Aditya Birla Mutual Fund is launching a new fund offer (NFO) for ABSL Nifty Smallcap 50 Index.
It opens on March 15, 2021, and closes on March 26, 2021.
The Aditya Birla Sun Life Nifty Small-Cap 50 Index Fund aims to imitate the Nifty Smallcap 50 Index and reflect the securities’ total returns represented by the index.
Index funds are mutual funds that imitate the composition of a particular stock market index. Index funds are hence known as passively managed mutual funds. The reason being, fund managers cannot decide which stocks will move in and out and how much of the fund’s money will be used to purchase which stock.
The fund manager is not actively involved in fund management as such funds are designed to mimic an index.
Index funds do not aim to outperform the benchmark index but try to stay in line with the index.
| Instrument | Risk Profile | Normal Allocation
(% of Total Assets |
| Equity & Equity related securities constituting the Nifty
Smallcap 50 Index |
Medium to High | 95% – 100% |
| Debt and Money Market Instruments | Low to Medium | 0% – 5% |
The performance of the scheme will be benchmarked to the performance of the Nifty Smallcap 50 Index. The index aims to represent the movement of the small-cap segment in the market.
| Name of the Scheme | Aditya Birla Sun Life Nifty Smallcap 50 Index Fund |
| Type of the Scheme | An open-ended scheme tracking Nifty Smallcap 50 TR Index |
| NFO Dates | 15th March to 26 March 2021 |
| Benchmark | Nifty Smallcap 50 TRI |
| Fund Managers | Mr Lovelish Solanki |
| Minimum Amount for Application | Minimum of Rs.500/- and in multiples of Re 1/- after that |
| Minimum Additional Application Amount | Additional Purchase: Minimum of Rs.500/- and in multiples of Re.1/- thereafter. |
| Minimum Redemption Amount | In multiples of Rs 1/- or 0.001 units. |
| Load | Entry Load: NIL
Exit Load: 0.5% of applicable NAV: For redemption / switch-out of units on or before 90 days from the date of allotment NIL: For redemption / switch-out of units after 90 days from the date of allotment |
| Plans | Regular and Direct Plans |
| Options | Each of the plans will have:
Dividend Option (Payout Facility & Reinvestment Facility) (2) Growth Option |
| Minimum SIP Amount | Minimum 6 instalments (including the first
instalment) of Rs. 500/- each and above per month |
Fund Managers
Lovelish Solanki: Mr Solanki has an overall experience of over 10 years in dealing and trading. Prior to working with Aditya Birla Sun Life AMC, Mr Solanki has been associated with Union KBC AMC and Edelweiss AMC.
Names of Other Schemes under his Management
@Jointly with Mr Satyabrata Mohanty & Mr Pranay Sinha
# Jointly with Mr Mohit Sharma & Mr Vineet Maloo