January 21, 2025
mayank
NJ Arbitrage Fund details, NAV, Portfolio, Returns, Peer Comparison, Fund Managers & Guidance by Sahifund.com
NAV Growth: Rs 11.8883
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 seeks to generate capital appreciation and income by predominantly investing in arbitrage opportunities in the cash and derivatives segment of the equity market and by investing the balance in debt and money market instruments.
Fund Manager:
1) Viral Shah
Education: Mr. Shah has done B.E. and MBA (Finance)
Experience: Mr. Shah has started his career with NJ Group and has been Principal Officer for PMS segment with NJ Asset Management for more than 10 years.
2) Dhaval Patel
Education: Mr. Patel has done IBS from Hyderabad
Experience: Prior to joining NJ Mutual Fund, he has worked with Axis Mutual Fund, Credit Analysis & Research Ltd.
NJ Arbitrage Fund Investment Details
| Min. Investment (Rs) | 5,000 |
| Min. Addl Investment (Rs) | 500 |
| Min. SIP Investment (Rs) | 100 |
| Min. Withdrawal (Rs) | — |
| Min. No of Cheques | 6 |
| Min. Balance (Rs) | — |
| Lock-in Period | NA |
| Exit Load | 0 |
Basic Details of NJ Arbitrage Fund
| Fund House | NJ Mutual Fund |
| Launch Date | 01-Aug-22 |
| Return Since Launch | 7.24% |
| Benchmark | NIFTY 50 Arbitrage TRI |
| Riskometer | Low |
| Type | Open-ended |
| Assets | Rs 327 Cr |
| (As on 31-Dec-2024) | |
| Expense | 0.27% |
| (As on 31-Dec-2024) | |
| Risk Grade | — |
| Return Grade | — |
| Turnover | 982.00% |
NJ Arbitrage Fund Trailing Returns (%)
| Fund name | YTD | 1D | 1M | 3M | 6M | 1Y | 3Y | 5Y | 7Y | 10Y |
| NJ Arbitrage Dir | 0.43 | 0.01 | 0.55 | 1.86 | 3.35 | 7.43 | — | — | — | — |
| CCIL T Bill Liquidity Weight | 0.30 | 0.00 | 0.37 | 1.05 | 2.36 | 4.72 | — | — | — | — |
| Hybrid: Arbitrage | 0.43 | 0.03 | 0.57 | 1.96 | 3.57 | 7.86 | — | — | — | — |
| Rank within category | 24 | 27 | 24 | 26 | 26 | 26 | — | — | — | — |
| Number of funds in category | 31 | 31 | 30 | 28 | 27 | 27 | 24 | 22 | 16 | 14 |
NJ Arbitrage Fund Peer Comparison
| 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 (%) | |
| NJ Arbitrage Dir | Unrated | 7.43 | — | — | 0.27 | 327 | 7.24 | — | 2Y 5M | 982.00 |
| Kotak Equity Arbitrage Dir | 4 star | 8.27 | 7.28 | 6.22 | 0.43 | 54,913 | 7.10 | 0.25 (30) | 12Y | 2124.14 |
| Invesco India Arbitrage Dir | 5 star | 8.12 | 7.47 | 6.28 | 0.39 | 18,910 | 6.94 | 0.50 (15) | 12Y | 1736.00 |
| Nippon India Arbitrage Dir | 4 star | 7.97 | 7.07 | 6.12 | 0.38 | 14,739 | 7.10 | 0.25 (30) | 12Y | 1308.00 |
| ABSL Arbitrage Dir | 4 star | 8.07 | 7.06 | 6.04 | 0.29 | 14,115 | 6.98 | 0.25 (15) | 12Y | 1402.00 |
Portfolio Analysis of NJ Arbitrage Fund
| No. of Stocks | 46 |
| Top 10 Holdings | 47.45% |
| Top 5 Stocks | 32.53% |
| Top 3 Sectors | –% |
| Portfolio P/B Ratio | 2.26 |
| Portfolio P/E Ratio | 16.40 |
Portfolio Breakup
| Fund | Category | |
| Average Mkt Cap (Rs Cr) | 2,72,638 | 2,07,080 |
| Giant (%) | 57.16 | 55.37 |
| Large (%) | 33.74 | 31.33 |
| Mid (%) | 9.11 | 13.88 |
| Small (%) | — | 0.48 |
| Tiny (%) | — | — |
| Fund | Category | |
| Number of Securities | 118 | 256 |
| Macaulay Duration (yrs) | 0.20 | 0.27 |
| Average Maturity (yrs) | 0.20 | 0.28 |
| Yield to Maturity (%) | 6.53 | 6.94 |
| Avg Credit Rating | GOI/Cash | — |
Chanakya’s Mutual Fund Guidance For NJ Arbitrage Fund
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