 "Mutual Fund, AUM, Asset Under Management")
Axis Mutual Fund has launched a new product that offers investors an opportunity in high-quality debt securities of nonbanking financial companies (NBFC) and housing finance companies (HFC), it said on Thursday.
The new open-ended target maturity index fund will track the CRISIL-IBX AAA NBFC-HFC Index – Jun 2027, providing investors with a "transparent and cost-efficient investment option". AXIS CRISIL-IBX AAA BOND NBFC-HFC - JUN 2027 INDEX FUND will mature on June 30 in 2027. It will primarily invest in AAA-rated debt instruments from the NBFC and HFC sectors.
Fund's advantages
More From This Section
 "Bitcoin")
 "Manila, Philippines")
 "Housing, Realty, Real Estate")
 "Axis Bank")
 "Credit Card")
Ideal for investors seeking a straightforward, low-cost fixed-income solution.
Primarily allocates funds to AAA-rated assets, with a portion reserved to ensure liquidity.
Axis said that as the passively managed fund mirrors the CRISIL-IBX AAA NBFC-HFC Index – Jun 2027, it "significantly reduces" bias in choosing securities.
Highlights of new fund:
- Benchmark: CRISIL-IBX AAA NBFC-HFC Index – Jun 2027
- Minimum investment requirement of Rs. 5,000
- No exit load
- Predominantly investing in high-quality AAA-rated assets
“This fund provides investors with a unique opportunity to tap into the potential of India's burgeoning NBFC and HFC sector. By investing in this fund, investors can gain exposure to a diversified portfolio of high-quality, AAA-rated debt securities. The passive nature of this fund ensures transparency and cost-efficiency,” said B Gopkumar, managing director and chief executive officer of Axis AMC.
The fund has a passive management approach, with 95 per cent to 100 per cent of assets allocated to fixed-income instruments that mirror the CRISIL-IBX AAA NBFC-HFC Index. The remaining assets will be held in debt and money market instruments to maintain liquidity.
The new fund offer will open for subscription on December 6 and close on December 10. It is managed by Aditya Pagaria and offers systematic investment and withdrawal facilities to meet diverse investor objectives.
Potential investors are advised to carefully review the scheme information document available on the Axis Mutual Fund website (www.axismf.com) for comprehensive details about the investment strategy and associated risks.
 "SEBI")
 "mutual funds")
 "Mutual fund investor base to break 50 million barrier in September")
 "Devang Shah, Head- Fixed Income, Axis Mutual Fund")
 "Mutual fund offerings that are believed to be safer investment options have witnessed a marked surge in inflows, reflecting a shift in investor sentiment amid concerns over a potential global slowdown and elevated valuations in the midcap and smallca")
