Tata Asset Management launches Tata Multicap Fund

Tata Asset Management has launched Tata Multicap Fund, which is an open-ended equity scheme investing across largecap, midcap and smallcap stocks. The New Fund Offering will open from August 17 and close on August 31. The scheme will re-open for continuous sale and repurchase after the allotment.

The scheme will focus on tracking sectors on a top down basis and companies on a bottom up basis reflecting the fund house’s view on the markets. With no restriction towards any market cap, the investment strategy of the fund would be to invest in opportunities across sectors and market cap in line with the fund manager's conviction. The fund will follow blend of both 'value' and 'growth' style of investing.

The fund will be benchmarked against S&P BSE500 Index TRI. An investor can invest a minimum of Rs 5,000 and in multiples of Re 1 thereafter.


Sonam Udasi will manage the scheme. He currently manages the Tata Equity P/E Fund, Tata India Consumer Fund and Tata Retirement Savings among other schemes.

"Given the current macro scenario like global trade wars between large economies, surging oil prices, an uncertain domestic political environment and the recent SEBI reclassification norms for mutual funds, it is the right strategy to participate in multicap theme, which intends to generate higher returns at comparable risks over a longer period of time,” says Sonam Udasi.

He adds, “Tata Multicap Fund would invest in a mix of largecap, midcap and smallcap stocks, without any allocation restrictions. Thus, offering the flexibility to straddle across market cap and sectors, spot capital appreciation opportunities and enable investors to benefit from the return potential of their investments."

Prathit Bhobe, Chief Executive Officer & Managing Director, Tata Asset Management says, "A multicap fund has a much larger universe to invest. Being market capitalization agnostic, they can invest across the breadth of the equity market and therefore take advantage of the opportunities across the market spectrum. In volatile markets, the ability to move across market caps at the opportune moment may give these funds an edge."