Two Funds Are All You Need! Thursday, Jun 28, 2018
There are more than 400 equity funds in various categories out there. Yes, 400. There are Active funds and Passive funds, Value funds and Large Cap and Small Cap Funds, Multi Cap Funds and Arbitrage funds... phew, the list is huge. Imagine you having to choose 4-5 funds out of the 400 that will be ideal for your equity portfolio. Think one needle in multiple haystacks!
Daunting task? But don’t worry, every problem has a solution, and we have the magnet that can help you pick up the needle in the haystack, without having to go through each and every bale of hay.
Two magnets, in fact.
What if we told you that with two funds (yes, only two!) of Quantum Mutual Fund, you can cover almost the entire spectrum of all equity allocation. These are the Quantum Long Term Equity Value Fund (QLTEVF) and the Quantum Equity Fund of Funds (QEFOF). Think of this equation (we are finance nerds, can’t help but think in equations ☺):
QLTEVF + QEFOF = Active + + Value + Large Cap + Mid Cap + Multi cap Fund
To tell you a bit more, the Quantum Long Term Equity Value Fund is a diversified equity value fund that employs the time tested (and very rigorous) Quantum process of picking the best stocks for you. This fund invests directly in the stock market – using the Value style of Investing.
The Quantum Equity Fund of Funds is, as the name suggests, invests in diversified equity funds from other fund houses, giving the investor in this fund an exposure to a basket of funds – from various fund houses other than Quantum. This may include funds across market cap (Large, Mid, Small caps, Multi Cap), investing styles (growth and value) etc.
So with just the two funds in your portfolio, you are sorted with your equity allocation.
|Name of the Scheme||This product is suitable for investors who are seeking*||Riskometer|
|Quantum Long Term Equity Value Fund|
(An Open Ended Equity Scheme following a Value Investment Strategy)
|• Long term capital appreciation |
• Invests primarily in equity and equity related securities of companies in S&P BSE 200 index
Investors understand that their principal will be at Moderately High Risk
|Quantum Equity Fund of Funds|
(An Open Ended Fund of Funds scheme Investing in Open Ended Diversified Equity Schemes of Mutual Funds)
|• Long term capital appreciation|
• Investments in portfolio of open-ended diversified equity schemes of mutual funds registered with SEBI whose underlying investments are in equity and equity related securities of diversified companies
Disclaimer, Statutory Details & Risk Factors:
The views expressed here in this article are for general information and reading purpose only and do not constitute any guidelines and recommendations on any course of action to be followed by the reader. The views are not meant to serve as a professional guide / investment advice / intended to be an offer or solicitation for the purchase or sale of any financial product or instrument or mutual fund units for the reader. The article has been prepared on the basis of publicly available information, internally developed data and other sources believed to be reliable. Whilst no action has been solicited based upon the information provided herein, due care has been taken to ensure that the facts are accurate and views given are fair and reasonable as on date. Readers of this article should rely on information/data arising out of their own investigations and advised to seek independent professional advice and arrive at an informed decision before making any investments.
Mutual fund investments are subject to market risks read all scheme related documents carefully.
Please visit – www.QuantumMF.com to read scheme specific risk factors. Investors in the Scheme(s) are not being offered a guaranteed or assured rate of return and there can be no assurance that the schemes objective will be achieved and the NAV of the scheme(s) may go up and down depending upon the factors and forces affecting securities market. Investment in mutual fund units involves investment risk such as trading volumes, settlement risk, liquidity risk, default risk including possible loss of capital. Past performance of the sponsor / AMC / Mutual Fund does not indicate the future performance of the Scheme(s). Statutory Details: Quantum Mutual Fund (the Fund) has been constituted as a Trust under the Indian Trusts Act, 1882. Sponsor: Quantum Advisors Private Limited. (liability of Sponsor limited to Rs. 1,00,000/-) Trustee: Quantum Trustee Company Private Limited. Investment Manager: Quantum Asset Management Company Private Limited. The Sponsor, Trustee and Investment Manager are incorporated under the Companies Act, 1956.