Sundaram Asset Management Company has been doing fund management for more than 20 years. The company is a subsidiary owned by one of the oldest NBFC’s in the country, Sundaram Finance Limited. It was jointly promoted by Stewart Newton Holdings Ltd and Sundaram Finance Ltd in 1996.
Investment Objective of Sundaram Select Focus - Dividend
The investment objective of this fund is to generate capital growth by making investments in equity and its related instruments. This is predominantly done in instruments of large cap companies.
Key Features of Sundaram Select Focus - Dividend
|Type of fund||Open ended equity scheme|
|Plans available||Regular Plan and Direct Plan|
|Options under each plan||Growth and Dividend|
|Systematic Investment Plan||Available|
|Systematic Transfer Plan||Available|
|Systematic Withdrawal Plan||Available|
Investment Amount for Sundaram Select Focus - Dividend
|Minimum application amount||Rs.5,000|
|Minimum additional investment||Rs.500|
|Minimum installment for Systematic Investment Plan (SIP)||Rs.1,000|
|Minimum installment for Systematic Withdrawal Plan (SWP)||Rs.1,000 for weekly frequency Rs.750 for quarterly frequency Rs.250 for monthly frequency|
|Entry Load||Not applicable|
Asset Allocation for Sundaram Select Focus - Dividend Fund
|Instrument / Scheme||% of total assets||Risk profile|
|Investment in REITs and InvITs||0 - 10%||Medium to High|
|Fixed Income, Money Market Instruments, and Cash and Cash Equivalents||0 - 35%||Low to Medium|
|Equity and related securities of large cap companies||65 - 100%||High|
|Other Equities||0 - 35%||High|
Who can invest in Sundaram Select Focus - Dividend
The following entities can invest in Sundaram Select Focus - Dividend:
- Resident Indians
- Non-Resident Indians (NRIs)
- Parents or guardians investing on behalf of minors
- Limited Liability Partnership / Partnership firms
- Public Sector Undertakings (PSU) / Companies / Bodies Corporate registered in India
- Hindu Undivided Family (Karta)
- Financial Institutions and banks that includes Regional Rural Banks and Co-operative Banks
- Foreign Institutional Investors that have registered with the SEBI
- Body of individuals or association of persons that have been registered under the Societies Registration Act, 1860
- Industrial research or scientific organisations that have the authority to invest in mutual funds
- Non-government funds when they are permitted to invest
- Other institutions and associations that are authorised to make investments in mutual funds
- Qualified Foreign Investors (QFI) as and when permitted by the SEBI
- Air force, Navy, Paramilitary Funds, Army and other institutions that are eligible
- Foreign Portfolio Investor that have been registered under SEBI Regulations of 2014
- International Multilateral Agencies that have been approved by the Government of India
- Individuals who are foreign nationals that meet the residency tests that have been laid down by the Foreign Exchange Management Act of 1999
- Registered societies and private trusts authorised to invest in funds
NAV Disclosure and Benchmark for Sundaram Select Focus - Dividend
The NAV calculation will be made by dividing the net assets by the total number of units of the scheme. The net assets include the market value of the investments, other current assets, and deposits. All the liabilities excluding the reserves, unit capital, and the profit and loss account will be subtracted from the value obtained to get the number of assets. The NAV of the scheme will be disclosed every day except in some special circumstances. The investment manager of the fund will also display the NAV in the Association of Mutual Funds India before 9:00 p.m. every business day. In case the NAV is not published at the end of a business day, the fund will be issuing a press release explaining the reasons for the delay in the release of the NAV.
The Benchmark of Sundaram Select Focus - Dividend is Benchmark Nifty 50.
Sundaram Select Focus - Dividend Fund Manager
Rahul Baijal and Rohit Seksaria are the fund managers for Sundaram Select Focus - Dividend Fund.
Investment Restrictions of Sundaram Select Focus - Dividend
Some of the investment restrictions of the fund have been listed below:
- More than 10% of the NAV of a mutual fund cannot be invested by the scheme in debt instruments that comprise of non-money market instruments and money market instruments that are issued by a single entity rated by a credit rating agency above investment grade.
- More than 10% of the NAV of a mutual fund cannot be invested by the scheme in un-rated instruments that have been issued by a single issuer.
- More than 10% of a company’s paid up capital carrying voting rights cannot be owned by the fund under all the schemes.
- There is an option to transfer investments from one scheme to another but these transfers are subject to certain conditions. Please refer the scheme information documents to know more about the same.
- No investments shall be made in fund of funds scheme by the scheme.
- The scheme shall not advance loans in any case.
- More than 5% of the NAV shall not be invested by the scheme in unlisted equity shares and its related instruments (for open-ended schemes).
- The scheme will follow all the provisions that have been mentioned in the Circular that was released in the year 2010, dealing with exposure limits for derivative transactions. This is however, subject to some terms and conditions and the provisions followed by the scheme have been listed in the scheme information document.
- No investments shall be made by the scheme in credit default swaps and securitised debts.
Dividend Policy of Sundaram Select Focus Fund
The Trustee shall declare dividends in case a distributable surplus is available. The calculations of dividends are done following the Regulations. No assurances or guarantees are provided for the distribution or frequency of dividend distribution. The distribution of the dividends will be based on how the scheme performs. Dividends will be paid before the completion of 30 days from the date of dividend declaration.
Other facilities under Sundaram Select Focus - Dividend
Some of the facilities offered by this fund have been listed below:
- SIP Top-up feature
There is an option in the Systematic Investment Plan provided for the investors to increase their contribution at predetermined intervals during the SIP tenure. This is available to all investors who have invested in schemes with SIP option.
- Daily Systematic Transfer Plan
Investors can transfer a specific amount on a daily basis (only business days) from their existing investments under various schemes. This is however subject to some terms and conditions.
- Online Transactions
Investors who wish to make transactions online can do the same by obtaining login credentials using an IPIN agreement. Visit www.sundarammutual.com or refer to the Statement of Additional Information to know more details about the same.
Why should you invest in Sundaram Mutual Funds
Sundaram Finance Limited is one of the largest non-banking companies offering financial services. The company offers a wide variety of mutual fund schemes and is backed by a fund management team with very good experience to get maximum benefits for its investors. The company holds the highest ethics in all business dealings and it has a strong research team with an enviable track record.
GST rate of 18% applicable for all financial services effective July 1, 2017.