Axis Mutual Fund To Launch Axis CRISIL-IBX AAA Bond Financial Services – Sep 2027

Axis Mutual Fund is set to launch the Axis CRISIL-IBX AAA Bond Financial Services – Sep 2027 Index Fund, an open-ended target maturity index fund that’s all about safety, stability, and sticking to the plan. Targeting bonds with the highest AAA rating in the financial services sector, this fund promises moderate risk while focusing on long-term returns. The NFO opens on November 8 and wraps up on November 21, 2024.

Why This Fund?

This isn’t just any mutual fund. Axis CRISIL-IBX AAA Bond Financial Services – Sep 2027 Index Fund will follow a “buy and hold” strategy, which means it’ll keep investments until the fund’s maturity in 2027. With a focus on AAA-rated bonds from the financial services sector, it’s designed to bring in returns with a lower chance of credit risk.

If you’re looking for something predictable, this fund aligns with the CRISIL-IBX AAA Financial Services Index. And while there’s always some tracking error, the goal is to stay as close as possible to the index’s returns. Plus, you’re looking at a maximum Total Expense Ratio (TER) capped at 1%, keeping costs manageable.

Investment Essentials

• Minimum Investment: Start with as little as Rs.5,000. Additional purchases? Just Rs.1,000.
• SIP Option: Start a SIP from Rs.1,000 per month (minimum six installments), perfect if you like the idea of investing in small, regular amounts.
• Plans Available: Regular and direct plans, with options for growth and IDCW, so you can pick what fits best.

With Aditya Pagaria as the fund manager, Axis Mutual Fund brings in expertise. Pagaria and his team will manage this fund with a focus on tracking the CRISIL-IBX AAA Financial Services Index, which benchmarks against some of the safest, highest-quality debt instruments in the market.

Conclusion: If you’re an investor seeking predictable returns over a set period, this fund could be an appealing choice. It’s ideal for those who want exposure to AAA-rated financial services bonds and aren’t too keen on high-risk, volatile assets. In short, it’s stable with growth, right up to 2027.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.