Axis Mutual Fund

Axis Mutual Funds

About Axis Bank

Axis Bank, formerly known as Unit Trust of India, is one of the most prominent private banks in the country. The bank offers financial services and products in segments of retail banking, commercial banking, asset management, agriculture banking and corporate banking. Axis Bank is head-quartered in Mumbai and has international presence in countries like UAE, UK, Sri Lanka, China and Hong-Kong

Axis Mutual Funds

Axis mutual funds were launched in the year 2009 with an accomplished suite of 53 mutual fund schemes. Today, Axis mutual funds are available to customers in over 75 cities and have a customer base of over 7 lac investors.

Axis mutual funds are a professionally managed, pool of savings of a number of investors who share a common financial aim. This collated money is then invested into shares, debentures and securities. The income thus earned is shared by investors in ratio of the number of share units held by them.

Types of Axis Mutual Funds

Depending upon the nature of mutual funds these financial tools can be divided based on two broad parameters

Mutual funds can be segregated into two major categories based on their structure.

• Open Ended Mutual funds: An open-ended mutual fund doesn’t have a fixed maturity and doesn’t trade on the open market and is re-priced each day based on the amount of shares bought or sold.
• Closed Ended Mutual Funds: A closed ended mutual fund has a fixed maturity and has a locking period for investor’s money. Sometimes, closed-ended mutual funds provide a repurchase choice to the investors.

This refers to the asset class targeted by the fund.

• Equity Schemes: Equity schemes invest their money in shares. This money can be invested either in high-growth stocks or value stocks. Different kinds of equity schemes offered by Axis Bank are outlined below.
  • Equity Diversified: These mutual fund schemes are not particular to any sector or theme.
  • Mid Cap: These funds invest in stocks from different sectors. However, they invest mostly in mid-cap stocks listed with BSE.
  • ELSS: Equity Linked Security Schemes are open-ended mutual funds with a locking period of up to 3 years.
  • Thematic: These mutual funds scheme invest money in various sectors but stick to a fixed theme like services, exports etc.
  • Sector Specific: Sector specific mutual funds, as the name suggests, invest their money in particular sectors like manufacturing, IT etc. However, these mutual funds have high risk because returns are closely tied to a particular sector’s performance.
  • Flexicap: These mutual funds scheme invest across market caps. This is a fluid style of investment.
• Debt or Income Schemes: These mutual funds invest majorly in government securities and corporate bonds. The profit this financial instrument earns is by trading these securities and through interest on its investments. This is the least risky of all mutual fund schemes.
• Money Market Schemes: Money Market Schemes are mutual funds that invest their money in short term debt instruments issued by the government and corporates.
• Hybrid Schemes: These are funds which invest in a mix of asset classes. There are two types of Hybrid mutual funds offered by Axis Bank.
  • Balanced Schemes: As the name suggests, these mutual fund schemes tend to strike a balance by investing in debt as well as equity. The debt part ensures a regular interest while equity brings in capital gains.
  • Monthly Income Plans: This mutual fund scheme is meant for conservative investors who are not willing to take a major risk in terms of equity investment. Hence, a large portion of this fund is invested in debt while a very small part goes into equity.

Why choose Axis Mutual Funds?

Axis mutual funds are a great financial instrument to grow your money at a quick pace. The schemes are modelled in a way to minimize risk and maximize gain. Following are some of the most prominent advantages of investing in a mutual fund scheme by Axis Bank.

• A strong advisory team: Axis Bank has a research-driven recommendation model that guides you to make the right choice of funds based on qualitative and quantitative analysis.
• SEBI regulated financial product: Axis mutual funds are an aptly regulated financial product with SEBI monitoring all activities pertaining to these funds.
• Option of choosing a dedicated Relationship Manager: You can choose to avail the services of a dedicated relationship manager who will guide and plan your investments according to your financial goal.
• Online one-page portfolio snapshot: Axis mutual funds offer an online snapshot report across various investment products to its customers. Viewing this report via internet banking can give you a lot of insight about your fund portfolio.
• Choice of schemes: A suite of 73 mutual fund schemes that ensure diversification of your portfolio along with mitigation of risk as well as growth of capital.
• Tax Benefits: Dividend on mutual fund schemes for which equities form more than 65%, is completely tax-free. The investor does not have to pay any income tax on mutual fund schemes.

GST rate of 18% applicable for all financial services effective July 1, 2017.