CALCULATE YOUR SIP RETURNS

NFO alert: Motilal Oswal Mutual Fund launches Motilal Oswal Large Cap Fund; details inside

18 September 20246 mins read by Angel One
In the following article we shed light on NFO, the fund’s objective, fund allocation, fund managers and peer performance.
NFO alert: Motilal Oswal Mutual Fund launches Motilal Oswal Large Cap Fund; details inside
ShareShare on 1Share on 2Share on 3Share on 4Share on 5

The Motilal Oswal Large Cap Fund is an open-ended equity scheme launched on January 17, 2024, to achieve long-term capital appreciation by primarily investing in large-cap companies. It aims to generate superior returns over the long term while keeping risk controlled. The New Fund Offer period closes on January 31, 2024. There is a 1% exit load if redeemed within 15 days of allotment, but no load thereafter. The minimum subscription amount is Rs 500.

Investment Objective

To achieve long-term capital appreciation by predominantly investing in equity and equity-related instruments of large-cap companies. However, there can be no assurance that the investment objective of the scheme will be realized.

Funds Allocation

Instrument Indicative Allocations (% of total assets) Risk Profile
Equity and Equity related instruments of Large cap companies 80 to 100 Very High
Equity and Equity-related Instruments of companies other than Large cap companies including foreign companies 0 to 20 Very High
Debt and Money Market instruments (including cash and cash equivalents), Liquid and Debt Schemes of Mutual Fund. 0 to 20 Low to Moderate
Units issued by REITs and InvITS 0 to 10 Very High

Benchmark Index

The performance of the Scheme will be benchmarked against the Nifty 100 TR Index as the scheme will invest primarily in Large-cap companies.

Fund Managers

Name of Fund Manager Age Educational Qualification Experience
Ajay Khandelwal 44 years CFA Level 3, PGDM – MBA, B.E. Ajay has a 13 years’ experience in

fund management and research

related activity.

Niket Shah 37 years MBA – Finance Niket has 13 years of overall

experience.

Santosh Singh 44 years CA, CFA Mr. Singh has an overall

experience of over 15 years.

Atul Mehra 35 years CFA, M.com, B.com Atul has over 15 years of overall experience.
Rakesh Shetty 42 years B.com Rakesh has more than 14 years of overall experience and expertise in trading in equity, debt segment, Exchange Trade Fund’s management, Corporate Treasury and Banking.

Peer Large cap funds – Historical Performance

Scheme Name AuM (Cr) 3M 6M 1Y 2Y 3Y 5Y 10Y
ICICI Prudential Bluechip Fund – Direct Plan – Growth 47,928.62 17% 18% 34% 19% 23% 19% 18%
SBI Blue Chip Fund – Direct Plan – Growth 43,487.36 10% 8% 24% 14% 18% 17% 17%
Mirae Asset Large Cap Fund – Direct Plan – Growth 37,969.17 11% 9% 22% 12% 17% 16% 18%
Axis Bluechip Fund – Direct Plan – Growth 33,171.04 12% 10% 22% 8% 13% 15% 16%
HDFC Top 100 Fund – Direct Plan – Growth 30,261.72 17% 17% 34% 21% 24% 17% 17%
Aditya Birla Sun Life Frontline Equity Fund – Direct Plan – Growth 25,898.36 13% 12% 27% 14% 19% 16% 16%
Nippon India Large Cap Fund – Direct Plan – Growth 20,217.64 15% 15% 37% 23% 26% 19% 19%
UTI Large Cap Fund – Direct Plan – Growth 12,230.07 11% 10% 23% 10% 17% 16% 16%
Canara Robeco Bluechip Equity Fund – Direct Plan – Growth 11,639.09 13% 11% 27% 13% 18% 19% 17%

Risk Factors

Risks associated with investing in Equities

Equity and equity-related instruments on account of their volatile nature are subject to price fluctuations daily. The volatility in the value of the equity and equity-related instruments is due to various micro and macro-economic factors affecting the securities markets. This may harm individual securities /sectors and consequently the NAV of the Scheme. The inability of the Scheme to make intended securities purchases due to settlement problems could cause the Scheme to miss certain investment opportunities as in certain cases, settlement periods may be extended significantly by unforeseen circumstances

Asset Class Risk

The returns from the types of securities in which the Scheme invests may underperform from the various general securities markets or different asset classes. Different types of securities tend to go through cycles of out-performance and under-performance in comparison with the general securities markets.

Interest Rate Risk

Changes in interest rates will affect the Scheme’s Net Asset Value. The prices of securities usually increase as interest rates decline and usually decrease as interest rates rise. The extent of fall or rise in the prices is guided by duration, which is a function of the existing coupon, days to maturity and increase or decrease in the level of interest rate.

Liquidity or Marketability Risk

This refers to the ease at which a security can be sold at or near its true value. The primary measure of liquidity risk is the spread between the bid price and the offer price quoted by a dealer. Liquidity risk is characteristic of the Indian fixed-income market. Trading Volumes, settlement periods and transfer procedures may restrict the liquidity of the investments made by the Scheme. Different segments of the Indian financial markets have different settlement periods and such period may be extended significantly by unforeseen circumstances leading to delays in the receipt of proceeds from the sale of securities.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. The information is based on various secondary sources on the internet and is subject to change. Please consult with a financial expert before making investment decisions.

We're Live on WhatsApp! Join our channel for market insights & updates

Enjoy Zero Brokerage on Equity Delivery
4.4 Cr+DOWNLOADS
Enjoy Zero Brokerage on Equity Delivery

Get the link to download the App

Send App Link
Get it on Google PlayDownload on the App Store
Open Free Demat Account!
Enjoy ₹0 Account Opening Charges