Axis Bank Equity Saver Fund is an equity mutual fund which predominantly invests in various market equities and equity-related instruments. The size of the equity fund (assets under management) is majorly determined by market capitalisation of the constituent units of the fund. It mainly provides income distribution and capital appreciation to its investors through investments made mainly in equity and equity related instruments, while debt investments, money markets instruments and arbitrage opportunities comprise a smaller part of the portfolio.
Why Axis Equity Saver Fund
Axis Bank Equity Saver Fund’s investment objective is to offer income distribution as well as capital appreciation to its investors with the help of equity and equity-related investments. A Smaller part of the fund’s portfolio would include debt investments, arbitrage opportunities and investments in arranging money market instruments. This scheme aims to seek benefits from asset allocation which would provide major risk-adjusted returns by diversifying across various asset groups mentioned above. The fund will also balance risk versus returns by adjusting the percentage of each type of investment in its portfolio. However, the scheme does not give any assurance or guarantee that the investment objectives of the fund would be achieved or profits will be obtained by investors.
When & How to invest in Axis Equity Saver Fund
Axis Bank Equity Saver Fund will invest in a range of companies with strong growth potential as a result of sustainable business objectives and models. The fund investments will not be restricted to solely those companies constituting the benchmark index. The fund will additionally invest in companies which are individually researched by the management team and then selected with the mutual agreement between the fund manager and the team. The selection of such companies will be done after considering the strength of the company’s business model, sustainability, competitive advantage and credibility of the team managing it. The fund will have the flexibility to invest in various companies irrespective of capitalisation i.e. mid, small and large corporations across the entire spectrum of industries and sectors. The Scheme will make an effort to ensure that the major corpus of the scheme remains invested in equity and equity-related instruments at all times.
The Axis Equity Saver Fund is expected to generate capital appreciation in the long-term by investing in an actively managed diversified spectrum consisting primarily of larger Midcap companies. Larger Mid-cap companies combine the high-growth, innovative and flexible features of smaller companies with management experience and liquidity characteristics of much larger companies. The Fund intends to make profits by reaping the benefits of this “best of both worlds” scenario. The investment portfolio of the scheme is expected to grow further by developing a stock selection process and by focusing on increasing potential of an individual stock.
The scheme will attempt to achieve its investment objective by employing various strategies which would give greater returns and ensure gains in the equity as well as other investments. If such growth opportunities are not available in the equities market, the scheme will invest in debt and money market instruments till more conducive equity investment options are available. Equity investments will still remain the mainstay of the fund’s investment options because of its high growth potential. Axis Equity Fund is also an open ended equity fund & good option for long term investment you can check.