Five Reasons to invest in Axis Quant Fund

The availability of a vast quantum of financial data has led to a deluge of information. This makes it difficult for an investor to filter through the huge universe of stocks using relevant parameters for making informed investment decisions. There is a need for a systematic, rule-based investment approach that limits human intervention to arrive at an objective investment decision.

That’s exactly what Axis Quant fund is about, and here are 5 compelling reasons to invest in the fund:

1. Leveraging Data for Quicker Investing Decisions

Data has become important in the investing process, with companies reporting heaps of information in the form of annual reports, earnings calls, etc. Companies are also embracing greater transparency with respect to disclosures as they enhance their governance frameworks. Further, as time goes by, Indian markets have become deeper and richer in data, and better computing power enables us to assimilate this information, thereby accelerating decision making in fund management. Axis Quant Fund aims to leverage this huge volume and variety of data to add value to your overall investment approach.

2. Fundamentally driven Quantitative Approach

The main premise behind Axis Quant Fund is that traditional investment methods combined with the usage of quantitative data can enrich the fund management process. Axis Quant Fund follows a quant-based approach that does systematically processes data to identify quality stocks with growth potential. Parameters within the key investment styles of quality, growth, and value are used to create a portfolio. Some examples of quantitative parameters include P/E ratio, P/B ratio, price to sales, ROC/ROCE, and Debt/Equity.

Using these criteria, investment opportunities are identified based on:

• Stocks that are currently valued lower than their fundamental value
• Low risk, high-quality stocks
• Stocks with growth prospects

3. Objective & Disciplined Approach to Portfolio Management

Axis Quant Fund has an objective selection process and rule-based criteria for the selection of stocks, which limits human intervention to a great extent. It also ensures discipline as data decides the way.

4. Diversified Portfolio

The fund uses a universal approach for investment. Instead of focusing on a single theme, market capitalization, or sector, stocks that rank high on several quant parameters are selected. In addition, there are sector limits that ensure that ensure that the portfolio does not take concentrated bets towards any particular sector. Therefore, Axis Quant fund offers an opportunity for investors wishing to diversify their portfolio.

5. Enhanced Risk Management

Axis Quant Fund creates a portfolio by assigning a composite score to stocks based on parameters central to the fundamental tenets of investing. Later, the scores are adjusted for risk, liquidity and so on, to arrive at a risk-adjusted score. This process seeks to achieve better performance per unit of risk. Further, not only is the portfolio rebalanced periodically but also ad-hoc, while monitoring for events such as adverse news, governance problems, or material litigation issues.

Thus, Axis Quant Fund follows an investment approach that is rooted in a fundamental data-based bottom-up stock selection process and is augmented by a systematic approach to investment, thus reducing human biases

The strategy is suitable for investors looking to diversify their existing portfolio of funds through a novel approach to investing. Investors with a long-term investment horizon may opt for this fund.

Invest in Axis Quant Fund today! NFO open 11th-25th June, 2021.

The product labelling assigned during the New Fund Offer is based on internal assessment of the Scheme Characteristics or model portfolio and the same may vary post NFO when actual investments are made.

Past performance may or may not be sustained in the future.

Statutory Details: Axis Mutual Fund has been established as a Trust under the Indian Trusts Act, 1882, sponsored by Axis Bank Ltd. (liability restricted to ` 1 Lakh). Trustee: Axis Mutual Fund Trustee Ltd. Investment Manager: Axis Asset Management Co. Ltd. (the AMC). Risk Factors: Axis Bank Limited is not liable or responsible for any loss or shortfall resulting from the operation of the scheme. This document represents the views of Axis Asset Management Co. Ltd. and must not be taken as the basis for an investment decision. Neither Axis Mutual Fund, Axis Mutual Fund Trustee Limited nor Axis Asset Management Company Limited, its Directors or associates shall be liable for any damages including lost revenue or lost profits that may arise from the use of the information contained herein. No representation or warranty is made as to the accuracy, completeness or fairness of the information and opinions contained herein. The AMC reserves the right to make modifications and alterations to this statement as may be required from time to time.

Mutual Fund Investments are subject to market risks, read all scheme related documents carefully