Canara Robeco Mutual Fund has launched Canara Robeco Balanced Advantage Fund, an open-ended dynamic asset allocation.
In a press release, Rajnish Narula, CEO Canara Robeco MF said, “The fund may be suitable for mutual fund investors seeking a method for dynamically altering their exposure to equity. The fund may also be suitable for those investors who are trying to moderate their participation in market rallies while mitigating potential losses".
Shridatta Bhandwaldar, Head-Equities, Canara Robeco MF said, “The fund is an asset allocation product, which will dynamically allocate equity based on in-house model to eliminate investor biases. The proprietary model uses trailing price to book ratio (P/B), equity risk premium and forward price to earnings ratio (P/E) to arrive at asset allocation.”
Gaurav Goyal, National Head Sales and Marketing, Canara Robeco MF said that the NFO offers 2 features - auto switch and smart STP. While auto switch is simply parking lumpsum contribution in debt schemes like liquid and overnight fund during the NFO period, smart STP is dividing lumpsum investment in 4 parts – first part will be deployed during the NFO period while the remaining 3 will be deployed in subsequent months.
Shridatta Bhandwaldar, Ennette Fernandes, Suman Prasad and Amit Kadam will co-manage the fund.
