Edelweiss NIFTY PSU Bond Plus SDL Apr 2026 50:50 Index Fund
Date Published: June 13, 2024
FUND FACTS
|
Nature |
Open ended |
Fund Manager |
Mr. Dhawal Dalal / Mr. Rahul Dedhia |
|
Inception Date |
18-Mar-21 |
Benchmark Index |
Nifty PSU Bond Plus SDL Apr 2026 50:50 Index |
|
NAV (Rs.) |
11.82 ( 4-Apr-2024 ) |
Corpus (Rs.in Crs.) |
10062.74 ( Feb-2024 ) |
|
Investment Objective |
The investment objective of the scheme is to track the Nifty PSU Bond Plus SDL Apr 2026 50:50 Index by investing in AAA rated CPSE Bonds and SDLs, maturing on or before April 2026, subject to tracking errors. However, there is no assurance that the investment objective of the Scheme will be realized and the Scheme does not assure or guarantee any returns. |
||
Target Maturity Debt fund
Target maturity debt fund (TMDF) is a debt mutual fund that matures, like an FD, on a particular date. The portfolio of these funds, based on the fund mandate, is a mix of one or more of the following types of bonds:
- gilt bonds: these are issued by RBI and are for the central government
- SDL bonds: these are issued by the individual state government to fund various projects and other purposes
- CPSE and PSU bonds: bonds used by either PSU or CPSE companies
In most cases, the funds are benchmarked against a bond index launched by an index provider like Crisil, NSE or others and are run in a passive fashion. These funds are launched in three formats:
- ETF tracking the index
- Fund of fund (FoF) investing in the ETF
- Index fund tracking the index
Essentially, a TMF locks the money at the current yield prevailing in the bond market. Buying bonds at current prices with current (high) yields and then staying invested in them till maturity remains the core idea.
PORTFOLIO COMPOSITION
It’s an Open ended Target Maturity Index Fund that seeks to track Nifty PSU Bond Plus SDL Apr 2026 50:50 Index. The fund has 95.23% of its net assets invested into debt, balance 4.77% in other or cash instruments. It may be observed that the Quarterly Average AUM of the fund for the end of December 2023 is Rs. 1276.95 crores.
Advantages of Target Maturity Funds
- Invest primarily in AAA rated PSU Bonds and SDL which are considered to be Sovereign debt and hence default-risk free.
- Returns are predictable and close to the Yield at which purchase occurs, if held to maturity.
- "Potential for capital gains profit bookings, if interest rates were to decline going forward".
| Table: 1 | ||
|---|---|---|
| Top 10 Holdings (% in N.A) | Feb -24 | Ratings |
| 7.4 National Bank For Agriculture & Rural Development (Nabard) Jan 30 2026 | 10.85 | AAA |
| 7.58 Power Finance Corporation Ltd. Jan 15 2026 | 6.00 | AAA |
| 7.54 Small Industries Development Bank Of India Jan 12 2026 | 5.19 | AAA |
| 7.1 Export Import Bank Of India Mar 18 2026 | 5.08 | AAA |
| 7.23 Small Industries Development Bank Of India Mar 9 2026 | 4.67 | AAA |
| 8.38 Karnataka Sdl Jan 27 2026 | 3.39 | Sovereign |
| 6.18 Gujarat SDL Mar 31 2026 | 2.92 | Sovereign |
| 8.51 Maharashtra SDL Mar 9 2026 | 2.69 | Sovereign |
| 8.54 Bihar SDL Feb 10 2026 | 2.49 | Sovereign |
| 8.28 Karnataka Sdl Mar 6 2026 | 2.28 | Sovereign |
Table: 3 Riskometer and Benchmark Riskometer
Source: Factsheet Feb 24
About the Fund
- Edelweiss NIFTY PSU Bond Plus SDL Apr 2026 50:50 Index Fund Direct - Growth is a Target Maturity mutual fund scheme from Edelweiss Mutual Fund.
- Edelweiss NIFTY PSU Bond Plus SDL Apr 2026 50:50 Index Fund Direct - Growth has ₹ 10062.7 ( Feb-2024 ) Crores worth of assets under management (AUM) as on Feb 2024 and is medium-sized fund of its category.
- The scheme's ability to deliver returns consistently is in-line with most funds of its category. Its ability to control losses in a falling market is average.
- The top holdings of the fund include National Bank For Agriculture And Rural Development, Power Finance Corporation Ltd., Small Industries Development Bank Of India & Export Import Bank Of India.
