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Bajaj Finserv Mutual Fund has launched Bajaj Finserv Balanced Advantage Fund (BAF) – an open-ended dynamic asset allocation fund.
The fund will arrive at an asset allocation strategy based on the study of fundamental and the behavioural cycle of the market. Talking about the fund, Nimesh Chandan, CIO, Bajaj Finserv MF said, "The crowd is not always wrong. As a result, selling whenever equity market rises and purchasing every time the market falls may not be the best asset allocation approach. It is critical to recognize where the crowd has overreacted in greed or fear and capitalize on that response. We have designed an asset allocation strategy based on the study of fundamental as well as the behavioural cycle of the market. Fundamental analysis tools provide us with an assessment of the market's fair value, while behavioural analysis techniques provide us with the change in market bias between bullish and bearish. When these indications are combined, they show whether the market has overreacted or underreacted in either way.”
Ganesh Mohan, CEO, Bajaj Finserv MF said, “Both behavioural sciences and financial insights are ‘balanced’, to help us make our investment decisions. Our unique investment philosophy (INQUBE) seeks to combine the Informative, Quantitative and Behavioural edge to generate alpha.”
Nimesh Chandan, Sorbh Gupta and Siddharth Chaudhary will co-manage the scheme.
