara Robeco Banking and PSU Debt Fund ", which is an open-ended debt scheme predominantly investing in debt instruments of banks, public sector  undertakings, public financial institutions and municipal bonds.  NFO Period : 29th July - 12th August 2022. Why invest in a Banking and PSU themed debt fund now ? - Volatile Geo-political situation - High inflation, leading to sharp Interest rate hikes - Rising funding costs, coupled with demand drop(due to inflation), likely to hit margins - Credit profile of lower rated companies may deteriorate in coming years - Prudent to invest in a portfolio of AAA/A1+ rated securities primarily issued by Banks and PSUs which are of high credit quality and carry a relatively lower credit risk Note : This type of fund  carries a relatively high interest rate risk  and moderate credit risk. Why Canara Robeco Banking and PSU Debt Fund ? - The Fund seeks to generate optimal retur...
Read more

Canara Robeco Manufacturing Fund - NFO Overview

-
Image
Canara Robeco AMC has come out with NFO of " Canara Robeco Manufacturing Fund ", which is an open-ended sectoral / thematic equity scheme following  Manufacturing  sector / theme.    NFO Period : February 16 - March 01 2024.   Why invest in Manufacturing themed equity fund now ? - The world was becoming heavily dependent on China, for all its manufacturing needs till now. The Covid-19 pandemic and resulting lockdowns all over the world, led to supply chain disruptions and resulted in Inflationary conditions globally. This forced the global companies to think of China+1 strategy, to mitigate the risk resulting from concentrated manufacturing in one geography/country. - Volatile Geo-political situation is leading to diversification of manufacturing supply chains across globe - India with its existing manufacturing ecosystem, availability of talented workforce will be huge beneficiary of this global phenomenon of supply chain diversification in c...
Read more