HYBRID
Unifi Dynamic Asset Allocation Fund
An open-ended dynamic asset allocation fund
An open-ended hybrid mutual fund scheme that invests in a dynamically managed portfolio of debt and equity with an intent to generate income and capital appreciation over the medium to long term.
- Direct
- Regular
0.026%
- Fund Facts
- Documents
- Fund Managers
Fund Facts
To generate income and/or capital appreciation by investing in a dynamically managed portfolio of fixed income instruments, equity & equity derivatives and other permissible equity/hybrid instruments.*
*However, there is no assurance that the investment objective of the scheme will be achieved. The scheme does not guarantee or assure any returns.- This product is suitable for investors who are seeking*
- Income generation and Capital appreciation over medium to long term.
- Investment in diversified portfolio of debt, money market, equity and equity related instruments while managing risk through active asset allocation.
- Investors understand that their principal will be at high risk.
- Benchmark Risk-o-meter is high.
*Investors should consult their financial advisers if in doubt about whether the product is suitable for them.
The product labeling assigned during the NFO is based on internal assessment of the Scheme characteristics or model portfolio and the same may vary post NFO when the actual investments are made.
- Scheme Code UNFI/O/H/DAA/25/01/0001
Minimum Investment
- Fresh Purchase (Lumpsum) Rs. 5000
- Additional Purchase Rs. 1000
- Systematic Investment Plan (SIP) Rs. 500
- Entry Load Nil
- Exit Load (In case of units are redeemed/switched out)
- Within 12 months from the date of allotment
- Upto 20% of units Nil
- In excess of 20% of units 1.5% of applicable NAV
- Post 12 months Nil
To generate income and/or capital appreciation by investing in a dynamically managed portfolio of fixed income instruments, equity & equity derivatives and other permissible equity/hybrid instruments.*
*However, there is no assurance that the investment objective of the scheme will be achieved. The scheme does not guarantee or assure any returns.- This product is suitable for investors who are seeking*
- Income generation and Capital appreciation over medium to long term.
- Investment in diversified portfolio of debt, money market, equity and equity related instruments while managing risk through active asset allocation.
- Investors understand that their principal will be at high risk.
- Benchmark Risk-o-meter is high.
*Investors should consult their financial advisers if in doubt about whether the product is suitable for them.
The product labeling assigned during the NFO is based on internal assessment of the Scheme characteristics or model portfolio and the same may vary post NFO when the actual investments are made.
- Scheme Code UNFI/O/H/DAA/25/01/0001
Minimum Investment
- Fresh Purchase (Lumpsum) Rs. 5000
- Additional Purchase Rs. 1000
- Systematic Investment Plan (SIP) Rs. 500
- Entry Load Nil
- Exit Load (In case of units are redeemed/switched out)
- Within 12 months from the date of allotment
- Upto 20% of units Nil
- In excess of 20% of units 1.5% of applicable NAV
- Post 12 months Nil
Documents
Fund Managers
V N Saravanan
A Chartered Accountant with 20+ years of experience in fund management, capital market research, banking and audit. Saravanan has been associated with Unifi group since 2006. He was the Fund Manager for an open-ended CAT-III multi asset class AIF for 11 years between FY14 to FY24. Earlier in the equity research division, he was tracking Pharmaceuticals, Specialty Chemicals and Financial Services sector. Prior to Unifi, he worked in ICICI bank’s treasury & corporate mid-office group and PwC’s due diligence & assurance division.
Aejas Lakhani
12+ years of experience in fund management, equity research and governance advisory. He has done his MBA (Finance) from the Asian Institute of Management (Manila). Over the last 4 years, Aejas has been managing the consumption themed equity fund at Unifi group. He was also tracking sectors such as Pharmaceuticals, Logistics, Retail and Capital Markets. Earlier he has worked as an Analyst in the Institutional Investor Advisory Services Firm and Edelweiss Asset Management Limited.
Karthik Srinivas
A Chartered Accountant with 10+ years of experience in across functions like fund management, research, risk management & audit. Over the last 4 years, Karthik has been co-managing debt strategies at Unifi group in its PMS division. He was responsible for identifying high-yield fixed income and hybrid opportunities, evaluation and monitoring. Earlier, he was part of The Sanmar Group, working in their Founders’ Office and with Deloitte in their Risk Advisory practice.
Investible Segments
- G-sec & T-bills
- PSU & PFI debt / CPs / CDs Corporate AAA & AA rated debt / CPs
- AA-, A & BBB rated corporate debt / CPs
- Below BBB rated bonds
G-sec & T-bills
- Safest form of a debt instrument, backed by Central Government
- Tactical allocation to increase or decrease portfolio duration based on economic cycle
- Highly liquid
PSU & PFI debt / CPs / CDs Corporate AAA & AA rated debt / CPs
- Returns with good liquidity
- Tactical play on duration, basis economic cycle
- Diversified allocation across multiple sectors
- Bottom-up evaluation of each opportunity by in-house team without bias to rating
AA-, A & BBB rated corporate debt / CPs
- Hold-to-maturity approach with an intent to benefit from higher yields
- Tactical allocation to take advantage of potential rating upgrades and company specificpositive developments
- Each investment is made after detailed due diligence on business fundamentals and corporate governance
- Rigorous post-investment monitoring & covenants compliance
Below BBB rated bonds
- Cash-futures arbitrage
- Corporate events arbitrage*
- Large & Mid-cap equity
- Small-cap equity
- Open derivatives
Cash-futures arbitrage
- Uncorrelated to market cycles
- Minimizes return volatility and protects downside risk
- Enhances liquidity of the portfolio with capital preservation
Corporate events arbitrage*
Participate in corporate events like buy-backs, delisting, open offers and IPO that inherently have low correlation to economic cycles and market volatility
Evaluation criteria
- Sufficient liquidity in the scrip
- Promoter and Management assessment
- Corporate Governance record
- Proprietary model to estimate acceptance ratios
- Sensitivity analysis
*Open offers / buy-backs / IPOs / delisting
Large & Mid-cap equity
- Opportunistic trade on a highly selective, leveraging our access to the in-depth research and equity strategies
- Take advantage of temporary severe market price volatility caused by regulatory actions, political changes, force majeure events (like COVID) which tend to invariably reverse to normalcy (mean-reversion)
Small-cap equity
Open derivatives
No allocation
Refer to SID & SAI for further details | Dynamic debt refers to allocation across the rating and duration spectrum |
Controlled equity means majority allocation to cash-futures arbitrage to reduce portfolio volatility
Sources of yield & yield enhancers
-
Alternative NBFCs (Core Portfolio)
Robust & well managed Alt. NBFCs that cater to retail and MSME end-borrowers. We find superior risk-adjusted yields characteristics of securities rated AA- to BBB-.
-
Mid-Market Corporates
‘End-use’ restrictions and sectoral risks require a specialized underwriting skill-set.
-
Hybrid INVITs / REITs
There is a dual opportunity to profit from Spread Trade as well as higher Carry Trade.
-
Liquid AAA, AA, A+ bonds / Cash
High grade bonds satisfy liquidity management.
-
Alternative NBFCs (Core Portfolio)
Robust & well managed Alt. NBFCs that cater to retail and MSME end-borrowers. We find superior risk-adjusted yields characteristics of securities rated AA- to BBB-.
-
Mid-Market Corporates
‘End-use’ restrictions and sectoral risks require a specialized underwriting skill-set.
-
Hybrid INVITs / REITs
There is a dual opportunity to profit from Spread Trade as well as higher Carry Trade.
-
Liquid AAA, AA, A+ bonds / Cash
High grade bonds satisfy liquidity management.
Key Fund Principles
-
Macro cognisant allocation
Domestic GDP growth and inflation are the key macro-economic variables that impact market prices and volatility of various segments of debt and equity.
The fund’s allocation among the chosen segments will be guided by the evolving growth inflation outlook. The portfolio will gravitate towards low volatile segments in the ‘falling growth-rising inflation’ cycle whereas the focus will be on yield optimisation in the favourable ‘rising growth-falling inflation’ cycle.
-
Bottom-up investment diligence
The top-down segment allocation is followed up with a detailed bottom-up due diligence of the opportunities covering the fundamentals,
prospects, governance and valuation aspects. There is no mechanical allocation to any sub-segment. They must clear our assessment parameters and make sense to our risk adjusted returns target.
-
Responsible diversification
Diversification is an intrinsic element of risk management.
It is also returns-dilutive if done excessively and hence we will strive to have a prudent balance. The portfolio will have responsible concentration limits in terms of sector, company, tenor, ratings and sub-segments besides stringent adherence to the regulatory boundaries.
-
Sensible liquidity profile
Appropriate allocation to the highly liquid instruments like government securities, AAA-rated bonds,
cash-futures arbitrage positions will be maintained at all times considering the open-ended nature of the fund. The corporate bond investments will typically have a low duration and principal amortisation features to enhance the liquidity profile.
Independent in-house underwriting establishes a rigorous evaluation standard for debt investing through our bottom-up research framework. Our fundamental research framework enables a distinct investment approach pre & post investment, applying an equity-like methodology to debt investments for superior analysis and risk management.
Our portfolio is designed to minimize sharp swings in portfolio values due to interest rates movements. Low duration, amortising principal structure, exposure to high quality borrowers provide inherent interest rate risk mitigation.
Constant allocation to TREPs/ G-secs/highly liquid debt instruments and cash arbitrage segments to manage liquidity. Periodical cashflows from debt repayments and interest payments also provide liquidity buffer.
Regulatory limits imposed on sector and single company exposure prevents the portfolio to be concentrated.
| RTAFUNDID | Scheme Name | NAV Date | NAV Amount |
|---|---|---|---|
| DAFRG | UNIFI DYNAMIC ASSET ALLOCATION FUND REGULAR GROWTH | 02-04-2025 | 10.0726 |
| DAFDG | UNIFI DYNAMIC ASSET ALLOCATION FUND DIRECT GROWTH | 02-04-2025 | 10.0761 |
| DAFRG | UNIFI DYNAMIC ASSET ALLOCATION FUND REGULAR GROWTH | 01-04-2025 | 10.0522 |
| DAFDG | UNIFI DYNAMIC ASSET ALLOCATION FUND DIRECT GROWTH | 01-04-2025 | 10.0554 |
| DAFRG | UNIFI DYNAMIC ASSET ALLOCATION FUND REGULAR GROWTH | 31-03-2025 | 10.0541 |
| DAFDG | UNIFI DYNAMIC ASSET ALLOCATION FUND DIRECT GROWTH | 31-03-2025 | 10.0572 |
| DAFRG | UNIFI DYNAMIC ASSET ALLOCATION FUND REGULAR GROWTH | 28-03-2025 | 10.0515 |
| DAFDG | UNIFI DYNAMIC ASSET ALLOCATION FUND DIRECT GROWTH | 28-03-2025 | 10.0541 |
| DAFRG | UNIFI DYNAMIC ASSET ALLOCATION FUND REGULAR GROWTH | 27-03-2025 | 10.0378 |
| DAFDG | UNIFI DYNAMIC ASSET ALLOCATION FUND DIRECT GROWTH | 27-03-2025 | 10.0402 |
| DAFRG | UNIFI DYNAMIC ASSET ALLOCATION FUND REGULAR GROWTH | 26-03-2025 | 10.0276 |
| DAFDG | UNIFI DYNAMIC ASSET ALLOCATION FUND DIRECT GROWTH | 26-03-2025 | 10.0299 |
| DAFRG | UNIFI DYNAMIC ASSET ALLOCATION FUND REGULAR GROWTH | 25-03-2025 | 10.0257 |
| DAFDG | UNIFI DYNAMIC ASSET ALLOCATION FUND DIRECT GROWTH | 25-03-2025 | 10.0278 |
| DAFRG | UNIFI DYNAMIC ASSET ALLOCATION FUND REGULAR GROWTH | 24-03-2025 | 10.0240 |
| DAFDG | UNIFI DYNAMIC ASSET ALLOCATION FUND DIRECT GROWTH | 24-03-2025 | 10.0260 |
| DAFRG | UNIFI DYNAMIC ASSET ALLOCATION FUND REGULAR GROWTH | 21-03-2025 | 10.0187 |
| DAFDG | UNIFI DYNAMIC ASSET ALLOCATION FUND DIRECT GROWTH | 21-03-2025 | 10.0202 |
| DAFRG | UNIFI DYNAMIC ASSET ALLOCATION FUND REGULAR GROWTH | 20-03-2025 | 10.0179 |
| DAFDG | UNIFI DYNAMIC ASSET ALLOCATION FUND DIRECT GROWTH | 20-03-2025 | 10.0192 |
| DAFRG | UNIFI DYNAMIC ASSET ALLOCATION FUND REGULAR GROWTH | 19-03-2025 | 10.0102 |
| DAFDG | UNIFI DYNAMIC ASSET ALLOCATION FUND DIRECT GROWTH | 19-03-2025 | 10.0114 |
| DAFRG | UNIFI DYNAMIC ASSET ALLOCATION FUND REGULAR GROWTH | 18-03-2025 | 10.0078 |
| DAFDG | UNIFI DYNAMIC ASSET ALLOCATION FUND DIRECT GROWTH | 18-03-2025 | 10.0088 |
| DAFRG | UNIFI DYNAMIC ASSET ALLOCATION FUND REGULAR GROWTH | 17-03-2025 | 10.0039 |
| DAFDG | UNIFI DYNAMIC ASSET ALLOCATION FUND DIRECT GROWTH | 17-03-2025 | 10.0047 |