Edelweiss Mid Cap Fund

Introduction

Edelweiss Mid Cap Fund is a mid-cap fund mutual fund scheme. This fund regular plan has been launched in December 2007 and the direct plan was launched in January 2013. The fund has Rs. 1,643 Crores worth of Assets Under Management(AUM) as of September 2021 and is categorized as a medium-sized fund.

The fund has doubled the money invested in it every 2 yrs. The scheme’s ability to deliver returns consistently and the ability to control losses in a falling market is above average compared to most other funds of its category. The fund has invested the majority in the Financial, Construction, Healthcare, Engineering, Chemicals sectors.

Investment Strategy & Benchmark

The scheme aims to generate long-term capital appreciation from a portfolio of equity and equity-related securities of Mid Cap companies. the investment objective of the fund is that. The fund is benchmarked against the NIFTY Midcap 100 Total Return Index(TRI).

Key Information About Edelweiss Mid Cap Fund

1. The current Net Asset Value(NAV) of the Edelweiss Mid Cap Fund is Rs. 51.56 for the Growth option of its Regular plan and Rs. 57.01 for its Direct plan as of October 2021.

2. Edelweiss Mid Cap Fund currently holds Assets Under Management(AUM) worth Rs. 1643.36 Crores as of September 2021.

3. The trailing returns over different periods are 75.48%(1year), 24.78%(3years), 17.91%(5years), and 12.63%(since launch). Whereas, Category returns for the same time duration are 69.83%(1year), 22.7%(3years), and 15.8%(5years) for its Regular Plan.

As well, the trailing returns over different time periods Direct Plan are 77.99%(1year), 26.71%(3years), 19.4%(5years), 23.05%(since launch) and, Category returns for the same time duration are 69.83%(1year), 22.7%(3years) and 15.8%(5years).

4. The expense ratio of the fund is 2.10% for the Regular plan and 0.64% for the Direct plan as of August 2021.

5. The minimum investment required is Rs. 5000, the minimum additional investment is Rs. 500 and the minimum SIP investment is Rs. 500.

Asset Allocation

1. The asset allocation of the fund accumulates around 96.97% in equities, 3.97% in debts, and -0.94% in cash & cash equivalents.

2. The fund’s top 10 equity holdings comprise around 32.06% and the top 5 sectors constitute around 18.04% of the assets.

3. The fund largely invests across market capitalization, around 12.75% in giant & large-cap companies, 66.74% in mid-cap, and 20.51% in small-cap companies.

Portfolio Of Edelweiss Mid Cap Fund

I. No of stocks – 60.
II. Top 10 Stocks – 32.06%.
III. Top 5 Stocks – 18.04%.
IV. Price-Book(P/B) ratio – 3.42.
V. Price-Earnings(P/E) ratio – 26.24.

Top 10 Stock Holdings

I. Mphasis – 4.36%.
II. SRF – 3.75%.
III. Crompton Greaves Consumer Electrical – 3.73%.
IV. TATA Power Company – 3.18%.
V. Emami – 3.02%.
VI. Shriram Transport Finance Company – 2.99%.
VII. Dalmia Bharat – 2.96%.
VIII. Laurus Labs – 2.87%.
IX. Max Healthcare Institute – 2.67%.
X. Trent – 2.53%.

Taxation

1. Gains over Rs. 1 lakh are taxed at a rate of 15% (Short term Capital Gain Tax or STCG) if units are redeemed within 1 year of investment.

2. No tax is to be paid as long as you continue to hold the units.

3. Gains of more than Rs. 1 lakh will be taxed at a rate of 10% (Long term Capital Gain Tax or LTCG). Any cess/surcharge is not included.

4. For units redeemed after 1 year of investment, gains of upto Rs. 1 lakh accruing from those units in a financial year shall be exempted from tax.

Dividends

1. Dividends are added to the income of the investors and taxed according to their respective tax slabs.

2. Further, if an investor’s dividend income exceeds Rs. 5,000 in a financial year, the fund house also deducts a TDS of 10% before distributing the dividend.

Edelweiss Mid Cap Fund Regular Plan Growth

Details

I. NAV – Rs. 51.56(as of October 2021).
II. IDCW – Rs. 31.83.
III. Returns – 12.63%(since launch in December 2007).
IV. Returns per year(5 years avg) – 18.10%.
IV. Benchmark – NIFTY Midcap 100 TRI.
V. Risk – Very High.
VI. Type – Open-ended (Equity).
VII. Asset Under Management(AUM) – Rs. 1,643 Crores(as of September, 2021).
VIII. Expense ratio – 2.10%(as of August 2021).
IX. Turnover – 58%.

Minimum investment – Rs. 5000.
Minimum additional investment – Rs.500.
Lock-in period – Not applicable.
Minimum STP investment – Rs.500.
Minimum SWP investment – Rs.500.
Exit load – 1% for redemption within 365 days, Nill after 365 days.
Minimum withdrawal – Rs. 500.
SIP investment – Rs.500 (Minimum).
Minimum no of cheque – 12.

Edelweiss Mid Cap Fund Direct Plan

Details

I. NAV – Rs. 57.01(as of October 2021).
II. IDCW – Rs. 43.65.
III. Returns – 23.05%(since launch in January 2013).
IV. Returns per year(5 years avg) – 19.59%.
IV. Benchmark – NIFTY Midcap 100 TRI.
V. Risk – Very High.
VI. Type – Open-ended (Equity).
VII. Asset Under Management(AUM) – Rs. 1,643Crores(as of August, 2021).
VIII. Expense ratio – 0.64%(as of August 2021).
IX. Turnover – 58%.

Minimum investment – Rs. 5000.
Minimum additional investment – Rs.500.
Lock-in period – Not applicable.
Minimum STP investment – Rs.500.
Minimum SWP investment – Rs.500.
Exit load – 1% for redemption within 365 days, Nill after 365 days.
Minimum withdrawal – Rs. 500.
SIP investment – Rs.500 (Minimum).
Minimum no of cheque – 12.

Who Should Invest

When investors invest for 6-7 years or more, then expected gains could comfortably beat the inflation rate as well as returns from fixed income options. This fund invests in medium-sized companies. Hence, tends to fall more when stock prices fall compared to funds that invest in larger companies.

So higher returns are expected in the long term, along with ups and downs on the way. Investors who are looking to invest for the long term and looking for high returns could invest in this fund.

Fund Manager

Mr. Harshad Patwardhan is currently managing the Edelweiss Mid Cap Fund. He is a B.Tech from IIT, MBA from IIM, and CFA. Before joining Edelweiss AMC, he worked with JP Morgan Asset Management India Private Limited as CIO-Equities since June 2006.

Mr. Patwardhan also worked with Deutsche Equities India Private Limited as a senior research analyst for 2 years and got extensive experience with several foreign brokerage houses which cover a variety of sectors.

Contact

Edelweiss Mutual Fund Customer care

Address – Edelweiss House Office, C.S.T. Road, Mumbai- 400098.

Call – 022 40933400.

E-mail – [email protected]

Website – www.edelweissmf.com

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