360 ONE Mutual Fund announced the launch of the 360 ONE Balanced Hybrid Fund, an open-ended balanced scheme investing in equity and debt instruments. This product is suitable for investors seeking
- To create wealth and income in the long term.
- Investment in equity and equity-related securities and fixed-income instruments.
The scheme opened for public subscription on September 04, 2023, and will close on September 18, 2023. The scheme re-opens for continuous sale and repurchase from October 03, 2023.
What kind of mutual fund scheme is this?
This is an open-ended balanced hybrid fund scheme investing in equity and debt instruments.
What is the main objective of investing in this fund?
The investment objective of the fund is to generate long-term capital appreciation/income by investing in equity and debt instruments. However, there can be no assurance or guarantee that the investment objective of the scheme will be achieved.
How may one invest in this scheme?
Investors can invest under the scheme with a minimum investment of ₹1000 per plan/option and in multiples of Re 1. There is no upper limit for investment.
Under normal circumstances, the asset allocation of the scheme will be as follows:
| Instruments | Indicative allocations (% of total assets) | Risk Profile | |
Minimum | Maximum | ||
Equity or equity-related instruments across market capitalization | 40% | 60% | High Risk |
Debt and money market instruments | 40% | 60% | Low to Moderate Risk |
Are there similar mutual funds in the market?
To date, many mutual fund houses have launched many such similar funds, thus, allowing inclined investors to avail of returns corresponding to the total returns of the securities in this particular index. These include:
Mutual Fund House | Name of the fund |
Invesco Mutual Fund | Invesco India Balanced Advantage Fund |
HDFC Mutual Fund | HDFC Balanced Advantage Fund |
Bank of India Mutual Fund | Bank of India Balanced Advantage Fund |
Axis Mutual Fund | Axis Balanced Advantage Fund |
LIC Mutual Fund | LIC MF Balanced Advantage Fund |
PGIM India Mutual Fund | PGIM India Balanced Advantage Fund |
Edelweiss Mutual Fund | Edelweiss Balanced Advantage Fund |
| Source: MoneyControl | |
How will the scheme benchmark its performance?
The performance of the scheme is benchmarked against the Nifty 50 Hybrid Composite Debt 50:50 Index. Nifty 50 Hybrid Composite Debt 50:50 Index is a broad-based index and its composition broadly represents the scheme’s investment universe.
The Trustee/AMC reserves the right to change the benchmark for the evaluation of the performance of the scheme from time to time, keeping in mind the investment objective of the scheme and the appropriateness of the benchmark, after obtaining relevant approval from SEBI.
Are there any entry or exit loads to this scheme?
This scheme involves no “Entry Load”, which means that investors do not have to pay anything to park their earnings in this scheme. The “Exit Load” would be calculated as under:
- If the units are redeemed /switched out on or before 12 months from the date of allotment – 1.00%.
- If the units are redeemed/switched out after 12 months from the date of allotment – Nil.
Who will manage this scheme?
Mayur Patel will be looking after the “Equity” aspect of the fund while Milan Mody will be looking after the “Fixed Income” aspect of the fund.
Does the fund contain any inherent risk?
The scheme involves “Very High Risk” as per the details mentioned in the Scheme Information Document and is best suited to investors willing to understand that their principal will be subject to very high risk only. However, investors should consult their financial advisors if they doubt whether the product is suitable for them.
