Mutual Fund

Birla Sun Life Focused Equity Fund- Series 1

This is a 3-year close ended Equity Fund that will primarily invest in select Bluechip stocks. The Fund will be managed by Mr. Anil Shah who is  Senior Fund Manager and has been managing some of  key funds like Birla Sun Life Equity Fund and Birla Sun Life India GenNext Fund.

Details of the NFO are as follows:

NFO dates                          : 15th Jan 2014 to 13th Feb 2014

Nature                                : 3 yr closed ended

Fund Manager                  : Mr. Anil Shah

Portfolio Approach         : Bottom up stock picking (with a focused investment strategy &  5-10% exposure in high conviction ideas)

Investment Universe     : ~135 companies including Top 100 Cos (from BSE 100 & CNX 100) and PSU Maharatnas, Navratnas & Mini Ratnas

Equities have delivered better post-tax returns as compared to most other asset classes. With easing inflation supported by lower MSP prices, and CAD coming down due to easing Gold imports, the macro outlook seems to be getting brighter.

On the other hand, an improving global scenario as reflected in rising consumer confidence, and FED’s decision to taper due to confidence in growth recovery, followed by a 3 year high GDP recorded in the US is a positive for our export oriented sectors. This is further supported by a structurally depreciating rupee as well as a large pool of young & educated workforce.

It is believed that investors stand to gain by investing in the scheme which is oriented towards quality bluechip stocks and handpicked PSUs with a focused investment strategy. The benchmark CNX100 Index has also outperformed its peers (i.e. Nifty, CNX 200,  CNX 500, CNX Midcap & CNX Small cap Index) over a period of 2,3 & 5 years.

The scheme is also qualified to provide additional Tax Benefits under RGESS act. You may note that the benefit has now been extended by the government for a period of 3 consecutive years, so investor who had availed of this benefit last year can avail of the same once again this year, with the qualifying income now increased to Rs. 12 Lakhs per annum.

Categories: Mutual Fund

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