All you need to know about Bajaj Finserv Flexi Cap Fund

Investing in mutual funds for the long term can prove to be a relatively steady way of generating wealth over time. Flexi-cap funds are dynamic equity funds that invest across market capitalisations from large-cap to small-cap companies. So, if you want to get closer to your long-term goals with mutual funds, you can consider investing in Bajaj Finserv Flexi Cap Fund.

• Table of contents

1. What is the Bajaj Finserv Flexi Cap Fund?
2. Who should invest in Bajaj Finserv Flexi Cap Fund?
3. 5 features of the Bajaj Finserv Flexi Cap Fund
4. Why you should invest in Bajaj Finserv Flexi Cap Fund
5. FAQ

What is the Bajaj Finserv Flexi Cap Fund?

Bajaj Finserv Flexi Cap Fund is a mutual fund scheme offered by Bajaj Finserv Asset Management Ltd. that invests more than 65% of its total assets in equity and equity-related instruments of companies of varying market capitalisation. The scheme intends to generate long-term capital appreciation by predominantly investing in equity and equity related instruments across market capitalisation.
The Scheme seeks to invest in companies across market caps that are positioned for growth as per megatrends strategy.

Who should invest in Bajaj Finserv Flexi Cap Fund?

You should consider making an investment in this scheme if:

• You want to create wealth and meet your long-term financial goals by investing in mutual funds.
• You want to utilise market opportunities wherever they arise instead of being limited by market cap and industry segments.
• You have a high risk appetite.
• You want to add a high-growth investment instrument to diversify your portfolio.
• You are a young investor who wants to create a long-term wealth.

5 features of the Bajaj Finserv Flexi Cap Fund

Here are some of the important Bajaj Finserv Flexi Cap Fund features you should know about before investing:
Return on investment: If you have a high-risk appetite and a long investment horizon, you can potentially create wealth and meet your long-term financial goals with the help of Bajaj Finserv Flexi Cap Fund.
Risk level: Since flexi cap funds invest in firms from different industries based on their growth potential and megatrends (irrespective of their market cap) they sit in the ‘Very High’ category on the riskometer. However, it’s possible to get relatively better risk-adjusted returns with such mutual fund schemes if you stay invested for the long haul.
Entry load and exit load: Entry load is not applicable to this scheme. On the other hand, if the unitholders want to redeem the units within 6 months of the date of allotment, they will not have to pay an exit load on redeeming or switching out up to 10% of the allotted units. For more than 10% of units, 1% of the applicable NAV will be charged. Exit load is not applicable if the units are redeemed 6 months after the date of allotment.
Redemption: Units of Bajaj Finserv Flexi Cap Fund can be sold, repurchased, and redeemed on any business day once the scheme reopens for ongoing sale and purchase. Unitholders can start redeeming their units once the scheme reopens for ongoing sale and purchase within 5 business days after the allotment date subject to the applicable exit load. The minimum redemption amount is Rs. 500 and in multiples of Re. 0.01 thereafter or the account balance, whichever is less. The redemption proceeds are dispatched within 3 working days from the date of request for redemption.
Investment goals: As an open-ended equity scheme that carries a high risk, this scheme is more suitable for a long-term investment period. You can align it to a financial goal such as buying your own house 5 to 10 years down the line or building a retirement corpus.

Why you should invest in Bajaj Finserv Flexi Cap Fund

The Bajaj Finserv Flexi Cap Fund launched Bajaj Finserv Mutual Fund helps you in portfolio diversification by adding flexibility and relatively better growth potential to your portfolio. It follows megatrends strategy to invest in companies across market caps and industry sectors for potentially generating long-term capital appreciation. If you predominantly have debt funds, fixed deposits and real estate investments in your investment portfolio, this flexi fund is all you need to bring a balance between risk and return.
In conclusion, Bajaj Finserv Flexi Cap Fund can provide relatively better return potential than sector specific mutual fund schemes. This scheme offers a ‘high risk, high return’ option to investors who want to generate wealth by investing in megatrends strategy. Moreover, the low entry barrier of Rs. 500 for lumpsum and SIP investment respectively makes it suitable for all types of investors.

FAQs:

What is the megatrend strategy in this flexi cap fund?

A megatrend is a significant, sustained shift that has an impact on businesses, sectors, and economies. Long-term investment opportunities are made possible by identifying megatrends. Because it is built on a Megatrends strategy, Bajaj Finserv Flexi Cap Fund can be a suitable investment option that is prepared for the future.

How can investors benefit from Bajaj Finserv Flexi Cap Fund?

This fund intends to create a well-diversified portfolio that capitalizes on megatrends strategy while providing long-term investors with a balance between risk and reward. Additionally, because of the fund's flexibility, investors can invest in different market capitalizations, such as large-cap, mid-cap, and small-cap businesses. This enables fund managers to allocate money to organizations based on their capacity for making a profit.

Should I invest in flexi cap funds?

The term ‘flexi cap’ refers to funds that freely invest in equities of all market capitalizations. These equity-oriented schemes might not be the best option for risk-averse investors or those wishing to exit after a shorter term because they are equity-oriented. However, flexi cap funds can be a part of your portfolio if you're interested in long-term wealth creation and don't mind the short-term volatility sometimes associated with equities investments.

Mutual Fund investments are subject to market risks, read all scheme related documents carefully.
This document should not be treated as endorsement of the views / opinions or as an investment advice. This document should not be construed as a research report or a recommendation to buy or sell any security. This document is for information purpose only and should not be construed as a promise on minimum returns or safeguard of capital. This document alone is not sufficient and should not be used for the development or implementation of an investment strategy. The recipient should note and understand that the information provided above may not contain all the material aspects relevant for making an investment decision. Investors are advised to consult their own investment advisor before making any investment decision in light of their risk appetite, investment goals and horizon. This information is subject to change without any prior notice.