Motilal Oswal MOSt Focused 25 Fund launched

Motilal Oswal Asset Management Company has launched Motilal Oswal MOSt Focused 25 Fund, an open ended equity scheme. This is the first actively managed fund from Motilal Oswal. The NFO will open for subscription on April 22 and will close on May 6. The minimum application amount is Rs 10,000 and in multiples of Re 1 thereafter. The scheme's performance will be benchmarked against CNX Nifty. There are no entry or exit loads.

Fund Objective: The objective of the scheme is to achieve long term capital appreciation by investing in up to 25 companies. The fund manager will select companies with long term sustainable competitive advantage and growth potential. The fund manager will not time the market but will look at investing in good quality companies which have a long term potential. The fund is aimed at investors who would prefer to stay invested for atleast three to five years with a medium to long term horizon. The fund will be managed by Taher Badshah and Abhiroop Mukherjee

Asset Allocation: The scheme will invest 65 to 100% from the top 200 listed companies by size of market capitalisation, upto 25% in companies beyond Top 200 listed companies by size of market capitalisation but with minimum market capitalization of Rs 1400 crores and the balance 10% in Debt & Money Market Instruments, G-Sec's, and bonds. Along with this, the scheme will limit its exposure to only 25 companies.

Why to invest: Investors looking to take concentrated bets in large cap stocks could invest

Why not to invest: There are many other large cap funds available that have a long term track record