NFO Alert: Mirae Asset Launches Long Duration Fund
18 November 20244 mins read by Angel One
Mirae Asset Mutual Fund launches its Long Duration Fund via NFO, open from Nov 21 to Dec 2, 2024, offering a strategic debt investment opportunity.
Introduction to the NFO
Mirae Asset Investment Managers (India) Pvt. Ltd. has introduced a promising investment opportunity with the Mirae Asset Long Duration Fund, a New Fund Offer (NFO). Designed to cater to long-term financial goals, this debt scheme invests in instruments with a Macaulay duration exceeding seven years. The NFO opens on November 21, 2024, and closes on December 2, 2024.
Key Features of Mirae Asset Long Duration Fund
- Core Asset Allocation
Aimed at providing a stable and strategic component to your investment portfolio, this fund focuses on long-term financial objectives.
- Long-Term Stability
By maintaining a Macaulay duration of over seven years, the fund seeks to offer less volatile returns over the long term.
- Focus on High-Quality Debt Instruments
The portfolio includes government securities, AAA-rated corporate bonds, and state development loans (SDLs), ensuring quality.
- Tax Efficiency
The fund offers tax deferment benefits, meaning taxes are applied at redemption, enhancing portfolio growth over time.
Why This NFO?
- Aligned with India’s Growth Trajectory
As India transitions toward a developed economy, interest rates are expected to align with global standards, potentially benefitting long-term debt investors.
- Effective Interest Rate Management
This fund captures prevailing yields, enabling investors to benefit from capital gains during a declining interest rate environment.
- Expert Fund Management
Managed by Ms Kruti Chheta, an experienced fund manager and fixed-income analyst, the fund is benchmarked against the CRISIL Long Duration Debt A-III Index.
NFO Details at a Glance
- NFO Period: November 21, 2024, to December 2, 2024
- Minimum Investment: Rs 5,000 with subsequent investments in multiples of ₹1
- Benchmark Index: CRISIL Long Duration Debt A-III Index
- Reopens for Continuous Sale: December 9, 2024
Who Should Invest?
The Mirae Asset Long Duration Fund is ideal for:
- Investors seeking long-term stability within their debt portfolio.
- Those looking for tax-efficient investment options.
- Individuals aiming to capitalize on declining interest rate cycles.
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.
