L&T mutual fund is launching L&T Emerging Opportunities Fund – Series I – a closed-ended small-cap fund. L&T mutual fund’s open-ended small-cap fund – L&T Emerging Businesses Fund – is one of the best performing small-cap funds in the market.

This is one of the reasons why so many are looking up to this new L&T NFO.

Quick Facts: L&T Mutual Fund Fund NFO

NFO Name L&T Emerging Opportunities Fund – Series I
NFO Launch Date 29 January 2018
Last Date for Application 12 February 2018
Minimum Investment Amount ₹5000
Fund Type Small Cap Fund
Nature Close-ended
Maturity date 15 April 2021

How to Invest in L&T Emerging Opportunities Fund Series I NFO 2018

If you want to invest in L&T Emerging Opportunities Fund – Series I NFO, you have to follow the steps below.

1. Log in to your Groww account. If you are a new user, sign up first – it is completely online and takes 2-3 working days.
2. Decide the amount you would like to invest in L&T Emerging Opportunities Fund – Series I NFO.
3. Email Groww support on support@groww.in with a request or call/Whatsapp on 9108800604.

When investing in this NFO, you must remember, it is a close-ended mutual fund. Once you invest, you will not be able to touch the money until the maturity date. Also, you, need to invest at least ₹5000 in it. Invest only if you don’t need the money for that duration.

L&T Emerging Opportunities Fund – Series I NFO

L&T Mutual Fund is a mutual fund company in India. The Asset Management Company (AMC) for all L&T Mutual Fund schemes is L&T Investment Management Limited which is one of the premier mutual funds in India and caters to the investment needs through a suite of mutual fund schemes.

It recently announced the launch of L&T Emerging Opportunities Fund – Series I.

This L&T NFO in 2018 launching on 29 January 2018 and will accept subscriptions till 12 February 2018. L&T Emerging Opportunities Fund – Series I is a close-ended fund, post 19th February 2018 units will be listed on the capital market segment of the NSE Limited and BSE Limited.

Objective of L&T Emerging Opportunities NFO

The investment objective of the fund is to provide long-term capital appreciation by investing in equity and equity-related instruments, investing predominantly in small-cap stocks and engaged in and/or expected to benefit from growth in housing and its allied business activities.

But there is no assurance that the objective of the Scheme will be realized and the Scheme does not assure or guarantee any returns.

L&T Emerging Opportunities Fund NFO: Fund Category

L&T Emerging Opportunities Fund – Series I is categorized as a small cap fund. Small cap are small companies of stock market i.e companies with small market capitalization.

Mutual fund house offering small-cap funds have very professional fund manager team having expertise to select the right equities with optimum diversification in portfolio.

Success of these funds depends on the amount of time invested by fund house in researching and finding the right dark horse stocks in small-cap segment.

L&T Emerging Opportunities Fund – Series I NFO: Benchmark

The fund will be benchmarked to S&P BSE Small Cap Index. The S&P BSE SmallCap is designed to represent the bottom 15% of the total market cap of the S&P BSE AllCap. The index is designed to represent the small-cap segment of India’s stock market.

L&T Emerging NFO – Series I: Fund Manager

Mr. Vihang Naik:

Mr. Naik is a CFA and TYBMS. Prior to joining L&T Mutual Fund he was associated with L&T Investment Management Limited (Jul 2012-Jun 2016) as an Analyst and with MF Global Sify securities (Mar 2010-Jul 2012, Motilal Oswal Securities (May 2008-Mar 2010), SBICAP Securities (Oct 2006-Apr 2008) as Research Analyst.

Funds Managed by Mr. Vihang Naik:

L&T Midcap Fund – since Jun 2016
 L&T Long Term Advantage Fund – I – since Oct 2016
 L&T Emerging Opportunities Fund Series I – Regular Plan – since Jan 2018

L&T Mutual Fund Minimum Investment

Minimum investment that can be made per investor is ₹5000 and in multiples of ₹10 thereafter.

L&T Emerging Opportunities Fund NFO: Risk

L&T Emerging Opportunities Fund – Series I NFO 2018 falls into the high-risk category as per the company scheme information document indicating that the principal invested by the investors will be at high risk.

Some of the risks associated with the fund are trading volumes, settlement risk, liquidity risk, default risk including the possible loss of principal.

The fund is a small cap fund and therefore are highly risky and volatile investment instruments as compared to large and mid-cap fund category due to their exposure in high performing equities.

These funds have exponential growth potential and give high returns on investment and is best suited for investors with high-risk appetite or for seasoned investors.

As small-cap funds invest in small and bidding companies, identification of companies having growth potential, diversification become significant. Hence, the role of fund managers in small cap funds is of immense importance.

Other Options

If you think L&T Emerging Opportunities Fund – Series I is too risky for you, you can invest in less risky equity mutual funds like large-cap funds and balanced funds.

Happy investing!

Disclaimer: the views expressed here are those of the author. Mutual funds are subject to market risks. Please read the offer document carefully before investing.