Lotus India AMC launches Quant based ELSS Scheme

PFW Bureau / Nov 20

Lotus India AMC has launched Quant based ELSS Scheme - Lotus India AGILE Tax Fund (Alpha Generated from Industry Leaders Fund). The investment objective of this scheme is to generate capital appreciation by investing in a passive portfolio of stocks selected from the industry leaders on the basis of a mathematical model designed by the LIAMC Team.

The New Fund Offer (NFO) priced at Rs 10 per unit opened for purchase on November 15, 2007 and it will close on February 15, 2008. The fund will invest 90-100% in equity and equity related instruments and 0-10% in debt and money market instruments. The fund offers two options - growth and dividend. The dividend option offers dividend payout and dividend re-investment facilities. Investments made under this scheme will have a lock-in for a period of 3 years.

Lotus India Agile Tax Fund is a closed ended equity linked savings scheme (ELSS) with a maturity of 10 years that will invest in 11 stocks (9% each) determined by a mathematical model. The portfolio will be reviewed and reset every month.
Ajay Bagga, CEO, Lotus India AMC said, “We had pioneered the Quant fund segment in India with the launch of the

Lotus India Agile Fund, a first of its kind product in the Indian asset management industry. We believe that there is significant potential for products following this “model” based approach. The launch of the Lotus India Agile Tax Fund is aimed at reinforcing the product offering in the Quant based segment. This fund will offer our customers the benefit of investing in a model based approach, along with tax benefits under Section 80C. This latest offering is part of our continued endeavour to offer our customers a wide portfolio of innovative products and investment options.”