December 6, 2023
mayank
Axis Arbitrage Fund details, NAV, Portfolio, Returns, Peer Comparison, Fund Managers & Guidance by Chanakyamfguidance.com
Current NAV:
NAV Growth: Rs 17.9938
NAV IDCW: Rs 11.6719
Suitable For Which Investors?
“Arbitrage funds invest in equity shares and derivatives, and earn their returns through the price differential between a stock and its futures. You can expect to earn better returns than what you would get from a bank account.
They are usually suitable to park your money for a period ranging between three months to a year. However, we believe that liquid funds, which have a similar risk-return payoff, are a better alternative for most investors for such a time frame. Arbitrage funds may have some appeal for those who are in the highest tax bracket, given the preferential tax treatment of these funds.
The risk of incurring a loss in these funds over the said time frame is low but they do not guarantee returns or safety of capital.
Remember, these funds usually deliver low returns which are only marginally higher than your bank account. They are not suitable if your aim is to build wealth in the long run.”
Fund’s Investment Strategy:
The scheme aims to generate income through low volatility absolute return strategies that take advantage of opportunities in the cash and the derivative segments of the equity markets including the arbitrage opportunities available within the derivative segment, by using other derivative based strategies and by investing the balance in debt and money market instruments.
Fund Manager:
1) Ashish Naik
Education: Mr. Naik is a B.E from Mumbai University and MBA from XLRI, Jamshedpur.
Experience: Prior to joining Axis Mutual Fund he was associated with organizations such as Goldman Sachs and has over 7 years of experience as an Equity Analyst.
2) Karthik Kumar
Education: Mr. Kumar has done M.B.A, C.F.A, (USA) & B.E (Mechanical)
Experience: Prior to joining Axis Mutual Fund he has worked with SilverTree Hong Kong and Asiya Investment, Hong Kong
2) Sachin Jain
Education: Mr. Jain is a B.Tech, AGMP (Management)
Experience: Prior to joining Axis Asset Management Company Ltd., he has worked with Sundaram Mutual Fund, I- Cap, Sunidhi securities and Finance Ltd.
3) Devang Shah
Education: Mr. Shah is B.Com and ACA.
Experience: Prior to joining Axis AMC he has worked with ICICI Prudential AMC, Deutsche Asset Management (India) Pvt. Ltd. and Pricewaterhouse Coopers.
Investment Details
| Min. Investment (Rs) | 500 |
| Min. Addl Investment (Rs) | 500 |
| Min. SIP Investment (Rs) | 100 |
| Min. Withdrawal (Rs) | 1,000 |
| Min. No of Cheques | 6 |
| Min. Balance (Rs) | 1 |
| Lock-in Period | NA |
| Exit Load | 0.25% for redemption Within 15 days |
Basic Details of Axis Arbitrage Fund
| Fund House | Axis Mutual Fund |
| Launch Date | 14-Aug-14 |
| Return Since Launch | 6.51% |
| Benchmark | NIFTY 50 Arbitrage TRI |
| Riskometer | Low |
| Type | Open-ended |
| Assets | Rs 3,242 Cr |
| (As on 31-Oct-2023) | |
| Expense | 0.31% |
| (As on 31-Oct-2023) | |
| Risk Grade | Below Average |
| Return Grade | Above Average |
| Turnover | — |
Axis Arbitrage Fund Trailing Returns (%)
| Fund name | YTD | 1D | 1M | 3M | 6M | 1Y | 3Y | 5Y | 7Y | 10Y |
| Axis Arbitrage Dir | 7.19 | 0.09 | 0.54 | 1.91 | 3.91 | 7.94 | 5.72 | 5.72 | 6.04 | — |
| CCIL T Bill Liquidity Weight | 4.00 | 0.02 | 0.31 | 1.07 | 2.13 | 4.37 | 2.92 | 3.28 | 3.49 | — |
| Hybrid: Arbitrage | 7.15 | 0.10 | 0.55 | 1.89 | 3.94 | 7.90 | 5.45 | 5.51 | 5.77 | — |
| Rank within category | 16 | 21 | 15 | 14 | 18 | 16 | 7 | 5 | 5 | — |
| Number of funds in category | 25 | 27 | 27 | 25 | 25 | 25 | 24 | 18 | 15 | 9 |
Peer Comparison of Axis Arbitrage Fund
| Rating | 1 Year Returns | 3 Year Returns | 5 Year Returns | Expense Ratio (%) | Net Assets (Rs Cr) | Return Since Launch (%) | Exit Load (Days) | Fund Age | Turnover (%) | |
| Axis Arbitrage Dir | 4 star | 7.94 | 5.72 | 5.72 | 0.31 | 3,242 | 6.51 | 0.25 (15) | 9Y 3M | 1183.00 |
| Kotak Eqt Arbtg Dir | 4 star | 8.28 | 5.87 | 5.81 | 0.44 | 28,958 | 6.97 | 0.25 (30) | 10Y 11M | 1945.95 |
| Nippon Ind Arbtg Dir | 4 star | 8.08 | 5.74 | 5.83 | 0.39 | 11,326 | 7.00 | 0.25 (30) | 10Y 11M | 1301.00 |
| Invesco Ind Arbtg Dir | 5 star | 8.37 | 5.99 | 5.88 | 0.37 | 8,678 | 6.81 | 0.50 (15) | 10Y 11M | 1801.00 |
| Tata Arbtg Dir | 4 star | 8.19 | 5.75 | — | 0.29 | 7,682 | 6.02 | 0.25 (30) | 4Y 11M | 534.18 |
Portfolio Analysis of Axis Arbitrage Fund
| No. of Stocks | 119 |
| Top 10 Holdings | 37.44% |
| Top 5 Stocks | 23.59% |
| Top 3 Sectors | –% |
| Portfolio P/B Ratio | 2.34 |
| Portfolio P/E Ratio | 18.85 |
Portfolio Breakup
| Fund | Category | |
| Average Mkt Cap (Rs Cr) | 94,186 | 1,35,443 |
| Giant (%) | 30.97 | 44.74 |
| Large (%) | 42.94 | 28.12 |
| Mid (%) | 23.37 | 25.12 |
| Small (%) | 2.72 | 2.50 |
| Tiny (%) | — | — |
| Fund | Category | |
| Number of Securities | 259 | 205 |
| Macaulay Duration (yrs) | 0.33 | 0.25 |
| Average Maturity (yrs) | 0.34 | 0.25 |
| Yield to Maturity (%) | 7.43 | 7.18 |
| Avg Credit Rating | GOI/Cash | — |
How to Invest in Axis Arbitrage Fund?
Chanakya’s Mutual Fund Guidance For Axis Arbitrage Fund
Apply Online: https://www.axismf.com/mutual-funds
>> Post your MF questions @ sahifund.com/ask-me/
>> NFO Guidance:
https://sahifund.com/category/nfos/
>> Chanakya’s Mutual Fund Guidance on YouTube
https://www.youtube.com/c/ChanakyaNiPothi
>> Join Chanakya MF’s Telegram Channel @
https://t.me/chanakyaMFGuidance
Quicklinks