The fund will be benchmarked against the composite index of Nifty 100 Total Return Index (NIFTY100 TRI). Principal Large Cap Fund offers two unique facilities like – SMART & My Gain. SMART aims
to protect investors against a sharp fall in markets as it invests in a staggered manner to
mitigate risks from timing the market. My Gain facility allows investors to set a target rate of
return and automatically shifts the appreciated amount to any Principal fund of their choice,
when the target rate is achieved.
“Large cap funds have comparatively delivered better returns with lesser volatility over the long term. Our research indicates that a composite Index of 15% of the S&P 500 (INR) Index and 85% of the NIFTY100 Index outperforms the Indian indexes in multiple trailing periods and has lower volatility. The allocation to US large Cap companies would comprise up to 15 stocks around 4 to 6 sectors and include stable and high growth businesses with a global brand franchise,’’ added Rajat Jain, Chief Investment Officer, Principal Asset Management.
“Principal Large Cap Fund is the first large cap fund in India that will enable investors to widen their investment horizon and tap into the investment opportunities provided by large cap Indian and US companies, especially those who are expected to emerge stronger from the changing economic landscape and have a higher growth and comparatively lower risk quotient. A globally diversified portfolio will help investors to take advantage of market cycles in two different economies and partake in the returns of the companies in the US, while also trying to mitigate the country risk,” Bharat Ravuri, Managing Director, Principal Asset Management.
Minimum Application Amount:
o New Investor Rs. 5,000/- for both Dividend and Growth Option and any amount
thereafter under each Plan/Option
o SMART – Rs. 25,000/-
o Systematic Investment Plan: Minimum twelve instalments of Rs. 500/each
o Systematic Transfer Plan: Minimum Six instalments of Rs. 1,000/each
o Regular Withdrawal Plan: Minimum Six instalments of Rs. 500/each