Invesco India ESG Equity Fund NFO

Invesco Mutual Fund has announced the launch of the Invesco India ESG Equity Fund. The scheme would be investing in companies that adopt the theme of Environment, Social, and Governance (ESG).

The New Fund Offer (NFO) starts on 26th February 2021 and will end on 12th March 2021. The scheme will reopen for continuous sale and purchase within 5 business days of allotment.

Investment Objective

The investment objective of the scheme is to provide long-term capital appreciation by investing in a diversified portfolio of equity and equity-related stocks which are selected on the basis of the Environmental, Social, and Corporate Governance criteria (ESG).

What is ESG Investing?

ESG investing is making investments while incorporating other non-financial parameters like Environment, Social & Corporate Governance along with the financial parameters. Also known as sustainable investing, ESG investing encourages investments in those companies which follow the ESG theme wherein they take care of the following things:

Environmental empathy: Duty & responsibility towards the environment like making use of renewable energy, conducting waste management activities, etc.

Social Responsibility: Relationships with internal & external stakeholders. It can include things like making a working conditions policy, discrimination policy, etc.

Corporate Governance: Efficiency, conduct & practices of the management like WhistleBlower programs, Board diversity, etc.

Features

The fund will invest its assets primarily in large-cap stocks. It will have limited exposure to mid-cap and small-cap stocks with a combined allocation of up to 35 of the overall portfolio.
Fund will follow the bottom-up approach for the selection of stocks. The portfolio of the fund will be a blend of growth and value stocks.
The weighted average ESG risk score of the portfolio will be maintained at <=1.502.
The fund will be having approximately 30-40 stocks in its portfolio.

Why invest in Invesco India ESG Equity Fund?

Invesco sees ESG funds as a vehicle that invests in those companies which are helping in making the world a better place.
The fund has deep commitments for running the ESG anchored portfolios by its actions involving investment, engagement, and divestment.
Fund has a belief that the ESG considerations represent material economic information which explains the company’s future beyond what can be deciphered through analyzing typical financial statements.

Suitability

This scheme is suitable for investors who are -

Interested in Long term wealth creation.
Interested in investing in a diversified basket of stocks determined on the basis of the Environmental, Social, and Governance criteria (ESG).
Recommend for investing with a time horizon of 5+ years.

Assets Allocation Pattern-

Instruments	Minimum % of total assets (Indicative)	Maximum % of total assets (Indicative)	Risk Profile
Equity & Equity related securities of companies as per ESG criteria	80	100	High
Equity and Equity related securities other than mentioned above	0	20	High
Debt and Money market instruments and units of other overnight & liquid schemes of Invesco Mutual Fund	0	20	Low to Moderate
Units that are issued by REITs and INVITs	0	10	Moderate to High

About the scheme-

Name of the fund	Invesco India ESG Equity Fund
Fund launched by	Invesco Mutual Fund
Asset Management Company	Invesco Asset Management (India) Private Limited
Type of scheme	An open-ended equity scheme investing on the basis of the Environmental, Social, and Governance (ESG) theme.
Investment Objective	The investment objective of the scheme is to generate capital appreciation over the long term through investments in a diversified portfolio of equity & equity- related securities selected on the basis of ESG theme.
Benchmark	Nifty 100 Enhanced ESG TRI
Entry Load	Not Applicable
Exit Load	10% of the units redeemed or switched out within 1 year- NIL, More than 10% of the units redeemed or switched out within 1 year - 1% of applicable NAV If units are redeemed or switched out after 1 year - NIL
Minimum Application Amount	Rs. 1,000 & in multiple of Rs.1 thereafter
Minimum Additional Amount	Rs. 1,000 & in multiple of Rs.1 thereafter
STP, DTP & SWP	Available
Plans Available	Regular Direct
Options	Growth Dividend Payout Dividend Reinvestment
Fund Managers	Mr. Taher Badshah and Mr. Amit Nigam

SIP Details

Type	Minimum Installments	Minimum Amount
Monthly SIP	12	Rs.500 & in multiples of Rs.1 thereafter
Monthly SIP	6	Rs.1,000 & in multiples of Rs.1 thereafter
Quarterly SIP	4	Rs.1,500 & in multiples of Rs.1 thereafter

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