JP Morgan Asset Management India Private Limited on Tuesday announced the launch of its US Value Equity Off-shore Fund. This fund is an open-ended fund of funds, and is open for subscription from 17 July to 31 July.
"With an experienced team of analysts and a strong lineage in America, we at JP Morgan Asset Management are well positioned to manage investments in our home market. Our deeply resourced, research driven US equity team manages assets worth USD 157 billion across strategies," Nandkumar Surti, MD & CEO, JP Morgan AMC said.
With this fund you get an opportunity to invest in the world’s largest stock market, the US.
Primary objective: To provide long term capital growth. It is an equity fund, which invests primarily in a value style biased portfolio of US companies.
Finer Details: The benchmark for the fund will be the Indian Rupee equivalent of the Russel 1000 value index. This fund has no entry load. When you exit the fund you will have to pay one percent if you redeem or switch out within 18 months from the date of allotment.
Amount: The initial application amount is Rs 5,000 per application and in multiples of Rs 1 thereafter. For additional applications you will have to bear Rs 1,000 per application and in multiples of Rs 1 thereafter. As far as the amount or number of units for redemption goes Rs 1,000 or 100 units or the account balance, whichever is the lower can be redeemed.
Options: You can invest in this fund via the Systemic Investment Plan (SIP) route, the Systematic Transfer Plan or the Systematic Withdrawal Plan.
Label: This fund comes with a brown label, which means investors should understand the principal will be at high risk since it is an equity fund of funds, with investments in securities and equity-related securities of US companies.
Tax: The taxation on these funds is similar to that of debt funds.
Nandkumar Surti told Firstpost that Indian consumer is a global consumer, but not a global investor. With this fund we bring the opportunity to go global for the long term, to help them diversify their portfolio, he said.
JP Morgan's US equity team manages assets worth $157 billion.