Quantum Multi Asset Allocation Fund Serves as an option to traditional investments such as FDs with greater tax efficiency and potential to cope better with inflation.
MUMBAI, Feb 19 (The CONNECT) – Quantum AMC today announced the launch of a new fund offer (NFO) with Quantum Multi Asset Allocation Fund which will close on Friday, March 1, 2024.
It is an open-ended equity scheme predominantly investing in diversified portfolio of Equity & Equity Related Instruments, Debt & Money Market Instruments and Gold Related Instruments. It will be co-managed by Chirag Mehta – Chief Investment Officer and Pankaj Pathak, Fund Manager -Fixed Income, Quantum AMC.
The investment objective of the Scheme is to generate long term capital appreciation / income by investing in Diversified portfolio of Equity & Equity Related Instruments, Debt & Money Market Instruments and Gold Related Instruments.
The scheme will be benchmarked against NIFTY 50 TRI (40%) + CRISIL Short Term Bond Fund AII Index (45%) + Domestic Price of Gold (15%).
The scheme will have a Direct and Regular Plan. The Fund managers will allocate Equity & Equity Related Instruments (35-65%), Debt & Money Market Instruments (25-55) and Gold Related Instruments (10-20%).
The Fund will predominantly invest in securities of Nifty 50 index and other large cap stocks for its equity component, sovereign and PSU debt securities across durations for its fixed income allocation and Quantum Gold ETF & Other Gold related instruments for its gold component.
Application Amount: Investors can make a lumpsum investment of ₹500 and in multiples of Re. 1 thereafter and minimum additional investment can be made in ₹500 and in multiples of Re. 1 thereafter / 50 Units
Investors can also opt for the SIP route with a minimum investment of Rs. 100 (Daily) & Rs. 500 for other frequencies (Weekly, Fortnightly, Monthly & Quarterly)
Portfolio allocation between the equity, debt/ money markets and gold broadly depend on the relative valuations between the asset classes. Relative valuations are determined by evaluation of various influencing factors that include:
- Price/Earnings Ratio relative to historical averages
- The relationship between Earnings Yield to Bond Yield relative to historical averages
- Macroeconomic factors prevailing globally, and within India
Chirag Mehta, Chief Investment Officer, Quantum AMC, said, “Number of investors in mutual funds are increasing rapidly and this fund provides these first-time investors to have a measured approach to equity markets along with diversification from gold and debt, thereby providing a rewarding and relatively smoother investment experience.”
Co-fund Manager Pankaj Pathak, Sr. Fund Manager, Quantum AMC said, “The fund is launched with an intention to provide an option to fixed deposit by potentially providing better returns over the long run. The fund simplifies investment decisions with its one-stop diversified solution that invests across asset classes and enhances tax efficiency through indexation benefits. Investors in the 30% tax slab stand to benefit significantly compared to traditional fixed deposits.”
