Axis Mutual Fund eyes 5k crore from new multi-cap fund

Hyderabad: Planning a larger play in the equity funds space which has been behind the massive market rally since the middle of last year, Axis Mutual Fund announced a new multi-cap fund from which it expects to mobilise at least Rs 5,000 crore.

The fund, opening on November 26 and closing on December 10, will provide investors with an opportunity to invest in large, mid and small cap stocks with minimum equal exposure across each category, Chandresh Nigam, Managing Director & Chief Executive of Axis AMC said.

The fund house, which is one of the fastest growing ones, plans to mobilse at least Rs 5,000 crore from the new fund, Raghav Iyengar, Chief Business Officer at the fund house, said.

The fund, an open-ended equity scheme, will track the Nifty 500 multi-cap stocks. It will be managed by Anupam Tiwari and Sachin Jain who are fund managers at the company. According to Sebi regulations, multi-cap funds need to have a minimum 25 per cent exposure under each market cap, ensuring that the portfolio is not overtly concentrated towards a particular market cap.

Due to its large and varied investment universe, multi-cap funds offer the dual benefit of growth and risk-adjusted returns, making them a better solution for long-term investment objectives and wealth creation.