Canara Bank plans IPO launch for Canara Robeco: Read in details
Hyderabad Canara Robeco Mutual Fund, an asset management company announced the launch of Canara Robeco Mid Cap Fund, an open-ended equity scheme. The investment here, for a term of five years and above, is into equity and equity-related instruments of mid cap companies. The New Fund Offer (NFO) is open from November 11 - 25, 2022.
The company said it aims to invest in mid cap companies that are at the confluence of industry growth, company growth and management pedigree. The asset manager may invest up to 35 per cent in equity and equity-related instruments of companies other than mid cap companies, debt and money market instruments and up to a maximum of 10 per cent in units issued by REITs and InvITs.
The fund would allow lump sum investments of a minimum of Rs 5,000 during the NFO period. It will take investments through SIP, STP and SWP after the NFO period. The fund would be benchmarked against the S&P BSE 150 Mid Cap Index TRI. Ajay Khandelwal and Shridatta Bhandwaldar are the fund managers here.
Rajnish Narula, CEO said, "Mutual fund investors who are comfortable displaying patience to ride market volatility, keeping an investment horizon of over five years, may benefit from risk adjusted returns."
He further said that investors should note that the above-mentioned selection and portfolio construction process will be followed by the fund manager and is subject to change based on market dynamics, economic scenarios.
Shridatta Bhandwaldar, Head – Equities said, "The portfolio of Canara Robeco Mid Cap Fund would comprise three types of buckets. The first will focus on companies with high growth, which will identify leaders and domestic growth beneficiaries with superior earnings growth. While compounding companies that exhibit features of strong franchise durability, high cash flow generation, low capital intensity and minimal financial leverage, will form part of the second bucket. The third would focus on cyclical beneficiary companies that showcase improved cash flows, increased return on capital from business turnaround, or industry cycle revival."
