The Mahindra Manulife Focused Equity Scheme scheme is suitable for investors who want to invest in the medium term and have good returns.
Focused funds can invest only in a maximum of 30 stocks, which are of top quality, the economy is opening up and corporate performance is improving in the second quarter.
Mahindra Manulife Mutual Fund has launched the Mahindra Manulife Focused Equity Scheme. This new fund offer (NFO) is open from Monday and will close on 9 November. It is an open-ended equity mutual fund scheme that will invest in a maximum of 30 shares. All these shares will be quality stocks.
Get a good investment in the long term
This scheme is suitable for investors who want to see an increase in their investment over the long term. This is also true for those who want to invest for the medium term and expect better risk-adjusted returns.
Strong recovery of equity market
Ashutosh Bishnoi, MD, Mahindra Manulife Investment Management, said the Indian economy and equity markets are on a strong recovery, as the economy is opening up and we are seeing an improvement in corporate performance. The Mahindra Manulife Focused Equity Scheme scheme is suitable for investors who want to invest in the medium term and seek good returns. Focused funds have the advantage of defining their market cap mix and have the opportunity to find opportunities anywhere in the equity market.
The stocks with potential returns are selected through research. Quality is also checked in it.
There are many factors
In fact, if such a scheme has a lot of factories, then it is useful to build a portfolio. It consists of factors such as domestic and global macroeconomic dynamics, assessment of portfolio weight based on the corporate business cycle, liquidity and market cap, and outlook for the future growth of the sector. Also, stock valuation and future growth, management capability and corporate governance are also included.
Invests in limited stocks
A focused fund is an equity mutual fund that invests in limited stock. It can invest in a maximum of 30 shares. Other equity mutual funds invest in 50–100 stocks. Some focused mutual funds aim to focus on large-cap and mid-cap stocks. Focused funds aim to provide higher returns by investing in limited numbers and quality stocks.
The right shares are selected
The strategy of a focused fund is to gain momentum by choosing the right stocks and this gives higher returns to investors. The fund manager always focuses on buying stocks that give better risk-adjusted returns. This view of the fund manager helps in building a good stock portfolio.