The Mirae Asset Long Duration Fund is an upcoming New Fund Offer (NFO) tailored for long-term investments in high-quality debt instruments. Here’s a detailed overview:
Key NFO Details:
- Launch Date: November 21, 2024
- Closure Date: December 2, 2024
- Reopening for Continuous Sale/Repurchase: December 9, 2024.
Fund Features:
- Objective: To generate returns through a portfolio with a Macaulay duration greater than 7 years, focusing on government securities, State Development Loans (SDLs), and highly rated corporate bonds.
- Benchmark: CRISIL Long Duration Debt A-III Index.
- Fund Manager: Kruti Chetta.
Investment Details:
- Minimum Initial Investment: ₹5,000.
- SIP Investment: Starts from ₹1,000 monthly.
- Nature: Open-ended debt scheme suitable for long-term goals such as retirement, child’s education, or wealth creation.
Investment Strategy:
The fund focuses on dynamic management of interest rate scenarios to leverage falling rates for potential capital gains. It seeks to provide stable, long-term returns through a diversified portfolio.
Pros and Cons:
Pros:
- Offers potential stability and tax benefits through mutual fund structures.
- Suitable for long-term goals requiring steady returns.
- Provides flexibility with withdrawal options at prevailing market yields.
Cons:
- High interest rate sensitivity may pose risks during adverse rate movements.
- Requires a long investment horizon (7+ years) to fully benefit.
- Not ideal for investors seeking short-term liquidity.
How to Invest:
Investors can participate through online mutual fund platforms, Mirae Asset’s official website, or registered distributors. Ensure to complete KYC procedures before investing.
Suitable for:
- Individuals with long-term financial goals.
- Investors seeking to diversify their portfolio with high-credit-quality debt instruments.
This fund is particularly appealing to those looking to leverage debt securities for steady wealth creation. However, it is critical to evaluate interest rate scenarios and consult financial advisors for alignment with personal goals.
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To get detailed information of this Mutual Fund NFO from www.mutualfundsahihai.com click on url.