Mahindra Manulife Investment Management has launched Mahindra Manulife Balanced Advantage Yojana, an open ended dynamic asset allocation fund. The scheme is suitable for investors who are seeking capital appreciation while generating income over medium to long term by investing in a dynamically managed portfolio of equity and equity related instruments and debt and money market instruments. The fund will aim to optimize the potential of equity and debt over short to medium term period.
The New Fund Offer opens on December 9th , 2021 and closes on December 23rd, 2021. The scheme will reopen for continuous sale and repurchase from 3rd January, 2021. Mahindra Manulife Balanced Advantage Yojana will have maximum 100% investment in either equity and equity related instruments or debt and money market securities.
Mahindra Manulife Balanced Advantage Yojana aims to follow the dynamic asset allocation using the multi variate approach. Multi Variate Approach is an investment approach that couples qualitative and quantitative assessment of macro economic, market and technical indicators, valuations, growth outlook, interest rates, liquidity, etc.
The fund will have flexibility to invest a mix between equity and debt across market cycles. The fund will optimize the potential of equity and debt over short to medium term period. For equity investments the portfolio construction to be based on top down approach and bottom up stock selection.
The fund aims to construct the equity portfolio using GCMV investment framework. GCMV is an internal investment framework used for determining fair valuation of stocks which further helps in estimating valuation gaps (fair valuation vis a vis market price), if any. Opportunities are identified based on the identification of Catalysts that helps in bridging the valuation gaps by re-rating of the stock.
For debt investments, the fund will invest in liquid, debt and money market securities by balancing the maturity and credit profile, while following a duration strategy which looks to optimize yields.
Ashutosh Bishnoi, MD and CEO, Mahindra Manulife Investment Management Private Limited, says “The equity markets have witnessed bouts of volatility in the recent past owing to various macro-economic factors. The balanced advantage funds can help investors mitigate market volatility. Mahindra Manulife Balanced Advantage Yojana aims to provide risk-adjusted return for long term investors. and are appropriate for retail investors as they do not have to constantly monitor their asset allocation, as the fund manager does this dynamically and maintains the right asset mix in any prevailing market conditions.”
The fund is suitable for investors who are seeking capital appreciation while generating income over medium to long term and for those investors who want to invest in a dynamically managed portfolio of equity and equity related instruments and debt and money market instruments.