Aditya Birla Sun Life Multi-Cap Fund NFO

Aditya Birla Sun Life Mutual Fund has announced the launch of Aditya Birla Sun Life Multi-Cap Fund. The scheme would be investing its assets in equity and equity-related securities of companies across market capitalizations along with some exposure in debt & money market instruments.

The New Fund Offer (NFO) starts from 19th April 2021 and will end on 03rd May 2021. The fund will reopen for continuous sale and repurchase within 5 business days of allotment.

Investment Objective

The investment objective of the scheme is to provide long-term capital growth by investing its assets through diversified research-based investments in Large-cap, Mid-cap, and Small-cap companies.

Features

The fund will be investing a minimum of 80% of its assets in the equity and equity-related securities of every market capitalization.
The scheme will allocate 25%-45% of its assets in large-cap stocks, 25%-35% in mid-cap stocks, and 25%-35% in small-cap stocks.
The fund may invest a portion of assets in special opportunities, emerging businesses, and sectors.
The portfolio will have a total of 50-60 stocks out of which 15-20 stocks will be of large-cap, mid-cap, and small-cap each.
Stocks will be selected on the basis of Corporate Governance & Management Quality, Competitive Advantage, Size of the Opportunity, Sustainable Growth Potential, and Margin of Safety.

Why invest in Aditya Birla Sun Life Multi-Cap Fund?

The funds combine the portfolio of stable large-cap companies and high growth mid & small-cap companies.
Fund will have disciplined market cap allocation and active rebalancing periodically that provides an opportunity to have exposures to fast-growing companies & sectors.
The fund follows a bottom-up approach to build a portfolio to increase return potential.
It has an ideal portfolio to play in the high growth cycle.

Portfolio construction process:

Step-1 Invests In: Companies with Strong management & corporate governance which have a dominant business with a wide moat. The companies which have sustainable high growth potential.

Step-2 Avoid: The fund will avoid companies with weak corporate governance practices and fundamentally weak companies.

Step-3 Resultant Portfolio: The fund will result in a portfolio of high-quality companies that have sustainable long-term growth potential.

Who Should Invest?

This scheme is suitable for investors who are -

Interested in long-term capital growth.
Investors who want the one-stop solution for long-term aggressive equity funds.
Interested in investments in a diversified portfolio with companies of every market capitalization.
Recommended for risk-aware investors with an investment horizon of 5 years & above.

Asset Allocation Pattern

Instruments	Minimum % of total assets (Indicative)	Maximum % of total assets (Indicative)	Risk Profile
Equity and Equity-related securities of Large, Mid, and Small cap companies	80%	100%	High
Debt securities and Money Market Instruments	0%	5%	Low to Moderate

About the Scheme

Name of the fund	Aditya Birla Sun Life Multi-Cap Fund NFO
Fund launched by	Aditya Birla Sun Life Mutual Fund
Asset Management Company	Aditya Birla Sun Life AMC Limited
Type of scheme	An open-ended scheme investing equity securities of large, mid, and small cap companies
Investment Objective	The investment objective of the scheme is to generate long-term capital growth by investing its assets through diversified investments in Large, Mid, and Small cap companies.
Benchmark	Nifty 500 Multicap 50:25:25 TRI
Entry Load	Not Applicable
Exit Load	1% of applicable NAV - If units are redeemed or switched out within 365 days. Nil - If units are redeemed or switched out after 365 days.
Taxation	Taxed as Equity -If units are redeemed within 12 months, gains are taxed as short term capital gain tax @15% -If units are sold after 12 months, gains are taxed as long term capital gain tax @10% on the gains exceeding ₹ 1 lakh in a financial year
Minimum Application Amount	₹ 500 & in multiples of ₹ 1 thereafter
Minimum Additional Amount	₹ 500 & in multiples of ₹ 1 thereafter
STP, & SWP	Available
Plans Available	Regular Direct
Options	Growth Dividend Payout Dividend Reinvestment
Fund Managers	Mr. Mahesh Patil & Mr. Dhaval Shah (for equity investments), Mr. Harshil Suvarnkar (for debt investments), and Mr. Vinod Bhat (for overseas investments)

SIP Details

Type	Minimum Installments	Minimum Amount
Weekly SIP	6	₹500 & in multiples of ₹1 thereafter
Monthly SIP	6	₹500 & in multiples of ₹1 thereafter