Principal Asset Management has launched a new fund offer (NFO) Principal Large Cap Fund, an Open-ended Equity scheme predominantly investing in Large Cap stocks. The NFO will open for subscription from 28th September 2020 to 12th October 2020.
The fund will allocate 80-85% of its corpus to the top 100 Indian Large Cap stocks by market cap and actively invest up to 15% in US stocks with a market cap higher than USD 50 Billion.
The large cap fund will aim to provide growth from Indian and US
economies and depreciating currencies.
The fund will be benchmarked against the composite index of Nifty 100 Total Return Index (NIFTY100 TRI).
The fund will draw from Principal’s proprietary global research expertise and experience and its robust investment framework for selection of US stocks.
Bharat Ravuri, Managing Director, Principal Asset Management said, “Principal Large Cap Fund is the first large cap fund in India that will enable investors to widen their investment horizon and tap into the investment opportunities provided by Large Cap Indian and US companies, changing economic landscape and have a higher growth and comparatively lower risk quotient.”
The Principal Large Cap Fund aims to achieve long term capital appreciation by investing in a diversified portfolio predominantly consisting of equity and equity-related securities of Large Cap companies including derivatives, with emphasis on risk management to reduce portfolio volatility.