Quantum Asset Management Company (AMC) has announced the launch of the Quantum Multi Asset Allocation Fund, which opens for subscription on February 19, 2024. The new fund offer (NFO) will be open for investors until March 1, 2024. The Quantum Multi Asset Allocation Fund is an open-ended equity scheme that aims to generate long-term capital appreciation/income by investing in a diversified portfolio of Equity & Equity Related Instruments, Debt & Money Market Instruments, and Gold Related Instruments. It will be co-managed by Chirag Mehta, Chief Investment Officer, and Pankaj Pathak, Fund Manager – Fixed Income, at Quantum AMC.
The investment objective of the scheme is to offer investors an option that provides greater tax efficiency and the potential to cope better with inflation compared to traditional investments such as fixed deposits. The scheme will invest in a diversified portfolio of assets, including Equity & Equity Related Instruments (35-65%), Debt & Money Market Instruments (25-55%), and Gold Related Instruments (10-20%).
The fund will be benchmarked against a combination of NIFTY 50 TRI (40%), CRISIL Short Term Bond Fund AII Index (45%), and Domestic Price of Gold (15%). It will predominantly invest in securities of the Nifty 50 index and other large-cap stocks for its equity component, sovereign and PSU debt securities across durations for its fixed income allocation, and Quantum Gold ETF & Other Gold related instruments for its gold component.
Investors can participate in the Quantum Multi Asset Allocation Fund with a minimum lump sum investment of ₹500 and in multiples of Re. 1 thereafter. The minimum additional investment can also be made in ₹500 and in multiples of Re. 1 thereafter or 50 Units. Additionally, investors can opt for the SIP route with a minimum investment of Rs. 100 (Daily) & Rs. 500 for other frequencies (Weekly, Fortnightly, Monthly & Quarterly).
Commenting on the launch, Mr. Chirag Mehta, Chief Investment Officer, Quantum AMC, stated, “The number of investors in mutual funds is increasing rapidly, and this fund provides these first-time investors with a measured approach to equity markets along with diversification from gold and debt, thereby providing a rewarding and relatively smoother investment experience.”
Mr. Pankaj Pathak, Sr. Fund Manager, Quantum AMC, added, “The fund is launched with an intention to provide an option to fixed deposit by potentially providing better returns over the long run. The fund simplifies investment decisions with its one-stop diversified solution that invests across asset classes and enhances tax efficiency through indexation benefits. Investors in the 30% tax slab stand to benefit significantly compared to traditional fixed deposits.”
The Quantum Multi Asset Allocation Fund offers investors a unique opportunity to invest in a diversified portfolio that aims to deliver long-term capital appreciation and income while providing tax-efficient returns and potential protection against inflation.
