Mirae Asset Mutual Fund, one of the fastest-growing fund houses in India, is set to launch its new fund offer (NFO), Mirae Asset Multicap Fund on July 28. The Mirae Asset Multicap Fund is an open-ended equity scheme investing across large cap, mid cap, and small cap stocks. 

The NFO for the fund will close for subscription on August 11, 2023, and the scheme will reopen for continuous sale and repurchase from 22nd August 2023 onwards. The minimum initial investment in the fund will be Rs 5,000 and multiples of Re 1 thereafter. The fund will be managed by Mr. Ankit Jain and the benchmark Index for the fund will be the NIFTY 500 Multicap 50:25:25 TRI. 

Why opt for Multicap Fund? 

Investing across market capitalizations may help investor to diverse equity investment across market cap for better risk-adjusted returns over the long term. Multicap funds, such as Mirae Asset Multicap Fund, may help in diversifying their portfolios across different market cycles.

However, the investors must note that according to the latest guidelines by Securities and Exchange Board of India (SEBI), Multicap mutual funds must invest at least 25% in each of the large-cap, mid-cap, and small-cap stocks. 

What is the investment objective of Mirae Asset Multicap Fund NFO?

The investment objective of the scheme is to provide long-term capital

appreciation from a portfolio investing predominantly in Indian equity and

equity related securities of large cap, mid cap and small cap companies.

However, there is no assurance that the investment objective of the Scheme

will be realized.

Why invest in Mirae Asset Multicap Fund NFO?

  • Core Portfolio– A core portfolio equity fund for long term goals
  • Bottom Up Approach– Each market cap segment is considered with the bottoms up approach
  • One Stop Solution– Each category has min. 25% & max. 50% allocation in (large cap, mid cap, small cap companies) which translates to even participation across segments
  • Balanced Allocation– Diversification of large & non large ideas with aim of growth and stability of varying investment ideas.

Note: Investment Strategy stated above may change from time to time without any notice and shall be in accordance with the strategy as mentioned in the Scheme Information Document.
^Large Cap: 1st -100th company in terms of full market capitalization. Mid Cap: 101st -250th company in terms of full market capitalization. Small Cap: 251st company onwards in terms of full market capitalization.

Mr. Ankit Jain Fund Manager for Mirae Asset Multicap Fund said, “. Mirae Asset Multicap Fund too follows a similar principle, by enabling investors to expand their investments across the market spectrum without necessitating the addition of multiple schemes.”

“The Multicap fund invests in large cap, mid cap and small cap companies, leading to diversification of opportunities and risk, making it a dynamic option balancing risk and reward,” he added. 

Key highlights of Mirae Asset Multicap Fund NFO

  • The large cap investments will be in the Top 100 stocks by market capitalization, where the businesses are mature with dominant players, and therefore offering relatively lower downside risk and volatility in comparison to mid and small cap.
  • The mid cap comprises of the next 150 (101st to 250th) stocks by market capitalization, largely emerging businesses with reasonable valuations.
  • The small caps comprise of the 251st and beyond stocks by market capitalization that consists of young and scalable businesses with unlocked potential. While these stocks may carry a higher downside risk, they also have higher alpha-generating potential.
  • The last 25% of investments will be more tactical in nature, leveraging opportunities through dynamic allocation across market capitalizations.
  • DISCLAIMERS & PRODUCT LABEL:

NSE Indices Ltd Disclaimer: NSE INDICES LIMITED do not guarantee the accuracy and/or the completeness of the Index or any data included therein and NSE INDICES LIMITED shall have not have any responsibility or liability for any errors, omissions, or interruptions therein. NSE INDICES LIMITED does not make any warranty, express or implied, as to results to be obtained by the Issuer, owners of the product(s), or any other person or entity from the use of the Index or any data included therein. NSE INDICES LIMITED makes no express or implied warranties, and expressly disclaims all warranties of merchantability or fitness for a particular purpose or use with respect to the index or any data included therein. Without limiting any of the foregoing, NSE INDICES LIMITED expressly disclaim any and all liability for any claims, damages or losses arising out of or related to the Products, including any and all direct, special, punitive, indirect, or consequential damages (including lost profits), even if notified of the possibility of such damages

Statutory Details: Trustee: Mirae Asset Trustee Company Private Limited; Investment Manager: Mirae Asset Investment Managers (India) Private Limited (AMC); Sponsor: Mirae Asset Global Investments Company Limited.

Views expressed cannot be construed to be a decision to invest. 

For further information about other schemes (product labelling and performance of the fund) please visit the website of the AMC: www.miraeassetmf.co.in

Please consult your financial advisor or mutual fund distributor before investing

The Product Labelling assigned during the NFO is based on internal assessment of the scheme characteristics or model portfolio and the same may vary post NFO when the actual investments are made.

Mirae Asset Multicap Fund

(Multi Cap – An open-ended equity scheme investing across large cap, mid cap and small cap stocks)

Mirae Asset Multicap Fund is suitable for investors who are seeking-

• To generate long term appreciation/income.

•Investments predominantly in equity and equity related securities of large cap/mid cap/ small cap companies.

*Investors should consult their financial advisors if they are not clear about the suitability of the product

Investors understand that their principal will be at Very High Risk 

Mutual Fund investments are subject to market risks, read all scheme related documents carefully.