Axis Bluechip Fund Sip: A Smart Investment Strategy

The Axis Bluechip Fund is a large-cap mutual fund that aims to generate long-term capital growth by investing in a diversified portfolio of equity and equity-related instruments of large-cap companies. The fund has been in existence for over a decade and has provided average annual returns of around 15%. It is important to note that this fund is suitable for investors with a minimum investment horizon of 5-7 years and carries a very high risk. As with all equity funds, investors must use the SIP route for investment.

How to invest in Axis Bluechip Fund SIP online

Investing in the Axis Bluechip Fund SIP online is a straightforward process that can be completed in just a few minutes. Here is a step-by-step guide to help you get started:

• Visit the official website of Axis Mutual Fund or use platforms like MF Central, MF Utility, or ET Money.
• Look for the 'Invest Now' button, typically located on the top right-hand side of the page.
• Enter your email address and choose whether you want to make a one-time investment or start a Systematic Investment Plan (SIP). Specify the amount you wish to invest.
• Provide additional details, including the bank account from which you will be making the payment.
• Review your investment details and confirm your investment.

By following these simple steps, you will have successfully invested in the Axis Bluechip Fund SIP online. Remember to assess your financial goals and risk tolerance before investing, and consider consulting a financial advisor for personalised advice.

Understanding the Axis Bluechip Fund

The Axis Bluechip Fund is a large-cap mutual fund scheme that aims to generate long-term capital growth. It invests predominantly in equity and equity-related instruments of large-cap companies, offering a conservative investment strategy. This fund is suitable for investors who are comfortable with a very high level of risk and are seeking high returns over a period of at least 3-4 years. It is important to note that you should only invest in this fund if you are prepared to stay invested for at least five years.

Axis Bluechip Fund: Growth and returns

The Axis Bluechip Fund is a large-cap fund that aims to generate long-term capital growth by investing in a diversified portfolio of equity and equity-related instruments of large-cap companies. The fund has been in existence for over 11 years and has delivered average annual returns of 15.88-89% since its inception. The fund's returns are currently better than the category average.

The fund's NAV or Net Asset Value as of 4 October 2024 is 69.59. The fund has an expense ratio of 0.67%, which is lower than what most other large-cap funds charge. The fund has an AUM or Asset Under Management worth ₹35,452 crores as of 30 September 2024, making it a medium-sized fund in its category.

The Axis Bluechip Fund's portfolio is largely conservative, with most of its holdings in Large Cap stocks and debt instruments. As of 31 August 2024, the fund had 96.30-97.05% investment in equities, 2.52-4.11% in debt, and 0.42% in other instruments. The fund has the majority of its investments in the Financial, Services, Technology, Automobile, and Energy sectors.

The fund's top holdings include stocks of companies like HDFC Bank Ltd., ICICI Bank Ltd., Reliance Industries Ltd., Tata Consultancy Services Ltd., and Bajaj Finance Ltd.

When investing in the Axis Bluechip Fund, it is important to note that it is suitable for investors who are looking to invest money for at least 3-4 years and are seeking high returns. Investors should also be prepared for the possibility of moderate losses in their investments. Additionally, like all equity funds, investments in the Axis Bluechip Fund must be made only through the SIP route.

Axis Bluechip Fund: Expense ratio and exit load

The Axis Bluechip Fund has an expense ratio of 1.56% for the regular plan and 0.67% for the direct plan. The expense ratio is the annual fee charged by the mutual fund company for managing your investments in that fund. It is taken as a percentage of the fund's Assets Under Management (AUM).

The fund also has an exit load of 1% for units in excess of 10% of the investment, charged for redemption within 12 months. The exit load is a fee payable to a mutual fund house for exiting a fund before the completion of a specified period from the date of investment.

Axis Bluechip Fund: Risk and volatility

The Axis Bluechip Fund is considered a very high-risk investment option. It has a very high-risk rating on SEBI's Riskometer. The fund has a history of volatility, with a standard deviation value indicating unpredictable performance. Its beta value is also higher than similar funds in the market, suggesting that its performance is more volatile than its peers.

The fund's ability to deliver consistent returns is lower than most funds in its category, and its ability to control losses in a falling market is low. The fund's performance has been described as "relatively weak" when compared to its peers.

The Axis Bluechip Fund has a Sharpe ratio that indicates poor risk-adjusted returns. The Treynor's ratio also suggests that the fund has delivered poor returns for the amount of risk taken. The fund's alpha value indicates that it has not generated additional returns compared to its benchmark.

While the fund has a history of volatility, it is important to note that it primarily invests in large-cap stocks, which are generally less risky than smaller stocks. As such, the fund may be suitable for investors who are comfortable with potential moderate losses and are looking for high returns over a period of 3-4 years.

Axis Bluechip Fund: Asset allocation and investment horizon

The Axis Bluechip Fund is an open-ended large-cap equity scheme that falls under the Equity: Large Cap category of funds. The fund was launched in January 2010 and is managed by Shreyash Devalkar and Ashish Naik.

As of 30 September 2024, the fund had assets under management (AUM) of ₹35,452 crores, making it a medium-sized fund in its category. The expense ratio of the direct plan is 0.67%, which is lower than that of most other large-cap funds.

The investment objective of the Axis Bluechip Fund is to generate long-term capital growth by investing in a diversified portfolio of equity and equity-related instruments of large-cap companies. The fund has delivered average annual returns of 15.88% since its inception and has doubled the money invested every four years.

In terms of asset allocation, as of 31 August 2024, the fund had invested 97.05% in equities, 2.52% in debts, and 0.42% in cash and cash equivalents. The fund primarily invests in the financial, services, technology, automobile, and energy sectors. The top holdings include companies like HDFC Bank Ltd., ICICI Bank Ltd., Reliance Industries Ltd., and Tata Consultancy Services Ltd.

The suggested investment horizon for the Axis Bluechip Fund is more than three years. This is the minimum time required to reduce downside risk and make returns more predictable.

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