NFO Alert: Axis Mutual Fund launches Axis US Treasury Dynamic Bond ETF Fund of Fund; all you need to know
investment in units of international ETFs with a mandate to invest in US treasury securities across different durations. It's important to note that there is no guarantee that the scheme will achieve its investment objective. Investors can invest under the scheme with a minimum investment of ₹500 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:Indicative allocations (% of total assets)MinimumMaximumUnits of overseas ETFs wherein the underlying investments comprise of US treasury securities95%100%Very HighDebt and Money market instruments0%5%Low to Moderate To date, no asset management company (AMC) has launched any such scheme in the country. The performance of the scheme will be benchmarked against Bloomberg US Intermediate Treasury TRI.
The underlying schemes shall invest in treasury bonds with maturity based on the duration view. The Bloomberg US Intermediate Treasury measures the performance of US dollar-denominated, fixed-rate, nominal debt issued by the US Treasury with a maturity of 1-10 years. Hence, to evaluate the performance of the schemes the benchmark is appropriate.
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 - If redeemed/switched out within one month from the date of allotment: 0.5% - If redeemed/switched out after one month from the date of allotment: Nil Vinayak Jayanath has been designed as the fund manager of this scheme. The scheme involves “Very High Risk" as per the details mentioned in the Scheme Information Document and is best suited to investors willing to
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