7 Best Fund of Funds in India 2024 - Fincash.com

Table of Contents

What are Fund of Funds?
What are the Types of Fund of Funds?
Who should Invest in Fund of Funds?
Advantages of Investing in Fund of Funds
Limitations of Fund of Funds
- 1. Expense ratio
- 2. Tax
Best Performing Fund of Funds to Invest 2024
Advantages of Fund of Funds
How Does a Fund of Fund Works?
Why Choose Fund of Funds?
How to Invest in FOF Mutual Funds Online?
FAQs
Top 7 Funds

7 Best Fund of Funds in India 2024

Updated on December 15, 2024 , 40391 views

fund of funds is one of the Top Mutual Funds for investors whose investment amounts are not too large and it is easier to manage one fund (a fund of funds) rather than a number of Mutual Funds. In this form of mutual fund investment strategy, investors get to hold a number of funds under the umbrella of a single fund, hence the name funds of funds.

Often going by the name of multi-manager investment; it is considered as one of the mutual fund categories. One of the key advantages of multi-manager investments is that at a lower ticket size, the investor can diversify themselves across a gamut of mutual fund schemes. So let us go through the numerous aspects of fund of funds like why to invest in a fund of funds, advantages of fund of funds, fund of funds in India, the performance of fund of funds, and other important aspects.

What are Fund of Funds?

In simple words, a Mutual Fund Investing its collected pool of money in another mutual fund (one or maybe more) is referred to as fund of funds. Investors in their portfolios take exposure to different funds and keep track of them separately. However, by Investing in multi-manager mutual funds this process gets more simplified as investors need to track only one fund, which in turn holds numerous mutual funds within it. Assume an individual has invested in 10 different funds having exposure in various financial assets like stocks, Bonds, government securities, gold, etc. However, he finds it difficult in managing those funds as he needs to keep a track of each fund separately. Therefore, to avoid such hassles, the investor invests money in a multi-management investment (or a single funds of funds strategy) which has its stakes in different Mutual Funds.

What are the Types of Fund of Funds?

1. Asset allocation funds

These funds consist of a diverse asset pool – with securities comprising of equity, debt instruments, precious metals, etc. This allows Asset Allocation funds to generate high returns through the best performing instrument, at a reduced risk level guaranteed by the relatively stable securities present in the portfolio.

2. Gold funds

Investing in different Mutual Funds, primarily trading in gold securities are gold funds. Fund of funds belonging to this category can have a portfolio of Mutual Funds or the gold trading companies themselves, depending upon the concerned asset management company.

3. International fund of funds

Mutual Funds operating in foreign countries are targeted by the international fund of funds. This allows investors to potentially yield higher returns through the best-performing stocks and bonds of the respective country.

4. Multi-manager fund of funds

This is the most common type of fund of funds Mutual Funds available in the Market. The asset base of such a fund comprises of various professionally managed Mutual Funds, all of which have a different portfolio concentration. A multi-manager fund of funds usually has multiple portfolio managers, each dealing with a specific asset present in the Mutual Fund.

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5. ETF Fund of Funds

Fund of funds comprising Exchange Traded Fund in their portfolio is a popular investment tool in the country. Investing in an ETF through fund of funds is more accessible than a direct investment in this instrument. This is because ETFs require the a Demat Trading Account while investing in ETF fund of funds have no such limitations.

However, ETFs have a slightly higher risk Factor associated with them as they are traded like shares in the stock market, making these fund of funds more susceptible to the volatility of the market.

Who should Invest in Fund of Funds?

The main aim of the top fund of funds is to maximise returns by investing in a varied portfolio posing minimal risk. Individuals with access to a small pool of financial resources which they can spare for a more extended period of time can choose such a Mutual Fund. Since the portfolio of such funds consists of varying Types of Mutual Funds, it ensures access to high-value funds as well.

Ideally, investors with relatively fewer resources and low liquidity needs can choose to invest in the top fund of funds available in the market. This enables them to earn maximum returns at minimal risk.

Advantages of Investing in Fund of Funds

There are various benefits of investing in a fund of funds Mutual Fund –

1. Diversification

Fund of funds target various Best Performing Mutual Funds in the market, each specialising in a particular asset or sector of fund. This ensures gains through diversification, as both returns and risks are optimised due to underlying portfolio variety.

2. Professionally trained managers

Fund of funds is managed by highly trained people with years of experience. Proper analysis and calculated market predictions made by such portfolio managers ensure high yields through intricate investment strategies.

3. Low resource requirements

An individual with limited financial resources can easily invest in the top fund of funds available to earn higher profits. Monthly investment schemes can also be availed while choosing a fund of funds to invest in.

Limitations of Fund of Funds

1. Expense ratio

Expense ratios to manage a fund of funds Mutual Funds are higher than standard Mutual Funds, as it has a higher managing expense. Added expenses include primarily choosing the right asset to invest in, which keeps on fluctuating periodically.

2. Tax

Tax levied on a fund of funds are payable by an investor, only during Redemption of the principal amount. However, during recovery, both short-term and long-term Capital gains are subjected to tax deductions, depending upon the annual Income of the investor and the time period of investment.

Best Performing Fund of Funds to Invest 2024

Fund	NAV	Net Assets (Cr)	3 MO (%)	6 MO (%)	1 YR (%)	3 YR (%)	5 YR (%)	2023 (%)
ICICI Prudential Nifty Next 50 Index Fund Growth	₹63.4379 ↓ -0.85	₹6,759	-4.2	0.4	38.8	20.4	20.6	26.3
IDBI Nifty Junior Index Fund Growth	₹53.4357 ↓ -0.72	₹94	-4.2	0.2	38.2	20.2	20.4	25.7
PGIM India Global Agribusiness Offshore Fund Growth	₹45.01 ↑ 0.38	₹1,322	7.1	7.4	28.6	6.4	17.8	39.5
PGIM India Euro Equity Fund Growth	₹15.8 ↓ -0.07	₹97	8.5	9	25.2	-3.3	1.8	14.6
Kotak Asset Allocator Fund - FOF Growth	₹227.151 ↑ 0.45	₹1,598	1.2	5.8	23.5	18.8	21.5	23.4
Principal Nifty 100 Equal Weight Fund Growth	₹172.067 ↓ -2.16	₹95	-6.6	-0.4	22.9	17.3	19.1	29
Aditya Birla Sun Life Financial Planning FOF Aggressive Plan Growth	₹52.4527 ↑ 0.11	₹217	-1.8	5.5	21.8	16	17.8	24.5
Note: Returns up to 1 year are on absolute basis & more than 1 year are on CAGR basis. as on 17 Dec 24

*List of Funds based on Assets >= 50 Crore & Sorted based on 1 year Return.

1. ICICI Prudential Nifty Next 50 Index Fund

The fund's objective is to invest in companies whose securities are included in Nifty Junior Index and to endeavor to achieve the returns of the above index as closely as possible, though subject to tracking error. The fund intends to track only 90-95% of the Index i.e. it will always keep cash balance between 5-10% of the Net Asset to meet the redemption and other liquidity requirements. However, as and when the liquidity in the Index improves the fund intends to track up to 100% of the Index. The fund will not seek to outperform the CNX Nifty Junior. The objective is that the performance of the NAV of the fund should closely track the performance of the CNX Nifty Junior over the same period subject to tracking error.

ICICI Prudential Nifty Next 50 Index Fund is a Others - Index Fund fund was launched on 25 Jun 10. It is a fund with Moderately High risk and has given a CAGR/Annualized return of 13.6% since its launch. Ranked 5 in Index Fund category. Return for 2023 was 26.3% , 2022 was 0.1% and 2021 was 29.5% .

Below is the key information for ICICI Prudential Nifty Next 50 Index Fund

ICICI Prudential Nifty Next 50 Index Fund Growth
Launch Date	25 Jun 10
NAV (17 Dec 24)	₹63.4379 ↓ -0.85 (-1.32 %)
Net Assets (Cr)	₹6,759 on 31 Oct 24
Category	Others - Index Fund
AMC	ICICI Prudential Asset Management Company Limited
Rating	☆☆☆☆☆
Risk	Moderately High
Expense Ratio	0.7
Sharpe Ratio	2.35
Information Ratio	-11.25
Alpha Ratio	-0.72
Min Investment	5,000
Min SIP Investment	100
Exit Load	0-7 Days (0.25%),7 Days and above(NIL)

Growth of 10,000 investment over the years.

Date	Value
30 Nov 19	₹10,000
30 Nov 20	₹10,578
30 Nov 21	₹14,501
30 Nov 22	₹15,208
30 Nov 23	₹16,703
30 Nov 24	₹24,579

ICICI Prudential Nifty Next 50 Index Fund SIP Returns

Total investment amount is ₹300,000
expected amount after 5 Years is ₹505,644.
Net Profit of ₹205,644 Invest Now

Returns for ICICI Prudential Nifty Next 50 Index Fund

Returns up to 1 year are on absolute basis & more than 1 year are on CAGR (Compound Annual Growth Rate) basis. as on 17 Dec 24

Duration	Returns
1 Month	7%
3 Month	-4.2%
6 Month	0.4%
1 Year	38.8%
3 Year	20.4%
5 Year	20.6%
10 Year
15 Year
Since launch	13.6%

Historical performance (Yearly) on absolute basis

Year	Returns
2023	26.3%
2022	0.1%
2021	29.5%
2020	14.3%
2019	0.6%
2018	-8.8%
2017	45.7%
2016	7.6%
2015	6.2%
2014	43.6%

Fund Manager information for ICICI Prudential Nifty Next 50 Index Fund

Name	Since	Tenure
Nishit Patel	18 Jan 21	3.87 Yr.
Priya Sridhar	1 Feb 24	0.83 Yr.
Ajaykumar Solanki	1 Feb 24	0.83 Yr.

Data below for ICICI Prudential Nifty Next 50 Index Fund as on 31 Oct 24

Asset Allocation

Asset Class	Value
Cash	0.06%
Equity	99.94%

Top Securities Holdings / Portfolio

Name	Holding	Value	Quantity
Hindustan Aeronautics Ltd Ordinary Shares (Industrials) Equity, Since 30 Sep 22 \| HAL	4%	₹293 Cr	688,804 ↑ 24,962
Vedanta Ltd (Basic Materials) Equity, Since 31 Mar 21 \| 500295	4%	₹285 Cr	6,147,328 ↑ 222,883
Divi's Laboratories Ltd (Healthcare) Equity, Since 30 Sep 24 \| DIVISLAB	4%	₹271 Cr	460,370 ↑ 16,680
Tata Power Co Ltd (Utilities) Equity, Since 31 Aug 22 \| 500400	4%	₹269 Cr	6,122,244 ↑ 221,974
InterGlobe Aviation Ltd (Industrials) Equity, Since 30 Sep 16 \| INDIGO	4%	₹254 Cr	627,004 ↑ 22,720
Power Finance Corp Ltd (Financial Services) Equity, Since 31 Mar 24 \| 532810	4%	₹240 Cr	5,273,313 ↑ 191,189
REC Ltd (Financial Services) Equity, Since 31 Mar 24 \| 532955	3%	₹236 Cr	4,523,689 ↑ 164,011
Siemens Ltd (Industrials) Equity, Since 30 Apr 13 \| 500550	3%	₹223 Cr	320,228 ↑ 11,599
TVS Motor Co Ltd (Consumer Cyclical) Equity, Since 30 Sep 23 \| 532343	3%	₹212 Cr	851,868 ↑ 30,876
Info Edge (India) Ltd (Communication Services) Equity, Since 30 Jun 20 \| NAUKRI	3%	₹210 Cr	282,706 ↑ 10,239

2. IDBI Nifty Junior Index Fund

The investment objective of the scheme is to invest in the stocks and equity related instruments comprising the CNX Nifty Junior Index in the same weights as these stocks represented in the Index with the intent to replicate the performance of the Total Returns Index of CNX Nifty Junior Index. The scheme will adopt a passive investment strategy and will seek to achieve the investment objective by minimizing the tracking error between the CNX Nifty Junior Index (Total Returns Index) and the scheme.

IDBI Nifty Junior Index Fund is a Others - Index Fund fund was launched on 20 Sep 10. It is a fund with Moderately High risk and has given a CAGR/Annualized return of 12.5% since its launch. Ranked 8 in Index Fund category. Return for 2023 was 25.7% , 2022 was 0.4% and 2021 was 29.6% .

Below is the key information for IDBI Nifty Junior Index Fund

IDBI Nifty Junior Index Fund Growth
Launch Date	20 Sep 10
NAV (17 Dec 24)	₹53.4357 ↓ -0.72 (-1.32 %)
Net Assets (Cr)	₹94 on 31 Oct 24
Category	Others - Index Fund
AMC	IDBI Asset Management Limited
Rating	☆☆☆☆☆
Risk	Moderately High
Expense Ratio	0.87
Sharpe Ratio	2.33
Information Ratio	-6.92
Alpha Ratio	-1.09
Min Investment	5,000
Min SIP Investment	500
Exit Load	NIL

Growth of 10,000 investment over the years.

Date	Value
30 Nov 19	₹10,000
30 Nov 20	₹10,527
30 Nov 21	₹14,425
30 Nov 22	₹15,175
30 Nov 23	₹16,601
30 Nov 24	₹24,312

IDBI Nifty Junior Index Fund SIP Returns

Total investment amount is ₹300,000
expected amount after 5 Years is ₹505,644.
Net Profit of ₹205,644 Invest Now

Returns for IDBI Nifty Junior Index Fund

Returns up to 1 year are on absolute basis & more than 1 year are on CAGR (Compound Annual Growth Rate) basis. as on 17 Dec 24

Duration	Returns
1 Month	7%
3 Month	-4.2%
6 Month	0.2%
1 Year	38.2%
3 Year	20.2%
5 Year	20.4%
10 Year
15 Year
Since launch	12.5%

Historical performance (Yearly) on absolute basis

Year	Returns
2023	25.7%
2022	0.4%
2021	29.6%
2020	13.7%
2019	0.5%
2018	-9.3%
2017	43.6%
2016	6.9%
2015	5.8%
2014	42.8%

Fund Manager information for IDBI Nifty Junior Index Fund

Name	Since	Tenure
Sumit Bhatnagar	3 Oct 23	1.16 Yr.

Data below for IDBI Nifty Junior Index Fund as on 31 Oct 24

Asset Allocation

Asset Class	Value
Cash	0.52%
Equity	99.48%

Top Securities Holdings / Portfolio

Name	Holding	Value	Quantity
Hindustan Aeronautics Ltd Ordinary Shares (Industrials) Equity, Since 30 Sep 22 \| HAL	4%	₹4 Cr	9,717 ↑ 137
Divi's Laboratories Ltd (Healthcare) Equity, Since 30 Sep 24 \| DIVISLAB	4%	₹4 Cr	6,493 ↑ 119
Vedanta Ltd (Basic Materials) Equity, Since 31 Mar 21 \| 500295	4%	₹4 Cr	87,192 ↑ 1,110
InterGlobe Aviation Ltd (Industrials) Equity, Since 30 Sep 16 \| INDIGO	4%	₹4 Cr	8,812 ↑ 139
Power Finance Corp Ltd (Financial Services) Equity, Since 31 Mar 24 \| PFC	4%	₹4 Cr	74,423 ↑ 633
Tata Power Co Ltd (Utilities) Equity, Since 31 Aug 22 \| TATAPOWER	4%	₹4 Cr	86,335 ↑ 1,534
Siemens Ltd (Industrials) Equity, Since 30 Apr 13 \| SIEMENS	4%	₹3 Cr	4,520 ↑ 122
REC Ltd (Financial Services) Equity, Since 31 Mar 24 \| RECLTD	4%	₹3 Cr	63,720 ↑ 266
Info Edge (India) Ltd (Communication Services) Equity, Since 30 Jun 20 \| NAUKRI	3%	₹3 Cr	3,989 ↑ 01
TVS Motor Co Ltd (Consumer Cyclical) Equity, Since 30 Sep 23 \| TVSMOTOR	3%	₹3 Cr	12,033 ↑ 138

3. PGIM India Global Agribusiness Offshore Fund

The primary investment objective of the scheme is to generate long-term capital growth by investing predominantly in units of overseas mutual funds, focusing on agriculture and/or would be direct and indirect beneficiaries of the anticipated growth in the agriculture and/or affiliated/allied sectors.

PGIM India Global Agribusiness Offshore Fund is a Others - Fund of Fund fund was launched on 14 May 10. It is a fund with High risk and has given a CAGR/Annualized return of 10.9% since its launch. Ranked 33 in Fund of Fund category. Return for 2023 was 39.5% , 2022 was -33.8% and 2021 was 7% .

Below is the key information for PGIM India Global Agribusiness Offshore Fund

PGIM India Global Agribusiness Offshore Fund Growth
Launch Date	14 May 10
NAV (16 Dec 24)	₹45.01 ↑ 0.38 (0.85 %)
Net Assets (Cr)	₹1,322 on 31 Oct 24
Category	Others - Fund of Fund
AMC	Pramerica Asset Managers Private Limited
Rating	☆
Risk	High
Expense Ratio	1.55
Sharpe Ratio	1.62
Information Ratio	-0.61
Alpha Ratio	0.51
Min Investment	5,000
Min SIP Investment	1,000
Exit Load	0-12 Months (1%),12 Months and above(NIL)

Growth of 10,000 investment over the years.

Date	Value
30 Nov 19	₹10,000
30 Nov 20	₹16,129
30 Nov 21	₹19,653
30 Nov 22	₹13,025
30 Nov 23	₹16,866
30 Nov 24	₹21,530

PGIM India Global Agribusiness Offshore Fund SIP Returns

Total investment amount is ₹300,000
expected amount after 5 Years is ₹470,047.
Net Profit of ₹170,047 Invest Now

Returns for PGIM India Global Agribusiness Offshore Fund

Returns up to 1 year are on absolute basis & more than 1 year are on CAGR (Compound Annual Growth Rate) basis. as on 17 Dec 24

Duration	Returns
1 Month	3.6%
3 Month	7.1%
6 Month	7.4%
1 Year	28.6%
3 Year	6.4%
5 Year	17.8%
10 Year
15 Year
Since launch	10.9%

Historical performance (Yearly) on absolute basis

Year	Returns
2023	39.5%
2022	-33.8%
2021	7%
2020	72.4%
2019	30.9%
2018	0.3%
2017	11.9%
2016	0.8%
2015	-14.7%
2014	0.9%

Fund Manager information for PGIM India Global Agribusiness Offshore Fund

Name	Since	Tenure
Chetan Gindodia	29 Mar 24	0.67 Yr.

Data below for PGIM India Global Agribusiness Offshore Fund as on 31 Oct 24

Asset Allocation

Asset Class	Value
Cash	4.92%
Equity	95.08%

Top Securities Holdings / Portfolio

Name	Holding	Value	Quantity
PGIM Jennison Global Eq Opps USD I Acc Investment Fund \| -	99%	₹1,303 Cr	496,431 ↓ -6,792
Clearing Corporation Of India Ltd. CBLO/Reverse Repo \| -	2%	₹21 Cr
Net Receivables / (Payables) Net Current Assets \| -	0%	-₹2 Cr

4. PGIM India Euro Equity Fund

(Erstwhile DHFL Pramerica Top Euroland Offshore Fund)

The primary investment objective of the scheme is to generate long-term capital growth from a diversified portfolio of units of overseas mutual funds.

PGIM India Euro Equity Fund is a Others - Fund of Fund fund was launched on 11 Sep 07. It is a fund with High risk and has given a CAGR/Annualized return of 2.7% since its launch. Ranked 24 in Fund of Fund category. Return for 2023 was 14.6% , 2022 was -35.6% and 2021 was -1.9% .

Below is the key information for PGIM India Euro Equity Fund

PGIM India Euro Equity Fund Growth
Launch Date	11 Sep 07
NAV (16 Dec 24)	₹15.8 ↓ -0.07 (-0.44 %)
Net Assets (Cr)	₹97 on 31 Oct 24
Category	Others - Fund of Fund
AMC	Pramerica Asset Managers Private Limited
Rating	☆☆
Risk	High
Expense Ratio	1.62
Sharpe Ratio	2.23
Information Ratio	-0.71
Alpha Ratio	16.36
Min Investment	5,000
Min SIP Investment	1,000
Exit Load	0-12 Months (1%),12 Months and above(NIL)

Growth of 10,000 investment over the years.

Date	Value
30 Nov 19	₹10,000
30 Nov 20	₹11,301
30 Nov 21	₹12,650
30 Nov 22	₹8,217
30 Nov 23	₹8,629
30 Nov 24	₹10,594

PGIM India Euro Equity Fund SIP Returns

Total investment amount is ₹300,000
expected amount after 5 Years is ₹315,615.
Net Profit of ₹15,615 Invest Now

Returns for PGIM India Euro Equity Fund

Returns up to 1 year are on absolute basis & more than 1 year are on CAGR (Compound Annual Growth Rate) basis. as on 17 Dec 24

Duration	Returns
1 Month	4.4%
3 Month	8.5%
6 Month	9%
1 Year	25.2%
3 Year	-3.3%
5 Year	1.8%
10 Year
15 Year
Since launch	2.7%

Historical performance (Yearly) on absolute basis

Year	Returns
2023	14.6%
2022	-35.6%
2021	-1.9%
2020	20.5%
2019	21.4%
2018	-10.3%
2017	14.6%
2016	-6.7%
2015	5.7%
2014	-9.5%

Fund Manager information for PGIM India Euro Equity Fund

Name	Since	Tenure
Chetan Gindodia	29 Mar 24	0.67 Yr.

Data below for PGIM India Euro Equity Fund as on 31 Oct 24

Asset Allocation

Asset Class	Value
Cash	5.99%
Equity	94.01%

Top Securities Holdings / Portfolio

Name	Holding	Value	Quantity
PGIM Jennison Emerging Mkts Eq USD W Acc Investment Fund \| -	98%	₹95 Cr	104,733 ↓ -2,340
Clearing Corporation Of India Ltd. CBLO/Reverse Repo \| -	2%	₹2 Cr
Net Receivables / (Payables) Net Current Assets \| -	0%	₹0 Cr

5. Kotak Asset Allocator Fund - FOF

The investment objective of the scheme is to generate long-term capital appreciation from a portfolio created by investing in specified open-ended equity, and debt schemes of Kotak Mahindra Mutual Fund. However, there is no assurance that the investment objective of the Scheme will be realized

Kotak Asset Allocator Fund - FOF is a Others - Fund of Fund fund was launched on 9 Aug 04. It is a fund with Moderately High risk and has given a CAGR/Annualized return of 16.6% since its launch. Ranked 17 in Fund of Fund category. Return for 2023 was 23.4% , 2022 was 11.3% and 2021 was 25% .

Below is the key information for Kotak Asset Allocator Fund - FOF

Kotak Asset Allocator Fund - FOF Growth
Launch Date	9 Aug 04
NAV (16 Dec 24)	₹227.151 ↑ 0.45 (0.20 %)
Net Assets (Cr)	₹1,598 on 31 Oct 24
Category	Others - Fund of Fund
AMC	Kotak Mahindra Asset Management Co Ltd
Rating	☆☆☆☆
Risk	Moderately High
Expense Ratio	0.94
Sharpe Ratio	2.99
Information Ratio	0
Alpha Ratio	0
Min Investment	5,000
Min SIP Investment	1,000
Exit Load	0-1 Years (1%),1 Years and above(NIL)

Growth of 10,000 investment over the years.

Date	Value
30 Nov 19	₹10,000
30 Nov 20	₹12,211
30 Nov 21	₹15,559
30 Nov 22	₹17,406
30 Nov 23	₹20,419
30 Nov 24	₹25,732

Kotak Asset Allocator Fund - FOF SIP Returns

Total investment amount is ₹300,000
expected amount after 5 Years is ₹518,033.
Net Profit of ₹218,033 Invest Now

Returns for Kotak Asset Allocator Fund - FOF

Returns up to 1 year are on absolute basis & more than 1 year are on CAGR (Compound Annual Growth Rate) basis. as on 17 Dec 24

Duration	Returns
1 Month	4.9%
3 Month	1.2%
6 Month	5.8%
1 Year	23.5%
3 Year	18.8%
5 Year	21.5%
10 Year
15 Year
Since launch	16.6%

Historical performance (Yearly) on absolute basis

Year	Returns
2023	23.4%
2022	11.3%
2021	25%
2020	25%
2019	10.3%
2018	4.4%
2017	13.7%
2016	8.8%
2015	5.4%
2014	40.4%

Fund Manager information for Kotak Asset Allocator Fund - FOF

Name	Since	Tenure
Abhishek Bisen	15 Nov 21	3.05 Yr.
Devender Singhal	9 May 19	5.57 Yr.

Data below for Kotak Asset Allocator Fund - FOF as on 31 Oct 24

Asset Allocation

Asset Class	Value
Cash	4.38%
Equity	59.68%
Debt	21.05%
Other	14.89%

Top Securities Holdings / Portfolio

Name	Holding	Value	Quantity
Kotak Gold ETF - \| -	15%	₹242 Cr	35,985,000 ↓ -2,300,000
Kotak Gilt-Investment Growth - Direct Investment Fund \| -	13%	₹201 Cr	19,261,359
Kotak Bond Dir Gr Investment Fund \| -	11%	₹174 Cr	21,279,938
Kotak Consumption Dir Gr Investment Fund \| -	10%	₹155 Cr	113,983,817
Kotak Nifty PSU Bank ETF - \| -	9%	₹147 Cr	2,190,000 ↑ 1,050,000
Kotak Infra & Econ Reform Dir Gr Investment Fund \| -	9%	₹144 Cr	18,399,092
Kotak Quant Dir Gr Investment Fund \| -	7%	₹107 Cr	70,592,506
iShares NASDAQ 100 ETF USD Acc - \| -	6%	₹99 Cr	10,300
Kotak Manufacture in India Dir Gr Investment Fund \| -	5%	₹78 Cr	41,081,682
Kotak India EQ Contra Dir Gr Investment Fund \| -	5%	₹77 Cr	4,460,689

6. Principal Nifty 100 Equal Weight Fund

(Erstwhile Principal Index Fund - Nifty)

The Scheme plans to invest principally in securities that comprise S&P CNX Nifty (NSE) and subject to tracking errors endeavour to attain results commensurate with the Nifty.

Principal Nifty 100 Equal Weight Fund is a Others - Index Fund fund was launched on 27 Jul 99. It is a fund with Moderately High risk and has given a CAGR/Annualized return of since its launch. Ranked 72 in Index Fund category. Return for 2023 was 29% , 2022 was 1.5% and 2021 was 32.2% .

Below is the key information for Principal Nifty 100 Equal Weight Fund

Principal Nifty 100 Equal Weight Fund Growth
Launch Date	27 Jul 99
NAV (17 Dec 24)	₹172.067 ↓ -2.16 (-1.24 %)
Net Assets (Cr)	₹95 on 31 Oct 24
Category	Others - Index Fund
AMC	Principal Pnb Asset Mgmt. Co. Priv. Ltd.
Rating	☆☆
Risk	Moderately High
Expense Ratio	1.03
Sharpe Ratio	1.95
Information Ratio	-2.18
Alpha Ratio	-0.74
Min Investment	5,000
Min SIP Investment	500
Exit Load	0-90 Days (1%),90 Days and above(NIL)

Growth of 10,000 investment over the years.

Date	Value
30 Nov 19	₹10,000
30 Nov 20	₹10,553
30 Nov 21	₹14,669
30 Nov 22	₹15,719
30 Nov 23	₹17,962
30 Nov 24	₹23,400

Principal Nifty 100 Equal Weight Fund SIP Returns

Total investment amount is ₹300,000
expected amount after 5 Years is ₹493,520.
Net Profit of ₹193,520 Invest Now

Returns for Principal Nifty 100 Equal Weight Fund

Returns up to 1 year are on absolute basis & more than 1 year are on CAGR (Compound Annual Growth Rate) basis. as on 17 Dec 24

Duration	Returns
1 Month	3.7%
3 Month	-6.6%
6 Month	-0.4%
1 Year	22.9%
3 Year	17.3%
5 Year	19.1%
10 Year
15 Year
Since launch

Historical performance (Yearly) on absolute basis

Year	Returns
2023	29%
2022	1.5%
2021	32.2%
2020	14.1%
2019	2.8%
2018	-3.4%
2017	28.9%
2016	3.4%
2015	-3.9%
2014	31.2%

Fund Manager information for Principal Nifty 100 Equal Weight Fund

Name	Since	Tenure
Rohit Seksaria	1 Jan 22	2.92 Yr.
Ashish Aggarwal	1 Jan 22	2.92 Yr.

Data below for Principal Nifty 100 Equal Weight Fund as on 31 Oct 24

Asset Allocation

Asset Class	Value
Cash	0.58%
Equity	99.42%

Top Securities Holdings / Portfolio

Name	Holding	Value	Quantity
Divi's Laboratories Ltd (Healthcare) Equity, Since 31 Mar 19 \| DIVISLAB	1%	₹1 Cr	1,913 ↑ 104
State Bank of India (Financial Services) Equity, Since 31 Jan 03 \| SBIN	1%	₹1 Cr	13,102 ↑ 717
Bank of Baroda (Financial Services) Equity, Since 30 Sep 21 \| 532134	1%	₹1 Cr	42,117 ↑ 2,306
Wipro Ltd (Technology) Equity, Since 30 Sep 13 \| 507685	1%	₹1 Cr	19,061 ↑ 1,043
Tech Mahindra Ltd (Technology) Equity, Since 31 Mar 14 \| 532755	1%	₹1 Cr	6,475 ↑ 353
Bharat Electronics Ltd (Industrials) Equity, Since 31 Oct 22 \| BEL	1%	₹1 Cr	36,313 ↑ 1,987
Grasim Industries Ltd (Basic Materials) Equity, Since 30 Apr 18 \| GRASIM	1%	₹1 Cr	3,837 ↑ 209
Eicher Motors Ltd (Consumer Cyclical) Equity, Since 30 Apr 16 \| EICHERMOT	1%	₹1 Cr	2,112 ↑ 114
HDFC Life Insurance Co Ltd (Financial Services) Equity, Since 30 Sep 18 \| HDFCLIFE	1%	₹1 Cr	14,326 ↑ 783
Indian Railway Finance Corp Ltd Ordinary Shares (Financial Services) Equity, Since 31 Mar 24 \| IRFC	1%	₹1 Cr	65,726 ↑ 3,598

7. Aditya Birla Sun Life Financial Planning FOF Aggressive Plan

The Scheme aims to generate returns by investing in mutual fund schemes selected in accordance with the BSLAMC process, as per the risk-return profile of investors. Each of the 3 plans under the Scheme has a strategic asset allocation which is based on satisfying the needs to a specific risk-return profile of investors. There can be no assurance that the investment objective of the Scheme will be realized.

Aditya Birla Sun Life Financial Planning FOF Aggressive Plan is a Others - Fund of Fund fund was launched on 9 May 11. It is a fund with Moderately High risk and has given a CAGR/Annualized return of 13% since its launch. Ranked 54 in Fund of Fund category. Return for 2023 was 24.5% , 2022 was 3.6% and 2021 was 21.1% .

Below is the key information for Aditya Birla Sun Life Financial Planning FOF Aggressive Plan

Aditya Birla Sun Life Financial Planning FOF Aggressive Plan Growth
Launch Date	9 May 11
NAV (16 Dec 24)	₹52.4527 ↑ 0.11 (0.21 %)
Net Assets (Cr)	₹217 on 31 Oct 24
Category	Others - Fund of Fund
AMC	Birla Sun Life Asset Management Co Ltd
Rating	☆☆
Risk	Moderately High
Expense Ratio	1.05
Sharpe Ratio	2.03
Information Ratio	1.14
Alpha Ratio	2.54
Min Investment	1,000
Min SIP Investment	100
Exit Load	0-365 Days (1%),365 Days and above(NIL)

Growth of 10,000 investment over the years.

Date	Value
30 Nov 19	₹10,000
30 Nov 20	₹11,388
30 Nov 21	₹14,241
30 Nov 22	₹15,264
30 Nov 23	₹17,743
30 Nov 24	₹21,984

Aditya Birla Sun Life Financial Planning FOF Aggressive Plan SIP Returns

Total investment amount is ₹300,000
expected amount after 5 Years is ₹470,047.
Net Profit of ₹170,047 Invest Now

Returns for Aditya Birla Sun Life Financial Planning FOF Aggressive Plan

Returns up to 1 year are on absolute basis & more than 1 year are on CAGR (Compound Annual Growth Rate) basis. as on 17 Dec 24

Duration	Returns
1 Month	4.9%
3 Month	-1.8%
6 Month	5.5%
1 Year	21.8%
3 Year	16%
5 Year	17.8%
10 Year
15 Year
Since launch	13%

Historical performance (Yearly) on absolute basis

Year	Returns
2023	24.5%
2022	3.6%
2021	21.1%
2020	19.2%
2019	6.9%
2018	-2.6%
2017	26.5%
2016	7.5%
2015	4.4%
2014	37.1%

Fund Manager information for Aditya Birla Sun Life Financial Planning FOF Aggressive Plan

Name	Since	Tenure
Vinod Bhat	16 Aug 19	5.3 Yr.
Dhaval Joshi	21 Nov 22	2.03 Yr.

Data below for Aditya Birla Sun Life Financial Planning FOF Aggressive Plan as on 31 Oct 24

Asset Allocation

Asset Class	Value
Cash	9.1%
Equity	66.1%
Debt	15.06%
Other	9.74%

Top Securities Holdings / Portfolio

Name	Holding	Value	Quantity
Aditya BSL Flexi Cap Dir Gr Investment Fund \| -	15%	₹32 Cr	168,282 ↑ 7,500
Kotak Multicap Dir Gr Investment Fund \| -	15%	₹32 Cr	16,294,420 ↑ 728,579
ICICI Pru Bluechip Dir Gr Investment Fund \| -	15%	₹32 Cr	2,752,217 ↑ 103,954
HDFC Large and Mid Cap Dir Gr Investment Fund \| -	15%	₹32 Cr	922,521 ↑ 41,480
Aditya BSL Gov Sec Dir Gr Investment Fund \| -	10%	₹23 Cr	2,718,541
Aditya BSL Gold ETF - \| -	10%	₹21 Cr	3,026,912 ↑ 2,393,224
Nippon India Growth Dir Gr Investment Fund \| -	10%	₹21 Cr	47,480 ↓ -21,640
HDFC Corporate Bond Dir Gr Investment Fund \| -	6%	₹14 Cr	4,308,036
Clearing Corporation Of India Limited CBLO/Reverse Repo \| -	5%	₹10 Cr
Net Receivables / (Payables) Net Current Assets \| -	0%	₹0 Cr

Advantages of Fund of Funds

Like every mutual fund, fund of funds also has numerous advantages. Some of them are:

1. Portfolio Diversification and Fund Allocation

One of the key primary benefits is portfolio diversification. Here, despite investing in one single fund, the investment is made in several mutual fund schemes, where the fund is allocated in an optimal manner with the aim to earn maximum returns at a given level of risk.

2. Gateway for Diversified Assets

Multi-management investment helps retail investors to get access to funds that are not easily available for investments. A single fund of fund can take exposure in turn to Equity Funds, Debt fund or even commodity based mutual funds. This ensures diversification for the retail investor by just getting into one Mutual fund.

3. Due Diligence Process

All the funds under this category are expected to follow a due diligence process conducted by the fund manager where they need to check the background and credentials of the underlying fund managers before making an investment to ensure the strategy is in-line with expectations.

4. Less Investment Amount

This is a good option for retail investors who wish to venture into this investment avenue with a lower ticket size.

How Does a Fund of Fund Works?

For understanding the modalities of how multi-manager investment functions, it is important to understand the concepts of fettered and unfettered management. Fettered management is a situation when the mutual fund invests its money in a portfolio containing assets and funds managed by its own company. In other words, the money is invested in the funds of the same asset management company. In contrast, unfettered management is a situation where the mutual fund invests in external funds managed by other Asset Management Companies. Unfettered funds have an advantage over fettered funds as they can exploit opportunities from numerous funds and other schemes instead of limiting themselves to the same family funds.

Why Choose Fund of Funds?

The following image gives clarity on how multi-management investment can help an individual instead of a simple mutual fund to achieve their objectives.

Though multi-management investment has a lot of benefits associated with it, one of the important factors that one needs to be aware of is the fee associated with it. Investors should be aware of any charges or expenses that a mutual fund will attract and make their investments accordingly. Therefore, in a nutshell, it can be concluded fund of funds is an ideal investment option for investors who seek to enjoy a hassle free investment in mutual funds.

How to Invest in FOF Mutual Funds Online?

Open Free Investment Account for Lifetime at Fincash.com.

Complete your Registration and KYC Process

Upload Documents (PAN, Aadhaar, etc.). And, You are Ready to Invest!

Get Started

FAQs

1. What is the most significant advantage of FOFs?

A: The most significant advantage of FOFs is that it diversifies your investment and ensures good returns. If you are planning to diversify your investment portfolio, it is good to invest in FOFs. It reduces your risk and ensures that you enjoy good returns on your investments.

2. What are the different types of FOFs?

A: There are five different types of FOFs, and these are as follows:

Asset Allocation funds
Gold funds
International FOFs
ETF FOFs
Multi-manager FOFs

Each of the FOF has unique features. For example, in gold funds you will invest in gold ETF and in multi-managers FOFs you will invest in different types of mutual funds.

3. What are the parameters to consider while investing in FOFs?

A: FOFs are mutual funds, hence, when you invest you should consider your risk taking capacity and the amount of money you want to invest. The percentage of returns you expect in the given time will give you an idea of your capacity to take risks. Based on that, you should evaluate the money you want to invest. Your financial condition should also help you decide how much money you should invest in FOFs.

Once you have assessed these two factors, select a particular FOF and start investing.

4. Which FOF has shown the best returns?

A: Gold FOFs are considered one of the most secure investments. These are like gold ETFs, and when you invest in gold FOF, it is like investing in physical gold without the added issues like paying GST, Sales Tax, or wealth tax. This investment is secure as gold price never falls extensively compared to the market and hence, produces good returns. Thus, often gold FOF is considered one of the best and safest investments.

5. Is there any commonest FOFs?

A: The Exchange Traded Funds or the ETFs are the most popular FOFs as investing in these funds is the easiest. All you need to do is open a Demat account to trade in ETFs, and there are no limitations as to the amount of money you can invest in ETFs.

6. What is one of the most critical limitations of FOF?

A: It is taxable. As an investor, you will have to pay tax on the principal amount when you redeem your investment. If you invest in FOF for the short-term, you will have to pay Taxes on the principal and the returns. However, dividend earned is not taxable as the fund house bears the taxes.

7. Do FOFs have a long lock-in period?

A: Different FOFs have different investment periods. However, if you want to earn maximum returns, you must invest in FOFs for a reasonably long time.

Disclaimer:
All efforts have been made to ensure the information provided here is accurate. However, no guarantees are made regarding correctness of data. Please verify with scheme information document before making any investment.