Latest news with #InvescoIndiaIncomePlusArbitrageActiveFundofFund
Business Upturn
02-07-2025
- Business
- Business Upturn
Invesco Launches New Low-Risk Fund with Better Tax Benefits
Invesco Mutual Fund has launched a new fund called the Invesco India Income Plus Arbitrage Active Fund of Fund. This fund aims to offer investors a smart and simple alternative to traditional debt investments by combining the benefits of debt and arbitrage strategies. The fund invests around 60–65% in debt-oriented schemes, mainly in high-quality AAA-rated corporate bonds and government securities, with a focus on the Invesco India Corporate Bond Fund. The remaining 35–40% is allocated to the Invesco India Arbitrage Fund, which earns from the price differences in the cash and futures markets, while fully hedging the equity exposure. The fund is actively managed, meaning the investment mix between debt and arbitrage will change based on market conditions to give better risk-reward balance. One of the key benefits of this fund is its tax efficiency. If the investment is held for more than 24 months, the capital gains are taxed at 12.5%, which is lower than the tax rates for traditional debt funds. Speaking at the launch, Mr. Vikas Garg, Head of Fixed Income & Fund Manager, Invesco Mutual Fund said 'With the evolving investment landscape, conservative investors are seeking options that align with their risk tolerance while enhancing tax efficiency. As the fixed income market remains in a sweet spot, the Invesco India Income Plus Arbitrage Active Fund of Fund offers a smart alternative to traditional debt investments—an efficient combination of arbitrage and fixed income strategies that provides relatively lower risk & a better tax efficiency.' The minimum investment amount during the New Fund Offer (NFO) is ₹1,000, and the fund has no exit load, which means investors won't be charged any fee for withdrawing their money. This fund is ideal for conservative investors looking for low-risk income and long-term tax benefits.
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Business Standard
02-07-2025
- Business
- Business Standard
Invesco launches Income Plus Arbitrage Active Fund of Fund; check details
Invesco India Income Plus Arbitrage Active Fund of Fund: Invesco Mutual Fund has launched its Invesco India Income Plus Arbitrage Active Fund of Fund, an open-ended fund of fund scheme investing in units of actively managed debt-oriented schemes and equity arbitrage schemes. According to the scheme information document (SID), 60-65 per cent of the fund will be invested in debt-oriented schemes, with a primary focus on Invesco India Debt Fund, based on market opportunities in high-quality Corporate Bond Funds that invest in AAA-rated corporate bonds and sovereign securities. The remaining 35-40 per cent will be invested in Invesco India Arbitrage Fund, which captures price differentials between cash and derivatives markets with fully hedged equity exposure. Vikas Garg, head of fixed income & fund manager at Invesco Mutual Fund, said, with the evolving investment landscape, conservative investors are seeking options that align with their risk tolerance while enhancing tax efficiency. As the fixed income market remains in a sweet spot, the Invesco India Income Plus Arbitrage Active Fund of Fund offers a smart alternative to traditional debt investments—an efficient combination of arbitrage and fixed income strategies that provides relatively lower risk & a better tax efficiency. According to SID, the minimum investment required during the NFO is ₹1,000 and in multiples of ₹1 thereafter. For SIP investments, the minimum application amount is ₹1000 and in multiples of ₹1 thereafter. No exit load will be charged to investors. India Income Plus Arbitrage Active Fund of Fund: Investment objective According to the SID, the fund aims to generate income by investing in a dynamic mix of actively managed debt-oriented schemes and equity arbitrage schemes, offering a unique blend of stability, tax efficiency and operational ease. The fund is suitable for investors seeking low-risk income with enhanced tax efficiency in the long term. According to the riskometer, the principal invested in both schemes will comprise low to moderate risk. India Income Plus Arbitrage Active Fund of Fund: Who should invest? According to SID, the fund is suitable for investors seeking income over the medium term and investment in units of actively managed debt-oriented and Arbitrage schemes. However, investors should consult their financial advisors if in doubt about whether the product is suitable for them.
