The recently closed new fund offer of Aditya Birla Sun Life Multi-Cap Fund has managed to attract investment of ₹1,900 crore through over 88,000 applications.

The open ended equity scheme will be investing across large-, mid- and small-cap stocks. The NFO was open between April 19 and May 3 and reopened for subscription on May 10.

A Balasubramanian, Managing Director, Aditya Birla Sun Life AMC, said despite the logistical challenges posed by the pandemic, the NFO attracted applications covering over 9,600 pin codes across T-30 and B-30 markets.

“The fund house’s technology strength has come in handy to beat the logistical constraints,” he said.

Also read: Aditya Birla MF launches NFO of Nifty Equal Weight Index

“The interest received in this new fund is also a reflection of the growing appetite of equity investments and the proposition of multi-cap fund is that it brings a curated combo of three focus portfolios,” he added.

‘Diversified proposition’

Investors have seen merit in the diversified proposition which allows them to have exposure in all three market caps giving them the stability of large cap while leveraging the growth potential of mid and small caps, said Balasubramanian.

The multi-cap category is mandated to invest at least 25 per cent each in large, mid and small caps. This well-defined and disciplined market cap allocation helps invest in fast growing sectors and companies from across the spectrum in mid and small caps, while balancing out the risk reward proposition with relative safety of large caps.

Also read: Aditya Birla Capital Q4 net profit surges 161%

With a focused and bottom-up stock selection approach, the fund offers a well curated portfolio of high conviction stock ideas from the fund house. The fund is focused towards secular growth opportunities that cover a broad range of sectors and companies and enables healthy participation in the ensuing economic recovery.

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