ITI Mid Cap Fund NFO

ITI Mutual Fund has announced the launch of ITI Mid Cap Fund. The scheme would be investing its assets in equity and equity-related securities of mid-cap companies.

The New Fund Offer (NFO) starts from 15th February 2021 and will end on 01st March 2021.

Investment Objective

The investment objective of the scheme is to provide long-term capital growth by investing in equity and equity-related securities of mid-cap companies.

What are Mid cap stocks?

Mid-cap stocks are the stocks of companies that rank between 101th to 250th in terms of market capitalization.
These stocks are largely entrepreneur-driven.
Mid-cap stocks are generally the leaders in smaller sectors.
These stocks are niche players in established sectors.
The market capitalization of mid-cap stocks ranges from ₹8,389 crores to ₹28,141 crores.

Features

The Fund will be investing its assets in the equity securities of mid-cap companies as defined by AMFI.
The fund will not invest more than 3% in a single stock at the time of investment.
Fund will invest in companies that have a good and sound business.
The fund will have a portfolio of at least 80% in core stocks and not more than 20% in tactical bets.
There would not be more than 60 stocks in the portfolio.
The fund would be invested at least 90% & no major cash calls will be taken.

Why invest in ITI Midcap fund?

ITI Mid-cap fund will invest in mid-cap stocks which have the potential to provide superior returns in a long-term period.
With improving economic growth, the mid-cap stocks are likely to experience strong improvement in revenues & profits.
The differential valuations in midcap stocks will provide a great opportunity for stock picking.
Most of the stocks with attractive valuations in the midcap universe are trading below their historical average. This provides a good opportunity to invest in the midcap space.

Who Should Invest?

This scheme is suitable for investors who are -

Interested in long-term capital growth.
Interested in investments in equity securities of mid-cap companies.
Recommended for 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 & equity-related securities of Mid-cap companies	65%	100%	High
Equity & equity-related securities of other than Mid-cap companies	0%	35%	High
Debt & money market instruments	0%	35%	Low to Moderate
Units of InvITs & REITs	0%	10%	Moderate to High

About the scheme-

Name of the fund	ITI Mid Cap Fund
Fund launched by	ITI Mutual Fund
Asset Management Company	ITI Asset Management Limited
Type of scheme	An open-ended equity scheme primarily investing in mid-cap stocks.
Investment Objective	The investment objective of the scheme is to generate long-term capital growth by investing its assets in equity and equity-related securities of mid-cap companies.
Benchmark	Nifty Midcap 100 TRI
Entry Load	Not Applicable
Exit Load	1% of applicable NAV - If units are redeemed or switched out within 12 months. Nil - If units are redeemed or switched out after 12 months.
Minimum Application Amount	₹ 5,000 & in multiple of ₹ 1 thereafter
Minimum Additional Amount	₹ 1,000 & in multiple of ₹ 1 thereafter
Plans Available	Regular Direct
Options	Growth Dividend Payout Dividend Re-investment
Fund Managers	Mr. George Heber Joseph & Mr. Pradeep Gokhale