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What is focused equity fund?
Focused funds are equity mutual funds that have a concentrated portfolio of no more than 30stcks. The investment strategy aims to pick the best performing stocks that can deliver high returns. Bear in mind that there is no limitation on market cap or sectors where a focus fund invest.
NFO UTI Focused Equity Fund
Fund type
Open ended fund
Scheme type
Regular/ direct
options
Growth/ dividend
Investment option
SIP (500)
SWP
STRIP
LUMPSUM
5000
Investment strategy
Maintain a proper balance between risk and return
Transformation opportunities – pick business where strategy is realigned to make the outcome more sustainable
Cyclical opportunities – when valuation will be attractive, the fund will pick the cyclical opportunities to get the benefits from mean reversion
Sustainable businesses – fund will invest companies with long term sustainable growth
Follows a blend approach in which a portfolio will have both growth and value stocks
Investment framework
Investment style – blends with both growth and value stocks but a little tilt towards growth stocks.
Stock selection – follows a bottom – up approach for which quality companies with long runway growth will be preferred
Market cap – investment across the market cap
Preferred allocation
Large cap 60 – 70%
Mid caps and small caps 30- 40%
Internal limits – single stocks limits of 9.5%
Who should invest in UTI Focused Equity Fund?
Investors looking for a high-conviction and concentrated portfolio backed by research expertise and risk assessment framework
Investors who have a long-term goal of wealth creation and aiming to balance an overall conservative portfolio construct with high-risk strategy.
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