Tata Asset Management has launched Tata Multicap Fund, which is an open-ended equity scheme investing across Largecap, Midcap and Smallcap stocks. The New Fund Offering (NFO) window for investing in this Multicap fund will open on 16th January 2023 and close on 30th January 2023. Thereafter the scheme will re-open for continuous sale and repurchase after allotment.
Tata Multicap Fund is benchmarked against Nifty 500 Multicap 50:25:25 total returns index and will offer two plans – regular and direct.
“Tata Multicap Fund focuses on combinations – across Market Caps, Strategies, Themes and Sectors with Growth at Reasonable Price or GARP as the underlying philosophy aiming to improve the risk-adjusted returns of the overall portfolio and potentially provide a smoother journey to the investor,” said Rahul Singh, CIO – Equities, Tata Asset Management.
“We believe that Tata Multicap fund can be well-paced to capture the potential of a broad-based economic growth outlook for India over next 3-5 years,” he added.
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In a statement, Tata Asset Management said that the Multicap fund’s portfolio will constitute securities of companies, which are at various stages of the earnings cycle aiming to provide the right balance between stability and opportunities.
The three segments of the earnings cycle can be broadly bucketed as Earnings Stability, Earnings Upgrades and Earnings Turnaround.
“Such a combination will help to have (i) companies growing at a stable rate which provides a base, (ii) companies benefitting from a change in earnings cycle which can lead to valuation rerating and (iii) lastly, companies recovering from an adverse situation based on industry or management turnaround,” the statement said.
Rahul Singh (Equity), Murthy Nagarajan (Debt) and Arvindkumar Chetty (Overseas) are the fund managers of the scheme while Tejas Gutka (Equity) is the co-fund manager.
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The investment objective of the scheme is to generate long-term capital appreciation from a portfolio of equity and equity-related securities across market capitalization. However, there is no assurance or guarantee that the investment objective of the Scheme will be achieved. The scheme does not assure or guarantee any returns.
The minimum amount required for investing in this Multicap fund is Rs. 5,000 and in multiple of Re.1 thereafter
(Disclaimer: The above content is for information purposes only and based on a statement by Tata Asset Management. Mutual Fund investments are subject to market risks. There is no assurance or guarantee that a fund’s investment objectives will be met. Pelase consult your financial advisor before investing)