Mumbai, Feb 7 (UNI) Encashing on the prevailing volatility in the capital market, two Asset Management Companies today launched their open-ended equity funds claiming that there are positive indicators for investors to look ahead for long-term investments.
Morgan Stanley has launched an open-ended equity scheme -- Morgan Stanley Across Capitalisations Equity (ACE) Fund -- with a investment objective of the scheme to generate long-term capital growth, breaking the fourteen year stand-still. While, Mirae Asset will make its first equity fund offering in India through -- Mirae Asset India Opportunities Fund -- which is a open-ended diversified equity fund.
Both the fund issues will be open for purchase from February 11 to March 10 and for both the new fund, offer has been priced at Rs 10 per unit plus entry load, the companies informed today.
The firms were having an opinion in common, in accordance with their market research and analysis, that the Indian capital market was passing through a phase of correction and consolidation for last few months and the trend seemed to extend further.
The current prevailing volatility might continue in the future sessions depending on the global cues. The expected possibility of the US Economy heading towards recession might be taken as a positive indicator for the emerging markets including Indian markets.
''In this prospect, emerging markets will be at the positive end, however, the investors need to focus more on the long-term prospects,'' Morgan Stanley Vice President Jayesh Gandhi opined.
On the same sentiments, Mirae Asset Head Equity Gopal Agarwal said, ''Indian markets are economically decoupled but financially coupled with the US market.'' He argued that the Indian market comprises various sectoral bases and no single sectoral has a majority share in the market. It was totally phenomenal during the past studies that if one sector has delivered good performance in one year, it will definitely perform well in the next. ''Sectoral bases keep on rotating from time to time, thus investors need not be dependent on any particular sector,'' Mr Gandhi added.
With the opinion that there is now a significant interest in mutual funds, Morgan Stanley expects that the emerging markets will be a favoured destination as well as the wealth creator for investors for long-term investments in near future.
UNI PP NM AG1805