Give your investment portfolio the global advantage3 min read . Updated: 09 Sep 2020, 04:34 PM IST
The latest offering by Axis Mutual Fund, the Axis Global Equity Alpha Fund of Funds, gives Indian investors the option of diversifying their portfolios globally, with diversified risk and better adjusted returns.
As citizens living in a borderless world, many of us want the best from across the globe, be it Japanese smart technologies to drive our homes, or German cars to take us around. But when it comes to investing our money, we often limit our exposure to the Indian capital markets.
According to data released by the World Bank, the Indian markets contribute just 3 per cent of the global investment markets – the US tops the list at 41 per cent, followed by Japan at 8 per cent – but a majority of Indian investors limit their exposures to just Indian stocks.
Experts say that Indian investors have almost all their money invested in stocks or mutual funds in the country. India’s share in the world Gross Domestic Product (GDP) in Purchasing Power Parity (PPP) terms is less than 8 per cent, as per figures compiled by the International Monetary Fund (IMF), which is an indicator that Indian investors have little contribution to the overall global economic growth.
To truly diversify your investment portfolio and make the most of your money, you need to look beyond local options. Stepping into the global scene opens up an array of opportunities to invest in offerings not available to investors in India.
One of the golden rules of smart investing is having the right asset allocation. This means your portfolio must have the right mix of different asset classes such as equity, fixed income, gold, and real estate.
This diversification of the portfolio can also help improve the risk-return characteristics.
But how can Indian investors access the global markets? The latest offering from Axis Mutual Fund, the Axis Global Equity Alpha Fund of Funds (FoF), offers investors the chance to invest in a FoF scheme investing in Schroder International Selection Fund Global Equity Alpha. All you need to do is invest in the Axis Global Equity Alpha FoF and get all the benefits of diversifying your investments across multi-asset classes and geographies.
Schroders is one of the leading names in investment planning globally. It has best-in-class research capabilities across asset classes ranging from equities to fixed income and private assets and alternatives. The firm also boasts in-depth understanding and expertise in global investing and operates in diverse markets across countries.
The fund has well-known performers in its top 10 holdings, which feature names like Amazon.com Inc, Alphabet Inc, Microsoft Corp, Visa Inc, Adobe Inc, Facebook Inc, United Health Group Inc, Intuit Inc, JP Morgan Chase & Co, and Philip Morris International, among others*. This kind of a reach offers you the unique opportunity to tap into diverse markets.
The Schroder International Selection Fund Global Equity Alpha is based on the pillars of a forward-looking philosophy, cutting-edge research, stock selection integrating ESG and fundamental risk analysis, portfolios constructed after risk-adjusted returns and focussed on consistency, and a model of active ownership and engagement with the investments.
The NFO opened on September 4, 2020. Take this opportunity to invest in the Axis Global Equity Alpha FoF and give your portfolio the global edge.
Click here to know more about the fund.
*The Scheme shall invest in Schroder International Selection Fund Global Equity Alpha (‘Underlying Fund’) and shall not hold the stocks directly in its portfolio.
The Underlying Fund consists of diversified portfolio of stocks of foreign companies and may or may not choose to invest/ hold stocks mentioned above. The stocks referred above are for illustration purpose only and should not be construed as recommendation. For details of Top 10 holding of the Underlying Fund as on July 31st 2020 kindly visit www.axismf.com
Note: Investors will be bearing the recurring expenses of the Scheme in addition to the expenses of the scheme in which Fund of Funds scheme makes investment.
MSCI makes no express or implied warranties or representations and shall have no liability whatsoever with respect to any MSCI data contained herein. The MSCI data may not be further redistributed or used as a basis for other indexes or any securities or financial products. This report is not approved, endorsed, reviewed or produced by MSCI. None of the MSCI data is intended to constitute investment advice or a recommendation to make (or refrain from making) any kind of investment decision and may not be relied on as such.
Statutory Details: Axis Mutual Fund has been established as a Trust under the Indian Trusts Act, 1882, sponsored by Axis Bank Ltd. (liability restricted to Rs.1 Lakh). Trustee: Axis Mutual Fund Trustee Ltd. Investment Manager: Axis Asset Management Co. Ltd. (the AMC)
Mutual Fund Investments are subject to market risks, read all scheme related documents carefully.