Fund Objective
The primary investment objective of the scheme is to achieve long-term capital appreciation for its investors. This objective will be pursued by strategically investing in a diversified portfolio of equity and equity-related instruments of multinational companies (MNCs). There is no assurance that the investment objective of the Scheme will be achieved.
Notes
Nippon India MNC Fund is an actively managed fund. To achieve the investment objective, the scheme will predominantly invest in equity and equity related securities of companies within the Multinational Companies (MNCs) space. The fund can be considered by investors with long term investment horizon seeking to benefit from the technology & brand leadership offered by MNC businesses. The scheme will follow a bottom-up approach to stock picking, well diversified across sectors and market capitalization which falls under the criteria of multinational companies (MNCs). Multi-national Companies (MNC) shall mean and include a company incorporated/registered in India wherein: 1. The foreign promoters account for more than 50% of the shareholding/ voting rights / equity capital; or 2. Any Indian company that is a Joint Venture (JV) with a foreign company where the Foreign Co will have more than 26 % of shareholding/ voting rights / equity capital; or 3. Any Indian company having more than 50% of its turnover/ revenue/assets from regions outside India; or 4. Any company which operates in multiple countries and derives more than 50 % of revenue from such regions or has more than 50 % of its assets in such regions. Such regions refer to as regions/countries other than the parent country (where the company is incorporated/registered). The above definition of MNC has been accepted by SEBI vide SEBI`s trailing email dated 20th September 2024. The fund manager will also consider businesses fundamentals, good corporate governance, brand identity, technological capabilities, financial position and track record of MNC companies. Further to achieve diversification the scheme may also invest up to 20% of the assets in companies other than MNCs. The portfolio will be reviewed on a regular basis and changes will be made as based on the definite signals and based on the discretion of the fund manager. The change in the portfolio involves both sale and purchase, both partial and complete, of the existing stocks and purchase of new stocks, if any. The fund will have the flexibility to invest in a broad range of companies with an objective to maximize the returns, at the same time trying to minimize the risk by reasonable diversification. For investments in Debt Securities, income may be generated through the receipt of coupon payments, the amortization of the discounts on debt instruments or the purchase and sale of securities in the underlying portfolio. Though every endeavor will be made to achieve the objective of the Scheme, the AMC / Sponsors / trustee do not guarantee that the investment objective of the Scheme will be achieved. No guaranteed returns are being offered under the Scheme. The securities mentioned above could be listed, unlisted, publicly offered, privately placed, secured, unsecured, rated or unrated and of varying maturity. The securities may be acquired through public offerings (IPOs), secondary market operations, private placement, rights offers or negotiated deals.