HYBRID
Unifi Dynamic Asset Allocation Fund
An open-ended dynamic asset allocation fund
An open-ended hybrid mutual fund scheme that invests in a dynamically managed portfolio of debt and equity with an intent to generate income and capital appreciation over the medium to long term.
- Direct
- Regular
0.50%
An open-ended hybrid mutual fund scheme that invests in a dynamically managed portfolio of debt and equity with an intent to generate income and capital appreciation over the medium to long term.
- Performance
- Fund Facts
- Fund Specs
- Holdings
- Documents
- Fund managers
Performance
As on 30 Aug 2024As on 30 Sep 2024- Graph
- SEBI format table
Historical Returns (As per SEBI format)
| Unifi Balanced Advantage Fund | BSE 250 Small Cap TRI ^ | BSE 250 Small Cap TRI # | ||||
|---|---|---|---|---|---|---|
| CAGR | Current Value | CAGR | Current Value | CAGR | Current Value | |
| 1 Year | 37.3% | ₹ 13,742 | 37.3% | ₹ 13,742 | 37.3% | ₹ 13,742 |
| 3 Year | 37.3% | ₹ 13,742 | 37.3% | ₹ 13,742 | 37.3% | ₹ 13,742 |
| 5 Year | 37.3% | ₹ 13,742 | 37.3% | ₹ 13,742 | 37.3% | ₹ 13,742 |
| since Inception | 37.3% | ₹ 13,742 | 37.3% | ₹ 13,742 | 37.3% | ₹ 13,742 |
| NAV / Index Value | ₹ 166.40 | ₹ 7,731 | ₹ 7,731 | |||
Date of allotment: Jun 15, 2024.
Period for which fund's performance has been provided is computed based on last day of the month-end preceding the date of advertisement
Different plans shall have a different expense structure. The performance details provided herein are of Direct Plan.
Since inception returns have been calculated from the date of allotment till August 30, 2024
Past performance may or may not be sustained in future and should not be used as a basis for comparison with other investments
Rolling returns have been calculated based on returns from regular plan growth option.
^ Fund Benchmark # Additional Benchmark
Scheme DisclaimerFund Facts
As on 30 Aug 2024As on 30 Sep 2024This is an open ended hybrid fund that dynamically changes asset allocation.
- Scheme Code UMF/O/H/BAF/24/01/0006
- Inception Date 27 May 2024
- Allotment Date 15 June 2024
- Ideal Holding Period 2 Years+
Minimum
- Lumpsum Minimum ₹50,000
- SIP Minimum Minimum Instalments - 6 Months ₹1,000
- Additional Purchase ₹1,000
- Upto 12 months20% is free of charge, while the remaining 80% incurs the mentioned fees 2%
- Upto 2 years20% is free of charge, while the remaining 80% incurs the mentioned fees 1%
- Direct 0.92%
- Regular 1.39%
This is an open ended hybrid fund that dynamically changes asset allocation.
- Scheme Code UMF/O/H/BAF/24/01/0006
- Inception Date 27 May 2024
- Allotment Date 15 June 2024
- Ideal Holding Period 2 Years+
Minimum
- Lumpsum Minimum ₹50,000
- SIP Minimum Minimum Instalments - 6 Months ₹1,000
- Additional Purchase ₹1,000
- Upto 12 months20% is free of charge, while the remaining 80% incurs the mentioned fees 2%
- Upto 2 years20% is free of charge, while the remaining 80% incurs the mentioned fees 1%
- Direct 0.92%
- Regular 1.39%
Fund Specs
As on 30 Aug 2024As on 30 Sep 2024- Morningstar Rating 5
- Morningstar Medalist Rating Gold
- Asset Under Management ₹ 14,072.97 Cr
- Portfolio Turnover Ratio 0.25 last 12 months
- Modified Duration 2.66 Years
- Portfolio Macaulay Duration 2.81 Years
-
PRC MatrixShow
Credit Risk 
Interest Rate Risk Relatively Low (Class A) Moderate (Class B) Relatively High (Class C) Relatively Low (Class l) Moderate (Class ll) Relatively High (Class lll) A-III IRR higher
CRR lowest -
Average Maturity (only for debt component)001
-
Yield to Maturity001
- Morningstar Rating 5
- Morningstar Medalist Rating Gold
- Asset Under Management ₹ 14,072.97 Cr
- Portfolio Turnover Ratio 0.25 last 12 months
- Modified Duration 2.66 Years
- Portfolio Macaulay Duration 2.81 Years
-
PRC MatrixShow
Credit Risk Interest Rate Risk Relatively Low (Class A) Moderate (Class B) Relatively High (Class C) Relatively Low (Class l) Moderate (Class ll) Relatively High (Class lll) A-III IRR higher
CRR lowest -
Average Maturity (only for debt component)001
-
Yield to Maturity001
Holdings
As on 30 Aug 2024Documents
As on 30 Aug 2024As on 30 Sep 2024Fund managers
As on 30 Aug 2024
V N Saravanan
A Chartered Accountant with 20+ years of experience in fund management, capital market research, banking and audit. Saravanan has been associated with Unifi group since 2006. He was the Fund Manager for an open-ended CAT-III multi asset class AIF for 11 years between FY14 to FY24. Earlier in the equity research division, he was tracking Pharmaceuticals, Specialty Chemicals and Financial Services sector. Prior to Unifi, he worked in ICICI bank’s treasury & corporate mid-office group and PwC’s due diligence & assurance division.
Karthik Srinivas
A Chartered Accountant with 10+ years of experience in across functions like fund management, research, risk management & audit. Over the last 4 years, Karthik has been co-managing debt strategies at Unifi group in its PMS division. He was responsible for identifying high-yield fixed income and hybrid opportunities, evaluation and monitoring. Earlier, he was part of The Sanmar Group, working in their Founders’ Office and with Deloitte in their Risk Advisory practice.
Aejas Lakhani
12+ years of experience in fund management, equity research and governance advisory. He has done his MBA (Finance) from the Asian Institute of Management (Manila). Over the last 4 years, Aejas has been managing the consumption themed equity fund at Unifi group. He was also tracking sectors such as Pharmaceuticals, Logistics, Retail and Capital Markets. Earlier he has worked as an Analyst in the Institutional Investor Advisory Services Firm and Edelweiss Asset Management Limited.
How does this fund generate yield?
G-sec & T- bills
G-sec & T- bills
- Safest form of a debt instrument, backed by Central Government
- Tactical allocation to increase or decrease portfolio duration based on economic cycle
- Highly liquid
PSU & PFI bonds
AAA rated bonds
AA rated bonds
PSU & PFI debt / CPs / CDs Corporate AAA & AA rated debt / CPs
- Returns with good liquidity
- Tactical play on duration, basis economic cycle
- Diversified allocation across multiple sectors
- Bottom-up evaluation of each opportunity by in-house team without bias to rating
AA, A & BBB rated bonds
AA, A & BBB rated bonds
- Hold-to-maturity approach with an intent to benefit from higher yields
- Tactical allocation to take advantage of potential rating upgrades and company specificpositive developments
- Each investment is made after detailed due diligence on business fundamentals and corporate governance
- Rigorous post-investment monitoring & covenants compliance
Below BBB rated bonds
Open derivatives
Sector & Thematic equity
Small-cap equity
Large & Mid-cap equity
Large & Mid-cap equity
- Opportunistic trade on a highly selective, leveraging our access to the in-depth research and equity strategies
- Take advantage of temporary severe market price volatility caused by regulatory actions, political changes, force majeure events (like COVID) which tend to invariably reverse to normalcy (mean-reversion)
Buy-back, open offers,
IPOs & delistings
Buy-back, open offers,
IPOs & delistings
Participate in corporate events like buy-backs, delisting, open offers and IPO that inherently have low correlation to economic cycles and market volatility
Evaluation criteria
- Sufficient liquidity in the scrip
- Promoter and Management assessment
- Corporate Governance record
- Proprietary model to estimate acceptance ratios
- Sensitivity analysis
Cash-futures arbitrage
Cash-futures arbitrage
- Uncorrelated to market cycles
- Minimizes return volatility and protects downside risk
- Enhances liquidity of the portfolio with capital preservation
Dynamic Debt
This fund would dynamically invest among various debt segments depending on its growth-inflation outlook
Controlled Equity
The equity risk is controlled by hedging and focussing on segments with lower volatility
Low risk
High risk
Low risk
G-sec & T- bills
PSU & PFI bonds
AAA rated bonds
AA rated bonds
AA, A & BBB rated bonds
Below BBB rated bonds
Dynamic Debt
Low risk
High risk
Open derivatives
Sector & Thematic equity
Small-cap equity
Large & Mid-cap equity
open offers, IPOs & delistings
Cash-futures arbitrage
Controlled Equity
High risk
Low risk
G-sec & T- bills
- Safest form of a debt instrument, backed by Central Government
- Tactical allocation to increase or decrease portfolio duration based on economic cycle
- Highly liquid
PSU & PFI debt / CPs / CDs Corporate AAA & AA rated debt / CPs
- Returns with good liquidity
- Tactical play on duration, basis economic cycle
- Diversified allocation across multiple sectors
- Bottom-up evaluation of each opportunity by in-house team without bias to rating
AA, A & BBB rated bonds
- Hold-to-maturity approach with an intent to benefit from higher yields
- Tactical allocation to take advantage of potential rating upgrades and company specificpositive developments
- Each investment is made after detailed due diligence on business fundamentals and corporate governance
- Rigorous post-investment monitoring & covenants compliance
Large & Mid-cap equity
- Opportunistic trade on a highly selective, leveraging our access to the in-depth research and equity strategies
- Take advantage of temporary severe market price volatility caused by regulatory actions, political changes, force majeure events (like COVID) which tend to invariably reverse to normalcy (mean-reversion)
open offers, IPOs & delistings
Participate in corporate events like buy-backs, delisting, open offers and IPO that inherently have low correlation to economic cycles and market volatility
Evaluation criteria
- Sufficient liquidity in the scrip
- Promoter and Management assessment
- Corporate Governance record
- Proprietary model to estimate acceptance ratios
- Sensitivity analysis
Cash-futures arbitrage
- Uncorrelated to market cycles
- Minimizes return volatility and protects downside risk
- Enhances liquidity of the portfolio with capital preservation
Refer to SID & SAI for further details | Dynamic debt refers to allocation across the rating and duration spectrum | Controlled equity means majority allocation to cash-futures arbitrage to reduce portfolio volatility
Asset Allocation of the Scheme: Equity (0%-100%); Debt (0%-100%).
How does this fund navigate the economic cycle?
-
Rising Growth,
Falling InflationPriority segments:
- Short & medium-term G-Sec & AAA
- Short-term corporate bonds
- Large-cap equity
- Special situation equity (Event Arbitrage)
- Cash-futures arbitrage
-
Rising Growth,
Rising InflationPriority segments:
- Short- & medium corporate bonds
- Medium-term AAA & G-Sec
- Diversified equity
- Special situation equity (Event Arbitrage)
- Cash-futures arbitrage
-
Falling Growth,
Falling InflationPriority segments:
- Special situation equity (Event Arbitrage)
- Short-term G-Sec & AAA
- Cash-futures arbitrage
-
Rising Growth,
Falling InflationPriority segments:
- Medium term – G-Sec & AAA
- Special situation equity (Event Arbitrage)
- Cash-futures arbitrage
INFLATION
Rising Growth, Falling Inflation
- Short & medium-term G-Sec & AAA
- Short-term corporate bonds
- Large-cap equity
- Special situation equity (Event Arbitrage)
- Cash-futures arbitrage
Rising Growth, Rising Inflation
- Short- & medium corporate bonds
- Medium-term AAA & G-Sec
- Diversified equity
- Special situation equity (Event Arbitrage)
- Cash-futures arbitrage
Falling Growth, Falling Inflation
- Special situation equity (Event Arbitrage)
- Short-term G-Sec & AAA
- Cash-futures arbitrage
Falling Growth, Rising Inflation
- Medium term – G-Sec & AAA
- Special situation equity (Event Arbitrage)
- Cash-futures arbitrage
GROWTH
Key Fund Principles
How is this fund taxed?
For funds held for 2 years
| FUND ‘A’ Any fund holding >65% Debt Instruments | Unifi DAAF Any fund holding <65% Debt Instruments | |
|---|---|---|
| Redemption (1/1/2027) | ₹ 100.00 | |
| Investment (1/1/2025) | ₹ 116.64 (assuming 8% pre-tax return) | |
| Pre-tax Gain | ₹ 16.64 | |
| Tax | ₹ 4.99 (@30%) | ₹ 2.08 (@12.5%) |
| Post-tax Gain | ₹ 11.65 | ₹ 14.56 |
| Post-tax Return | 5.66% | 7.03% |
- Tax laws are subject to change and the current position may not continue indefinitely. Please consult your tax advisor for ascertaining specific tax liability.
Independent in-house underwriting establishes a rigorous evaluation standard for debt investing through our bottom-up research framework. Our fundamental research framework enables a distinct investment approach pre & post investment, applying an equity-like methodology to debt investments for superior analysis and risk management.
Our portfolio is designed to minimize sharp swings in portfolio values due to interest rates movements. Low duration, amortising principal structure, exposure to high quality borrowers provide inherent interest rate risk mitigation.
Constant allocation to TREPs/ G-secs/highly liquid debt instruments and cash arbitrage segments to manage liquidity. Periodical cashflows from debt repayments and interest payments also provide liquidity buffer.
Regulatory limits imposed on sector and single company exposure prevents the portfolio to be concentrated.
