Bandhan Mutual Fund, a renowned mutual fund house, has introduced a new Sectoral Fund (NFO) in the equity segment.
The subscription for the NFO, Bandhan Financial Services Fund, will commence on July 10 and remain open until July 24, 2023.
This scheme is open-ended, allowing investors the flexibility to redeem their investments at any time.
The fund aims to facilitate long-term capital appreciation, as stated by the asset management company.
Investment Opportunities Starting from ₹1,000
Bandhan Mutual Fund allows investors to begin investing in Bandhan Financial Services Fund with a minimum investment of Rs 1,000,
and subsequent investments can be made in multiples of Re 1.
The benchmark for this scheme is NIFTY Financial Services TRI.
An exit load of 1% will be charged for redemptions made within 365 days.
The scheme is managed by Fund Manager Manish Gunwani.
Objective of the Scheme
The primary objective of Bandhan Financial Services Fund is to generate long-term capital appreciation by investing in equity-related instruments of equity and financial services companies.
The financial services sector consists of 5 broad sectors (Banking, Finance, Capital Markets, Fintech, and Insurance) and 19 sub-sectors.
This scheme offers investment opportunities in sectors such as Banks, NBFCs, Capital Markets, Insurance, and Fintech, employing a flexi-cap and growth-oriented approach.
Suitable Investors
Bandhan Mutual Fund suggests that investors seeking to generate alpha through allocation to the non-core part of their portfolio may find this fund beneficial.
Alpha generation refers to earning returns higher than the benchmark.
Bandhan Financial Services Fund, being a sectoral fund, is suitable for investors with a higher risk appetite seeking higher returns.
Additionally, investors looking to diversify their portfolios by investing in a single sector may find this scheme an attractive option.
