Union MF has now started publishing its Fair Value Spectrum report on its website, which gives investors and distributors a quick and visually relatable way of understanding where markets are on valuations: a great way to flip the greed vs fear sentiment and become wiser investors.
The fund house will stick to its commitment of not launching NFOs when markets get expensive, irrespective of sales pressure in the industry which tends to peak at such times. Markets are currently in fair value zone, according to the fund house’s Fair Value Spectrum.
Union MF has launched its Innovations & Opportunities Fund to tap into new paradigms – new technologies, new businesses, new managements, new processes - that are ushering in new opportunities. Research in the US over long periods of time has established that “newness” outperforms the market significantly – this new fund aims to harness this insight in the Indian market.
This fund will have around 50 stocks, will be benchmark agnostic, will have sizeable active share and will have over half its portfolio in mid and small cap stocks – making it very different from regular diversified flexicap type of funds.
Investors can expect to see very little representation in the portfolio from the banking, FMCG and traditional pharma spaces, while they can look forward to future-ready names from the manufacturing, consumer discretionary, e-commerce platforms and auto spaces.