360 ONE Mutual Fund (formerly known as IIFL Mutual Fund) announced the launch of the 360 ONE Flexicap Fund, an open-ended dynamic equity scheme investing across large-cap, mid-cap, and small-cap stocks.
The scheme opened for public subscription on June 12, 2023, and will close on June 26, 2023. The scheme re-opens for continuous sale and repurchase from July 06, 2023.
Q. What kind of mutual fund scheme is this?
This is an open-ended dynamic equity scheme investing across large-cap, mid-cap, and small-cap stocks.
Q. What is the main objective of investing in this fund?
The investment objective of the scheme is to generate long-term capital appreciation by primarily investing in equity and equity-related securities across the entire market capitalization range and investing the remaining portion in debt and money market instruments.
Q. 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 |
Equity or Equity Related Instruments across market capitalization (including derivatives and covered calls) | 65%-100% | High Risk |
Listed Preference shares | 0%-10% | High Risk |
Debt and money market instruments | 0%- 35% | Low to Moderate Risk |
Units issued by REITs and Invits | 0%-10% | Moderately High Risk |
Q. Are there similar mutual funds in the market?
To date, many asset management companies (AMCs) have launched such flexicap funds, thus, allowing inclined investors to avail of returns corresponding to the total returns of the securities in this particular index. These include:
Name of the fund | Ten-year returns (in %) |
JM Flexi Cap Fund | 17.80% |
Aditya Birla Sun Life Flexi Cap Fund | 17.35% |
Kotak Flexi Cap Fund | 17.23% |
SBI Flexi Cap Fund | 16.98% |
HDFC Flexi Cap Fund | 16.65% |
Franklin India Flexi Cap Fund | 16.62% |
DSP Flexi Cap Fund | 16.34% |
HSBC Flexi Cap Fund | 15.22% |
Bandhan Flexi Cap Fund | 14.74% |
Source: MoneyControl | |
Q. How will the scheme benchmark its performance?
The performance of the scheme is benchmarked against the S&P BSE 500 TRI. S&P BSE 500 TRI 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.
Q. 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 charged as per the following:
- For redemption/switched-out of units before 365 days from the date of allotment - 1% of the applicable NAV
- For redemption/switched-out of units on or after 365 days from the date of allotment – NIL
Q. Who will manage this scheme?
Mayur Patel would be looking after the investments in this scheme.
Q. 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.
