Parag Parikh Dynamic Asset Allocation Fund NFO: Essentials factors you need to know

22 Feb 2024 , 02:35 PM

PPFAS Mutual Fund is launching NFO under its “hybrid category”, named as Parag Parikh Dynamic Asset Allocation Fund. The investment objective of the scheme is to generate income/long-term capital appreciation by investing in equity, equity derivatives, fixed income instruments. The allocation between equity instruments and fixed income will be managed dynamically so as to provide investors with long term capital appreciation while managing downside risk.

Investment strategy: The Scheme would carry out arbitrage strategies, which would entail taking offsetting positions in the various markets simultaneously. The arbitrage strategy can also be on account of buy-back of shares announced by a company and/or differences in prices between two exchanges/markets.

Asset allocation: The scheme aims to invest in equity and equity related instruments as well as debt and money market instruments while managing risk through active asset allocation.

Who should invest?

Investors with high risk appetite and want to invest for 3 to 5 years to diversify their portfolio in multiple assets should invest in Parag Parikh Dynamic Asset Allocation Fund.

Risk associated: High level of risk.

Benchmark: CRISIL Hybrid 50+50 Moderate Index.

Fund Managers: Mr. Sanjay Bembalkar and Mr Hardick Bora

The NFO is available for subscription from February 20 to February 22. The schemes will reopen for continuous sale and repurchase within five Business Days from the date of allotment. The fund offers systematic investment solutions like SIP and SWP to create a flexible investment plan. The minimum subscription amount is Rs 5000/- and in multiples of any amount thereafter. 

It offers Regular Plan and Direct Plan. Each plan offers Growth and Income options. Click here to invest in Parag Parikh Dynamic Asset Allocation Fund.