SBI Mutual Fund, one of India’s largest mutual fund houses, has launched a new fund called SBI Quant Fund.
This is an open-ended equity fund based on a quant-based investment approach.
The subscription for this new fund offer (NFO) started on December 4, 2024, and will close on December 18, 2024.
How Much to Invest?
To invest in the SBI Quant Fund, the minimum amount you need to start is Rs 5,000 during the NFO period.
If you want to make additional investments later, the minimum is Rs 1,000. The fund managers for this scheme are Sukanya Ghosh and Pradeep Kesavan.
Investment Strategy and Stock Selection
SBI Quant Fund will use a multi-factor investment approach, focusing on four key factors: momentum, value, quality, and growth.
The fund will invest in the top 200 companies in India, ranked based on these four factors. A combined ranking will determine the weight of each company in the fund.
A combined ranking will be created, with each company getting a score between 1 to 200, where 1 is the best.
While the fund has the flexibility to invest in overseas securities, it aims to avoid this investment class for now.
While the fund is allowed to invest in overseas securities, it will avoid doing so for now.
Key Features of SBI Quant Fund NFO
NFO Dates: December 4 to December 18, 2024
Minimum Investment: Rs 5,000
Benchmark: BSE 200 TRI
Risk Level: Very High
Fund Managers: Sukanya Ghosh and Pradeep Kesavan
Exit Load: 0.5% if redeemed within 6 months; no exit load after 6 months
