Axis Mutual Fund Company has changed the name and categories of its mutual funds in adherence with the SEBI guidelines (Security Exchange Board of India).  This new rule states that there can only be one offering under each mutual fund category by a fund company.

This step is taken by SEBI to in order to simplify the investment process for investors.

Axis Mutual Funds Whose Names and Categories Have Changed

 Old Name New Name  Old Category New Category
Axis Banking & PSU Debt FundAxis Banking & PSU Debt FundDebt-Income
Debt-Banking & PSU
Axis Children’s Gift FundAxis Children’s Gift Fund – With Lock inHybrid-Equity Oriented
Solution Oriented-Children’s
Axis Corporate Debt FundAxis Corporate Debt FundDebt-Income
Debt-Corporate Bond
Axis Credit Risk FundAxis Credit Risk FundDebt-Credit Opportunities
Debt-Credit Risk
Axis Dynamic Equity FundAxis Dynamic Equity FundHybrid-Equity Oriented
Hybrid-Dynamic Asset Allocation
Axis Equity Saver FundAxis Equity Saver FundEquity-Arbitrage
Axis Focused 25 FundAxis Focused 25 FundEquity-Diversified
Equity-Multi Cap
Axis Gold FundAxis Gold FundGold-Fund of Funds
Others-FoF Domestic
Axis Income FundAxis Strategic Bond FundDebt-Income
Debt-Medium Duration
Axis Liquid FundAxis Liquid FundLiquid-LiquidDebt-Liquid
Axis Long Term Equity FundAxis Long Term Equity FundEquity-Tax PlanningEquity-ELSS
Axis Regular Saver FundAxis Strategic Bond FundDebt-MIP
Debt-Medium Duration
Axis Short Term FundAxis Short Term FundDebt-Short Term
Debt-Short Duration
Axis Treasury Advantage FundAxis Treasury Advantage FundDebt-Ultra Short Term
Debt-Ultra Short Duration
Axis Triple Advantage FundAxis Triple Advantage FundHybrid-Dynamic/Asset Allocation
Hybrid-Multi Asset Allocation

Axis Mutual Funds Whose Names and Categories Have Not Changed

Old Name New Name Old Category  New Category
Axis Bluechip FundAxis Bluechip FundEquity-Large Cap
Equity-Large Cap
Axis Enhanced Arbitrage FundAxis Enhanced Arbitrage FundHybrid-Arbitrage
Axis Gilt FundAxis Gilt FundDebt-GiltDebt-Gilt
Axis Midcap FundAxis Midcap FundEquity-Mid Cap
Equity-Mid Cap
Axis Multicap FundAxis Multicap FundEquity-Multi Cap
Equity-Multi Cap

Axis Mutual Fund Renaming and Re-Categorization: What Should Investors Do?

As an investor, you might have to change your investment strategy and make your investments according to the new guidelines by SEBI. There are primarily three consequences to the effect:

1. If Mutual Funds Are Being Merged:

The Asset Management Company will take care of the merger because there is no real change in the category and therefore the investor does not need to make any change to his/her investment strategy.

2. If  Mutual Fund Name Has Changed:

If only the name has changed, the investor need not worry. They can keep investing the way they did before.

3. If Mutual Fund Category Has Changed:

If the category of the fund has changed, then you need to modify your investments in such a way that it is in sync with the characteristics of the new category.

Benefits of Re-Naming and Re-Categorization

The Security Exchange Board of India (SEBI) wants to simplify the process of investing for investors and omit confusion. There are three basic benefits of the above phenomenon:

1. It reduces the category of funds, thereby removing confusion
2. It reduces the effort of selecting mutual funds
3. It is easier and more convenient to understand the different categories of mutual funds

Happy Investing!

DisclaimerThe views expressed here are that of the author and do not reflect those of Groww.