Canara Robeco InDiGo Fund

Type of fund

This is an open ended debt scheme.

Investment objective

This fund asim to provide capital appreciation over the medium to short term by investing in debt and money market securities in addition to Gold ETFs. The fund aims to provides a combination of accrual and capital appreciation to its investors. Canara Robeco InDiGo Fund through its investment in the yellow metal aims to generate additional yield without taking more credit risk in terms of its fixed income portfolio.

Investment philosophy or strategy

Canara Robeco InDiGo is a hybrid fund. It consists of 65% to 90% investment in Indian debt and money market instruments and 10% to 35% in Gold ETFs. The fund aims to generate additional yield by making investments in Gold ETFs without taking credit risk on the fixed income portfolio. The combination of debt and Gold ensures that the seasonal patterns in both asset classes are captured effectively in addition to providing alpha to the portfolio - which acts as a portfolio diversifier. This fund, therefore, aims to provide regular flow of income through a quarterly dividend option for the benefit of investors.

Fund information

IInception date 09/07/2010
Plans Regular Direct
Options Growth Dividend

Canara Robeco InDiGo Fund-Direct Growth

Canara Robeco InDiGo Fund-Direct Quarterly Dividend

Canara Robeco InDiGo Fund-Regular

Canara Robeco InDiGo Fund-Regular Quarterly Dividend

Entry load Nil
Exit load 1% if redeemed in less than or equal to 1 year from the allotment date. Nil, if redeemed after 1 year from the allotment date.
Minimum investment Rs.5,000.Additional Purchase:Rs.1,000 and in multiples of Re.1 thereafter.
SIP Rs.1000. Quarterly frequency: Rs.2000 and in multiples of Re.1 thereafter
Product label Moderately high. Investors looking to generate income from a portfolio comprising debt and money market securities besides Gold ETFs can opt for this fund
Benchmark Canara Robeco Blended Gold Index. A composite index comprising Gold Index and CRISIL Short Term Bond Fund Index, which is computed by CRISIL for benchmarking the performance of this fund.
SWP Available
STP Available
Redemption N.A
Taxation Investors should consult their professional tax advisors for tax implications of this fund.

Fund manager(s)

This fund is managed by Avnish Jain and Kiran Shetty. The fund managers are responsible for building a well-diversified portfolio by considering the asset allocation patterns and associated risks.The educational qualifications and details are listed in the table below:

Name Age Qualifications Experience
Avnish Jain 44 PGDM - IIM, Kolkatta; B.Tech (Hons) IIT Kharagpur 19 years
Kiran Shetty N.A B.M.S - Mulund College of Commerce Mumbai. N.A

Portfolio – Top 10 holdings

Name Rating Asset
Power Finance Corporation Ltd AAA(CRISIL) 15.15
Rural Electrification Corporation Ltd AAA(CRISIL) 14.77
Tata Global Beverages Ltd AA+(ICRA) 8.42
8.83% GOI 25-NOV-23 Sovereign 7.70
Power Grid Corporation of India AAA(CRISIL) 7.59
LIC Housing Finance Ltd AAA(CRISIL) 4.49

Risk measures

Sharpe Ratio -1.19
Alpha -4.06
Beta -0.04
Standard deviation (%) 3.63


AUM Rs.69.16 crores (August, 2015)

13.70 (Growth)

10.61 (Dividend)

Expense ratio

2.60% (August. 2015)

Regular Plan

2.45%- First 100 Crores of Net Assets

2.20%- Next 300 Crores of Net Assets

1.95%- Next 300 Crores of Net Assets

Growth Plan

Lower expense ratio by 0.70% from August 2015

Returns and benchmark comparison (Compounded annualized returns)

Scheme Benchmark
Inception Date - 9/7/10
Last 1 year 5.23% 7.32%
Last 3 years - -
Last 5 years - -
Last 10 years - -
Since Inception 2.91% 4.35%

Expert view of the fund and outlook

Gold does not suffer from credit risk. The fund manager aims to generate alpha by capturing the seasonal patterns in the yellow metal. The manager analyzes the seasonal patterns of gold and macroeconomic events such as government and central bank policy announcements to decide on the asset allocation between gold and fixed income. The fund manager, therefore, aims to create a portfolio of fixed income securities and Gold ETFs. Investors need to be aware that this fund carries moderately high risk since it contains a high level of liquidity due to focus on short to medium term securities. Given the allocation between fixed income and gold, this fund can capture the seasonal patterns in fixed income and the yellow metal.

How to apply

The official website of Canara Robeco Mutual Fund is the official point of acceptance for applications, subscriptions, switches and redemptions among other facilities. Transactions on the website will, however, be subject to investors’ eligibility in addition to terms and conditions of Canara Robeco Asset Management Company Limited (CRAMC). Investors can also avail of the facility of online transactions via the website of Karvy Computershare Private Limited. Karvy is the registrar and transfer agent for Canara Robeco Mutual Fund. Investors can also approach the MF branch or registered bank branch. Customers would have to submit the KYC (Know Your Customers) forms. Investors can then zero in on a fund/scheme/option and fill out the necessary forms and submit them to the relevant authority.

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