This fund talks about investing in stocks and sectors that which have potential value to be unlocked. However, this is what every mutual fund supposed to do.. isn't it? Well, not necessarily.. The essential difference in this fund and other funds can be understood by the following:
Value investing is about looking for attractive bargains or stocks that are trading at discount to their intrinsic or true valuations. Value investor focuses on past performance and the current fundamentals of the company.
Whereas, growth investors believe in buying stocks with high future growth potential, no matter what the current price is.
Value investing is a conservative style of investing providing low volatility to the portfolio.
If the stock sticks to fundamental investing, it could be really be a different and useful scheme. As we know, it's not intelligent to assume that all mutual fund houses stick to fundamentals n real stocks without running behind technical grabs. No wonder so many mutual fund houses lined up for over-priced Reliance power. Not a fundamental investment by any standard.
Though I normally don't invest in Close-ended funds, this one could be an exception because real fundamental growth needs time.
Fund Manager
Ajay Argal is the designated Fund Manager for the fund. He is currently working as Senior Fund Manager at BSLAMC. He has done B Tech from IIT Mumbai & PGDM from IIM Bangalore and has over 12 years of experience in asset management business.
Ajay Argal is known for his 'stick-to-basics' theory which is very very essential for long term growth and wealth creation. In one of his interviews, Ajay Argal said "I don't get swayed by day-to-day market movements. I keep calm as I know that fundamentals will only get reflected over the long-term".. that is a real confidence booster for me especially when markets are so volatile.
Birla Sun Life Pure Value Fund looks good and is suited for the balanced risk type investors.
Download application form and offer document here...
| Type of Scheme | A 3 year closed ended diversified equity scheme |
| New Fund Offer Price | Rs. 10 per unit |
| Opening Date of NFO | January 17, 2008 |
| Closing Date of NFO | March 1, 2008 |
| Plans & Options Available | Dividend (Reinvestment/Payout) & Growth. Default - Growth Option/ Reinvestment Facility. |
| Subscriptions | Rs. 5000/- and in multiples of Re. 1/- thereafter during the NFO period. |
| Redemption | In Multiples of Re. 1/- |
| Load Structure | Entry Load: N A Exit Load: Nil& |
| Benchmark Index | BSE 200 |
| Fund Manager | Ajay Argal |
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