Contrarian investment: Bajaj Finserv AMC introduces Bajaj Finserv Multi Cap Fund

Bajaj Finserv Multi Cap Fund unlocks hidden value across market caps through strategic contrarian investing.

Bajaj Finserv AMC has launched the Bajaj Finserv Multi Cap Fund, an open-ended equity scheme designed to invest across Large-Cap, Mid-Cap, and Small-Cap stocks. This fund follows a contrarian investment strategy, identifying undervalued opportunities by going against prevailing market sentiment.

The New Fund Offer (NFO) will be open for subscription from February 6, 2025, to February 20, 2025.

With this launch, Bajaj Finserv AMC aims to provide investors with a disciplined and diversified portfolio that capitalises on market inefficiencies and business cycles. The fund is benchmarked against the Nifty 500 Multicap 50:25:25 TRI Index, ensuring balanced exposure across different market capitalisations.

Fund Details

• Fund Name: Bajaj Finserv Multi Cap Fund
• Fund Type: Open-ended equity scheme
• Investment Strategy: Contrarian approach—identifying undervalued stocks and turnaround opportunities
• Market Cap Allocation: Minimum 25 per cent in large-cap, 25 per cent in mid-cap, and 25 per cent in small-cap stocks
• Benchmark Index: Nifty 500 Multicap 50:25:25 TRI
• NFO Period: February 6, 2025 – February 20, 2025
• Minimum Investment: Rs 500 (Plus multiples of Re 1)
• Additional Investment: Rs 100 (Plus multiples of Re 1)
• Exit Load:
  • No exit load for up to 10 per cent of units redeemed
  • 1 per cent exit load on remaining units if redeemed within six months
  • No exit load after six months

Nimesh Chandan and Sorbh Gupta will jointly manage the equity portion of the fund, while Siddharth Chaudhary will manage the debt portion.

Management Comments
Ganesh Mohan, CEO of Bajaj Finserv AMC, stated at the launch: “Bajaj Finserv Multi Cap Fund provides investors with a unique opportunity to unlock hidden value in overlooked assets. It employs a contrarian strategy by investing in companies available at attractive prices and below their intrinsic value. The goal is to capture growth across all market segments while allowing opportunities to fully materialise over the course of their business cycles. More than just seeking returns, we are committed to building sustainable wealth with strategic insight and discipline.”

Nimesh Chandan, CIO of Bajaj Finserv AMC, added: “The Bajaj Finserv Multi Cap Fund will follow a disciplined framework, providing equal opportunities to discover contrarian ideas across all market cap segments. It will invest a minimum of 25 per cent in large-cap, mid-cap, and small-cap companies, thus capitalising on opportunities across the market cap spectrum. The fund will create a robust and well-balanced portfolio, utilising the INQUBE investment philosophy, which makes use of superior information collection, behavioral insights, and quantitative analysis.”

Who Should Invest?
The Bajaj Finserv Multi Cap Fund is suitable for investors who:

• Seek long-term wealth creation with a diversified equity portfolio.
• Have a high-risk appetite and are comfortable with market fluctuations.
• Want to invest in a contrarian strategy, leveraging undervalued stocks and turnaround opportunities.
• Have an investment horizon of five years or more to fully benefit from market cycles.
• Prefer exposure to all market segments (large, mid, and small-cap stocks) for better growth potential.

Conclusion
With its contrarian approach and diversified allocation across market caps, the Bajaj Finserv Multi Cap Fund offers investors a compelling opportunity to tap into undervalued assets and hidden growth potential. By identifying market inefficiencies, turnaround stories, and business restructuring opportunities, the fund seeks to deliver superior long-term returns.

Disclaimer: The article is for informational purposes only and not investment advice.