Tata mutual fund has announced a new fund offer (NFO) for Tata Balanced Advantage Fund. The NFO period begins from January 09, 2019 and will end on January 23, 2019. It will re-open for continuous sale and repurchase of units on or before February 01, 2019. The open-ended hybrid scheme aims to provide capital appreciation and income distribution to the investors by using equity derivatives strategies, arbitrage opportunities and pure equity investments.
The Tata Balanced Advantage Fund will invest 65%-100% of its assets in Equity and Equity related instruments and Equity Derivatives and the remaining balance of 0%-35% in Debt (including money market instruments, securitized debt & units of debtand liquid category schemes) instruments and cash. The unhedged equity exposure of the scheme will be limited to upto 80% of its portfolio value. The scheme will not participate in credit default swaps.
The Tata Balanced Advantage Fund will be benchmarked against the CRISIL Hybrid 35+65 – Aggressive Index. The returns for the benchmark index are as follows:
| Index Name | 1 Year Return* | 5 Year Return* |
| CRISIL Hybrid 35+65 – Aggressive Index | 2.83% | 12.86% |
The scheme will be primarily managed by Mr. Rahul Singh and Mr. Sonam Udasi along with Mr. Sailesh Jain who will look after the scheme’s hedged /derivative exposure and Mr. Akhil Mittal who will be managing the fixed income portfolio of the scheme. Other scheme being managed by Mr. Udasi include Tata Digital India Fund and Tata Equity Savings Fund.
Key information about the Tata Balanced Advantage Fund NFO:
| NFO Period | January 09, 2019 – January 23, 2019 |
| Minimum Application Amount | Rs. 5,000 |
| Exit Load | 1% of the applicable NAV, if redeemed on or before expiry of 365 days from the date of allotment. |
| Benchmark | CRISIL Hybrid 35+65 – Aggressive Index |
| Fund Managers | Rahul Singh & Sonam Udasi |
Other Funds by Tata Asset Management
| Scheme Name | 3Y Returns (%) | AUM (Rs. Cr.) | Category |
| Tata Digital India Fund | 21.92 | 111.56 | Sectoral/Thematic Fund |
| Tata Banking and Financial Services Fund | 18.01 | 253.91 | Sectoral/Thematic Fund |
| Tata India Consumer Fund | 17.4 | 973.5 | Sectoral/Thematic Fund |
| Tata Retirement Savings Fund Progressive Plan | 14.17 | 451.51 | Multi Cap Fund |
| Tata Index Sensex Direct | 14.14 | 5.04 | Large Cap Fund |
| Tata India Tax Savings Fund | 13.2 | 1398.27 | ELSS |
| Tata Index Nifty Direct | 12.23 | 11.08 | Large Cap Fund |
| Tata Retirement Savings Fund Moderate Plan | 12.09 | 659.89 | Aggressive Hybrid Fund |
| Tata Large & Mid Cap Fund | 11.46 | 1297.88 | Large & Mid Cap Fund |
| Tata Midcap Growth Direct Plan | 11.31 | 692.48 | Mid Cap Fund |
| Tata Large Cap Direct Plan | 10.75 | 799.42 | Large Cap Fund |
| Tata Ethical Direct Plan | 10.32 | 517.86 | Sectoral/Thematic Fund |
| Tata Equity PE Fund | 8.78 | 3519.81 | Value Fund |
| Tata Retirement Savings Fund Conservative Plan | 8.76 | 133.5 | Conservative Hybrid Fund |
| Tata Gilt Securities Fund | 8.01 | 117.76 | Gilt Fund |
| Tata Income Fund | 7.49 | 112.41 | Medium to Long Duration Fund |
| Tata Dynamic Bond Fund | 7.09 | 701.43 | Dynamic Bond Fund |
| Tata Hybrid Equity Fund | 6.91 | 5552.16 | Aggressive Hybrid Fund |
| Tata Liquid Fund | 6.9 | 15156.38 | Liquid Fund |
| Tata Equity Savings Fund | 6.24 | 214.93 | Equity Hybrid Saving Fund |
{Data as on Feb 20, 2020; Source: Value Research}