Bajaj Finserv AMC launches Balanced Advantage Fund – Check details

financialexpress.com:

Bajaj Finserv Asset Management has announced the launch of Bajaj Finserv Balanced Advantage Fund (BAF) – an open-ended dynamic asset allocation fund suitable for investors wanting to invest in equity and equity-related instruments, including derivatives and fixed income instruments.

The new fund offer (NFO) will open for initial subscription on 24th November, and close on 8th December 2023. The minimum application amount is Rs 500 (plus multiples of Re 1) and minimum additional application amount is Rs 100 (plus multiples of Re 1).

According to the company, Bajaj Finserv BAF uses a unique investment model which combines an approach of behavioural sciences and financial insights. By using this asset allocation technique, investors may seek benefit to navigate market volatility and optimize returns. Rather than using only quantitative models to decide allocation, the Bajaj Finserv AMC investment team analyses behavioural aspect as well, which may help investors earn better returns over long term.

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Traditionally, the approach is to follow the fundamentals, past performance and quantitative models to decide the asset allocation strategy. However, Bajaj Finserv AMC’s investment team believes in using behavioural science models as well, to decide on asset allocation and timing of investments.

The Bajaj Finserv AMC BAF model estimates the fair market value based on future earnings per share, growth expectations, and interest rates, guiding the core investment strategy. The fund’s behavioural indicator helps navigate market volatility and optimize returns by fine-tuning entry and exit points. It also guides equity allocation, increasing it when