Mutual Funds Products Update

by | Sep 9, 2021 | All Post

IPO

IPO’s have lately been making a lot of money for everyone. An IPO fund is an interesting way to participate in this activity.

We have identified an opportunity with an IPO fund; a mutual fund scheme that invests and IPO’s on an institutional level and continues to hold good companies so that investors like us can make huge returns.

Objective:

The investment objective of the scheme is to seek to provide capital appreciation by investing in equity and equity related securities of recently listed 100 companies or upcoming Initial Public Offers (IPOs). 

 

Why Edelweiss Recently Listed IPO Fund:

  1. IPO season is on its peak
  2. Best part is you don’t need to have a demat account
  3. No need to block funds
  4. Why depend on the lottery system
  5. No need to pick and choose, no need to spend hours researching companies. Invest in the most recent upto 100 IPO’s with a minimum amount.
  6. Let the professional fund managers do it for you.

 

Past Performance (As on 09/09/2021)

Fund     YTD       3-M       6-M       1-Y       3-Y
% Returns     48.77       20.04       29.63       80.83       27.15

 

Top 20 Holdings as on August 31, 2021                                     Source:valueresearchonline.com                            

Company Sector P/E % Assets
Gland Pharma Healthcare 62.81 4.34
HDFC Life Insurance Insurance 126.71 4.05
Zomato Services — 4.04
Amber Enterprises Consumer Durable 92.99 3.84
Avenue Supermarts Services 223.26 3.52
Dixon Technologies Engineering 142.51 3.40
Computer Age Management Services Financial 77.00 3.39
SBI Cards & Payments Services Financial 111.48 3.35
Metropolis Healthcare Healthcare 61.69 3.11
Polycab India Engineering 43.98 3.06
Aavas Financiers Financial 66.28 2.79
Sona BLW Precision Forgings Automobile 154.59 2.75
Happiest Minds Technologies Technology 147.73 2.74
SBI Life Insurance Company Insurance 90.70 2.67
ICICI Lombard General Insurance Company Insurance 64.62 2.64
Indigo Paints Chemicals 172.94 2.48
Bandhan Bank Financial 22.57 2.45
Indian Railway Catering & Tourism Corporation Services 201.31 2.43
Indian Energy Exchange Services 79.63 2.39
MTAR Technologies Services 95.77 2.18
HDFC Asset Management Company Financial 50.90 2.17
Central Depository Services Financial 64.03 2.02
Affle (India) communication 86.60 1.84
Mahindra Logistics Services 93.80 1.69
Clean Science And Technology Chemicals 92.15 1.68

 

Small cap funds

Good things come in small packets, right?

We have something just like that. Our key recommendation for you…

https://www.youtube.com/watch?v=G2xk2HqqENs&t

You might be astonished to know that these funds have delivered in excess of 80 to 90% returns in the last one year. But does that mean that the story is over or the opportunity is extinguished? Don’t think so and here’s 10 reasons why;

  1. Several new companies come to the equity markets with innovative products, services, business models and thus have enormous growth potential.
  2. Existing companies who revamp their business models are also part of this category.
  3. These companies have very high growth, high revenue generation and with little capital expenses sometimes.
  4. Many of these companies are funded by private equity funds, angel funds etc. They now want to raise even more money from the stock market to grow further.
  5. These companies have proved that their business models are successful and highly scalable.
  6. These could also be companies that are likely to have a huge upsurge in demand for their products or services over the next 3 to 5 to 10 years.
  7. This could also be companies that have adapted to produce goods and services which are the need of the hour and thus have great demand for their goods.
  8. These could be companies that have been created as a result of government policies.
  9. These could be companies that serve a special area of our lives today.
  10. Some of these companies will become bluechips of the future.

Our Recommendations :

  1. UTI Small Cap Fund : https://bit.ly/2SzLlk8

 

5 Reasons to Invest in MNC Funds

  1.Intensive Research

  1. Research is very important for innovating new products for people’s needs.
  2. Many companies do not have regular funds to invest for R&D.
  3. MNCs have the provision for R&D because of their revenue from many countries.

 

      2. Monopolistic Market & Strong Brand Recall

  1.  MNCs are very strong in many monopolies for its product in the market.
  2.  For e.g. for buying a toothpaste, we don’t say that we use toothpaste, we say that we use COLGATE.
  3.  Another e.g. we don’t say that we want dairy milk, we say that we want CADBURY. Also we do not ask for mineral water, we just say bisleri.
  4.  In the above examples, the names are the names of the company & not products.

 

      3.World Wide Business 

  1.  MNCs have their network worldwide which helps the company to have a strong revenue support from all the different regions.

 

       4.Inorganic Growth 

  1.  As these companies have huge reserves and most of them are debt free, they can sustain downtrends and also take over competitive brands and companies which do not have the financial power or are stressed in bad times and cannot compete. 

 

       5.Pricing Power 

  1. These large MNC have pricing power as there is little or no competition that they have in certain categories or products.
  2.  For e.g. The cerelac product which is made by Nestle is still a market leader and even if they choose to increase the price of it there will still be people buying it as there is no better product as an alternative.

 

For investment whatsapp us on 7977877924

Submit a Comment