Sundaram Mutual Fund has today announced the launch of its open-ended multi cap equity fund called 'Sundaram Equity Fund'. The fund will be open for subscription from August 16 to August 30.
Here are the key features of the fund
- Sundaram Equity Fund will have an inclination towards large cap stocks
- To start with, the fund will allocate at least 70% of its equity assets in large cap, 20% in mid cap and the rest in small cap
- At any point, the fund will invest at least 50% of its total equity assets in large cap stocks. On the upper side, allocation to large cap stocks is capped at 80%
- While the fund will have allocation of up to 30% to mid cap stocks, it will deploy a maximum of 20% in small cap stocks. The minimum allocation to mid cap and small cap will be 10% each
- Since this is an open-ended multi cap equity fund, at least 65% of the scheme's total assets has to be invested in equity and equity and equity related instruments
- S Krishnakumar, CIO - Equity, Sundaram MF will manage this fund with S Bharath
- The fund is benchmarked against S&P BSE 500 TRI Index
- The fund will invest in a portfolio of 45-50 stocks of companies
- The fund will follow blend of top-down and bottom-up approaches.
- It will adopt a Growth at Reasonable Price methodology and combine tenets of both growth and value investing. The fund will invest in secular growth opportunities in consumption and financial services, cyclical recovery themes (investment pick-up, rate sensitives, global cyclicals) and emerging business segments
Sunil Subramaniam, MD, Sundaram Mutual Fund said the multi-cap fund will ‘fill out’ the fund house's product basket. He said that the fund house aspires to be leader in multicap space and make this fund a flagship.
