IIFL Asset Management has unveiled a brand new mutual fund plan for investing in equity linked securities and equity. The IIFL Capital Enhancer Fund-Series 1 has the purpose of offering equity upside benefits to customers by hedging against any market downsides. The scheme has been tailored as the Annual Interval Scheme with the purpose being capital appreciation for the long-term through investments in equity and equity based securities. The portfolio will be hedged with Nifty 50 Put Option and other equity derivatives.
This MF investment scheme from IIFL aims at generating value for the longer term as far as investors are concerned. However, all investors should do their homework carefully, compare market performance of equities and take professional advice before investing. It is always good to do some homework prior to investing in mutual funds which carry some element of market risks.
The product will be suited to those investors who are desirous of getting capital growth over the long haul. They can do so through pumping in investments for equity linked securities and equities. There will be hedging through the purchase of Nifty 50 put options and other equity derivatives as mentioned earlier.
The initial investment to be made by the investor will be Rs. 5, 000 and the investments can be deployed via multiples of Rs. 1 in the future. There are Direct and Regular Plans available for investors which have both growth and dividend options. The benchmark to be followed will be the CRISIL Balance Fund-Aggressive Index.