TRUST Mutual Fund to launch its first equity scheme; NFO opens on April 5: Here is all you need to know

TRUST Mutual Fund, part of the TRUST Group, is going to unveil its first equity fund this month within the flexicap category. The TRUSTMF Flexi Cap Fund, as per the fund house, is an open-ended dynamic equity scheme investing across large-cap, mid-cap, and small-cap stocks. The NFO, or new fund offer, of the fund, will run from April 5 to April 19, 2024.

Here is a low-down on the important aspects of the scheme.

Investment Objective:

To provide long-term growth in capital and income to investors through active management of investments in a diversified portfolio of equity and equity-related securities across the entire market capitalisation spectrum and in debt and money market instruments. However, there is no assurance or guarantee that the investment objective of the scheme will be achieved.

Benchmark:

The scheme’s performance will be benchmarked against the Nifty 500 TRI.

Plans and options available to investors:

Investors can choose between regular plan or direct plan growth options. In addition, the Income Distribution and Capital Withdrawal (IDCW) option will also be available.

Minimum investment:

Under the one-time investment option, investors will need to park a minimum of Rs 1,000 and in multiples of any amount thereafter. A SIP, or systematic investment plan, under the scheme, can be started for a minimum of Rs 1,000 per month with minimum installments pegged at six, while for a quarterly SIP, one needs to pay a minimum of Rs 3000 and a minimum of four installments.

Entry and Exit Load:

While the scheme will not charge entry load, a 1 per cent exit load will be levied if the funds are redeemed or switched out within 180 days from the date of allotment; otherwise, no exit load shall be charged.

Earlier in an exclusive conversation with Zee Business Managing Editor Anil Singhvi, TRUST Mutual Fund’s CIO Mihir Vora said that the fund house is launching its first equity fund within the flexicap category, as it is the biggest category within the equity mutual funds. 

Additionally, Vora added that the current market positioning requires them to see across the spectrum, wherein large-cap companies will be able to offer stability and exposure to the economy, while mid-and small-cap companies will provide growth opportunities.