HDFC Asset Management Company has launched a new fund offer of HDFC Multi Cap Fund, The scheme will mandatorily allocate a minimum of 25% of its total assets to large, mid and small cap companies, while the remaining 25% of its total assets will be allocated based on the fund manager’s market outlook. NFO will open on 23rd November and will close on 7th December.

As per a press release, HDFC Multi Cap Fund will follow a mix of top down and bottom up approach for stock selection. according to the present Investment Strategy, the scheme will invest 60%-75% of the total assets in large and mid cap. Also, it will invest 25%-40% of the total assets in small caps. The scheme will invest without stylistic bias and aims to take advantage of opportunities in growth, value and turnaround companies.

The scheme will be managed by Gopal Agarwal, who has around 19 years of experience in fund management and equity research. “We have observed that different market cap segments perform differently at different times. HDFC Multi Cap Fund is a one-stop solution for investors looking to invest in different market caps through a fund in a disciplined manner to achieve superior risk-adjusted returns. We believe that long-term fundamentals, effective diversification and stock selection are vital in a constantly changing environment. Going forward, structural growth drivers and supportive external environment augurs well for India’s secular growth story. Besides, strong earnings growth outlook and favorable macroeconomic environment augurs well for equities in the medium to long term. Gopal Agarwal said.

According to the fund house, HDFC Multi Cap Fund is suitable for investors with medium to long term investment horizon, who are looking for disciplined investments in large, mid and small caps.