Big Changes Coming to Bandhan All Seasons Bond Fund in January 2025
Bandhan Mutual Fund has announced important changes to its Bandhan All Seasons Bond Fund. These changes will include a new name, an updated investment goal, a different benchmark, and a lower risk level. The changes will take effect on January 28, 2025.
It will be renamed Bandhan Income Plus Arbitrage Fund of Funds, as it now reflects the new investment strategy. The investment objective would change from seeking optimal returns through debt funds managed by the fund house to generating long-term capital appreciation through investments in a combination of debt and arbitrage funds within the AMC.
This also proposes to amend the benchmark from NIFTY Medium Duration Debt Index A-III to an index made of 60% of the NIFTY Composite Debt Index and 40% of the Nifty 50 Arbitrage Index (Total Returns Index).
The riskometer for the scheme will shift from moderate to low, which would indicate reduced levels of risk for the investor.
As per the rules, investors can exit the fund between December 27, 2024, and January 27, 2025. During this time, those who don’t agree with the changes can withdraw their money or switch to another scheme without paying any extra fees. Investors who do not object to the changes need not take any action.
These updates are designed to keep pace with the evolving investor preferences of the fund and to offer diversified strategies for long-term capital appreciation. Investors are expected to consider the proposed updates and determine which direction to take, depending on the best fit for their financial objectives, in the exit window that has been provided.
