Axis Mutual Fund launches Axis Long Duration Fund

(An open ended debt scheme investing in instruments such that the Macaulay Duration of the portfolio is greater than 7 years. A relatively high interest rate risk and relatively low credit risk)

Fund Snapshot: -

• An open ended debt scheme investing in instruments such that the Macaulay Duration of the portfolio is greater than 7 years. A Relatively High Interest Rate Risk and Relatively Low Credit Risk


• Benchmark: NIFTY Long Duration Debt Index A – III


• NFO Open Date: December 07, 2022


• NFO Close Date: December 21, 2022


• Minimum Investment: Rs. 5,000 and in multiples of Re. 1/- thereafter


• Fund Managers: Mr. Devang Shah, Mr. Kaustubh Sule and Mr. Hardik Shah


• Exit Load: Nil

Mumbai, December 06, 2022: Axis Mutual Fund, one among the fastest growing fund houses in India, announced the launch of their New Fund Offer – Axis Long Duration Fund. It is an open-ended debt scheme investing in instruments such that the Macaulay Duration of the portfolio is greater than 7 years; a relatively high interest rate risk and a relatively low credit risk. The new fund will track the NIFTY Long Duration Debt Index A – III. The NFO for Axis Long Duration Fund opens on 7^th December, 2022 and closes on 21^st December, 2022. Additionally, the fund will be managed by Mr. Devang Shah, Mr.Kaustubh Sule, and Mr.Hardik Shah and the minimum investment amount would be Rs. 5,000 and in multiples of Re. 1/- thereafter.

The primary investment objective of the Axis Long Duration Fund is to generate optimal returns consistent with moderate levels of risk. This income may be complemented by capital appreciation of the portfolio. As the current fund positioning aims to invest and hold onto long dated Government securities, the Axis Long Duration Fund can be used to build and structure long term income solution at the time of retirement. Additionally, long bond yields have remained largely stable & above inflation levels over the last 20 years (source: Bloomberg, CSO, Axis MF Research. Data as of November 30th 2022), historically offering market linked returns above inflation.

Current Positioning of the Axis Long Duration Fund*:

• Invest in Long Dated Securities: The fund offers the investors an opportunity to invest at the peak of the interest rate cycle and thereby lock in long term rates


• High Quality Portfolio: The fund endeavours to invest in long dated Government Securities (with a 30 + years horizon) and thereby provides investment in SOV rated instruments to investors


• Potentially Reduced Volatility: Investments in debt markets generally have reduced volatility over longer tenures in comparison to equity markets


• Liquidity: Investors can gain from indexation benefits and limited incidence of taxation at the time of withdrawal, as there is no application of entry or exit load, supporting emergency withdrawals

Commenting on the launch of the fund, Chandresh Nigam, MD & CEO, Axis AMC said, “In the current macro environment, fixed income strategies have the potential to be an attractive option for investors, especially those who are in the middle of their career lifecycle and wish to plan for post-retirement. With the launch of the Axis Long Duration Fund, we wish to get investors to rethink retirement investing. Debt mutual funds have the potential to offer significant tax efficiencies and market linked returns as compared to traditional retirement products. In effect, the gap in earning potential over a meaningfully long period can have a material impact on the end corpus. Using systematic investing solutions like SIP & SWP, investors can create a completely flexible investment plan using long dated government bonds.”

What is a Systematic Withdrawal Plan (SWP)?

SWP as the name suggests is a Systematic Withdrawal Plan Facility given to the Unit holders to withdraw a specified sum of money periodically (monthly/quarterly/half yearly/yearly) from his investment in the scheme. In effect, the investor can create a regular cash flow from their invested corpus while the balance stays invested in the fund, thereby continuing to generate market linked returns.

*Note: The above factors are not exhaustive. Investors are advised to consult their tax advisors for advice on taxation matters relating to your portfolio and suitability of the product.

Source: Bloomberg, Axis MF Research

Product Labelling:

Investors are advised to consult their financial advisers if in doubt about whether the product is suitable for them. (The product labelling assigned during the New Fund Offer is based on internal assessment of the Scheme Characteristics or model portfolio and the same may vary post NFO when actual investments are made)

Axis Long Duration Fund is not a capital protection or guarantees returns scheme. Please refer to SID for detailed Investment Strategy and other scheme related features.

About Axis AMC: Axis AMC is one of India`s fastest growing assets managers offering a comprehensive bouquet of asset management products across mutual funds, portfolio management services and alternative investments.

Disclaimer: Past performance may or may not be sustained in the future. Sector(s) / Stock(s) / Issuer(s) mentioned above are for the purpose of disclosure of the portfolio of the Scheme(s) and should not be construed as recommendation. The fund manager(s) may or may not choose to hold the stock mentioned, from time to time. Investors are requested to consult their financial, tax and other advisors before taking any investment decision(s).

Sector(s) / Stock(s) / Issuer(s) mentioned above are for the purpose of disclosure of the portfolio of the Scheme(s) and should not be construed as recommendation. The fund manager(s) may or may not choose to hold the stock mentioned, from time to time.

Statutory Details: Axis Mutual Fund has been established as a Trust under the Indian Trusts Act, 1882, sponsored by Axis Bank Ltd. (liability restricted to Rs. 1 Lakh).

Trustee: Axis Mutual Fund Trustee Ltd.

Investment Manager: Axis Asset Management Co. Ltd. (the AMC).

Risk Factors: Axis Bank Limited is not liable or responsible for any loss or shortfall resulting from the operation of the scheme. This document represents the views of Axis Asset Management Co. Ltd. and must not be taken as the basis for an investment decision. Neither Axis Mutual Fund, Axis Mutual Fund Trustee Limited nor Axis Asset Management Company Limited, its Directors or associates shall be liable for any damages including lost revenue or lost profits that may arise from the use of the information contained herein. No representation or warranty is made as to the accuracy, completeness or fairness of the information and opinions contained herein. The AMC reserves the right to make modifications and alterations to this statement as may be required from time to time.

"#It may be noted that risk-o-meter of the Scheme specified above is based on the scheme characteristics and may vary post NFO, when the actual investments are made. The same shall be updated in accordance with provisions of SEBI circular dated October 5, 2020 on Product labelling in mutual fund schemes on ongoing basis."

Disclaimer: This press release represents the views of Axis Asset Management Co. Ltd. and must not be taken as the basis for an investment decision. Neither Axis Mutual Fund, Axis Mutual Fund Trustee Limited nor Axis Asset Management Company Limited, its Directors or associates shall be liable for any damages including lost revenue or lost profits that may arise from the use of the information contained herein. Investors are requested to consult their financial, tax and other advisors before taking any investment decision(s). Statutory Details: Axis Mutual Fund has been established as a Trust under the Indian Trusts Act, 1882, sponsored by Axis Bank Ltd. (liability restricted to Rs. 1 Lakh). Trustee: Axis Mutual Fund Trustee Ltd. Investment Manager: Axis Asset Management Co. Ltd. (the AMC). Risk Factors: Axis Bank Limited is not liable or responsible for any loss or shortfall resulting from the operation of the scheme. No representation or warranty is made as to the accuracy, completeness or fairness of the information and opinions contained herein. The AMC reserves the right to make modifications and alterations to this statement as may be required from time to time.

The information set out above is included for general information purposes only and does not constitute legal or tax advice. In view of the individual nature of the tax consequences, each investor is advised to consult his or her own tax consultant with respect to specific tax implications arising out of their participation in the Scheme. Income Tax benefits to the mutual fund & to the unit holder is in accordance with the prevailing tax laws as certified by the mutual funds consultant. Any action taken by you on the basis of the information contained herein is your responsibility alone. Axis Mutual Fund will not be liable in any manner for the consequences of such action taken by you. The information contained herein is not intended as an offer or solicitation for the purchase and sales of any schemes of Axis Mutual Fund.

Past performance may or may not be sustained in the future.

Stock(s) / Issuer(s)/ Top stocks mentioned above are for illustration purpose and should not be construed as recommendation.