Page 16 - Banking Finance January 2024

MUTUAL FUND

Mutual Fund

News

DSP Mutual Fund launches Mutual funds' SIP collec- Axis MF's fixed maturity
DSP Nifty Smallcap 250 tion soars to Rs 1.66 lakh fund collects Rs 600 crore

Quality 50 Index Fund crore in 2023 in NFO period
DSP Mutual Fund announced the Investors are placing significant bets Axis Mutual Fund said it has garnered
launch of the first-ever 'Quality-Fo- on systematic investment plans, or over Rs 600 crore from the New Fund
cused' Smallcap Fund DSP Nifty SIPs, with inflows rising to Rs 1.66 lakh Offering (NFO) of its debt scheme, Axis
Smallcap250 Quality 50 Index Fund crore in the first 11 months of 2023, Fixed Term Plan Series 118 (100 days).
(DSP NSQ50IF), an open-ended scheme while Sebi's decision to lower the ticket The fund, a close-ended debt scheme
tracking Nifty Smallcap250 Quality 50 size to Rs 250 will further boost invest- with a moderate interest rate risk and
Index. Out of the 250 stocks in the Nifty ment. The total invested in the first 11 moderate credit risk, opened on No-
Smallcap250 universe, the index ap- months this year is way higher than Rs vember 28 and closed on December 4,
plies exclusion criteria and stock selec- 1.5 lakh crore through the route in the Axis Mutual Fund said in a statement.
tion criteria to filter out companies
entire 2022, Rs 1.14 lakh crore in 2021, "The strong response received by the
that do not make the cut and choose
Rs 97,000 crore in 2020, as per data fund reflects the opportunities cur-
50 stocks that fit the criteria.
with the Association of Mutual Funds rently available in the Indian money
"Smallcaps have the potential for out- in India (AMFI). market space. Fixed maturity products
size returns when held for the long Going ahead, Akhil Chaturvedi, Chief aim to provide a degree of stability to
term. However, the space is inherently Business Officer of Motilal Oswal AMC, investors as we head into Q4, often a
vast, relatively less studied, and poses anticipated a sustained and healthy volatile period for debt markets," Axis
a challenge to investors to find quality
year-on-year growth in overall SIP par- AMC MD and CEO B Gopkumar said.
companies among small caps. Our pas-
ticipation. Several events like the upcoming US
sive offering aims to reduce the risk of
capital loss by choosing 'Quality' com- "With a buoyant economic outlook and Fed announcement, advance tax sea-
panies with better fundamentals to increased market participation, inves- son and the Union Budget for 2024 are
keep wealth destroyers away to a tors are likely to continue favouring likely to keep rates volatile over the
great extent. We recommend inves- SIPs as a disciplined and accessible in- next three months.
tors to invest in DSP NSQ50IF for the vestment avenue. The ongoing The current yield curve, spreads on
long term via the SIP route for a bet- strength in the market, coupled with high quality money market instruments
ter experience across market cycles," the potential for healthy returns, rein- and the prevailing market sentiments
said Anil Ghelani, CFA, Head - Passive forces our belief that the upward trend offer an ideal opportunity for fixed in-
Investments & Products, DSP Mutual in SIPs will persist throughout 2024," come investors looking for short-term
Fund. he added. parking solutions.

14 | 2024 | JANUARY | BANKING FINANCE