The Business Bytes
TBB BUREAU
BHUBANESWAR, JANUARY 6, 2021
Samco Mutual Fund on Thursday announced the launch of its first new fund offer (NFO) “Samco Flexi Cap Fund”.
The NFO will open on 17th of January 2022 and close on 31st Jan 2022.
The fund managers of the scheme will be Nirali Bhansali and the dedicated fund manager for overseas investments will be Dhawal Dhanani.
Flexi-cap is a new category of mutual funds, which invest a minimum of 65% of its corpus in equities. In this category, the fund manager has the flexibility to take exposure to large-cap, mid-cap, and small-cap segments without any restrictions. These funds invest money across market capitalisation.
The Samco Flexi Cap Fund will look to create wealth for investors using a 3E step strategy; investing in efficient companies at an efficient price and maintaining efficient costs.
Further, the scheme will follow a growth investing strategy investing in Indian and global equities in a proportion of 65% (Indian equities) and 35% (global equities).
Commenting on the fund launch, Jimeet Modi, Founder and Director, Samco Asset Management Pvt Ltd, said, “The fund is designed as a truly active fund and will aim and endeavour to maintain a high active share. This shall ensure that investors get their money’s worth and a truly differentiated fund when they pay an active asset management fee. This is a refreshing change in a world where closet indexing has become mainstream.”
As per the company, it is the first mutual fund in India that will transparently disclose all voluntary dealing costs.
Voluntary dealing costs are all costs incurred by the fund manager for purchases and sales excluding the costs incurred for involuntary transactions such as fund inflows/outflows.
“This shall be computed as a percentage of the AUM. This will help investors compute the total cost of investments which is a sum of the TER and voluntary dealing costs,” the fund house said.
Commenting on the launch, Umesh Kumar Mehta, CEO of Samco Asset Management Pvt Ltd said “SAMCO FlexiCap Fund is a unique and a pure equity fund in the Flexi Cap category by its design. Unlike other funds, it only seeks to invest in Indian Equities and Global Equities. No other assets like corporate debt, REITs, derivatives, etc are permitted which will allow the scheme to be a pure equity scheme. Its 25 stock portfolio construction strategy ensures that investors enjoy benefits of reasonable concentration and diversification unlike other strategies which may be overly diversified…Further, we are proud to be the first AMC to publish a Unit Holder’s handbook which explains in detail how investors’ money shall be managed. This ensures transparency of process and helps investors have clear expectations from the fund.”
Nirali Bhansali, Equity Fund Manager of the SAMCO Flexi Cap Fund said, “We have constructed the SAMCO FlexiCap fund as a simple 3-step buy and hold strategy that shall invest in some of the world’s fast growing and capital efficient companies that can compound capital over the long term. Investors will get exposure to high growth companies globally since the fund shall invest 35% of its assets in global stocks.”
