The securities quoted are for illustration only and are not recommendatory.
Returns are on a rolling basis and in %. Direct Plan-Growth option. Those depicted over 1-Yr are compounded annualised. Risk ratios are calculated over a 3-year period assuming a risk-free rate of 6% p.a.
Data as of August 06, 2024
(Source: ACE MF, data collated by PersonalFN)
Please note, this table only represents the best-performing funds based solely on past returns and is NOT a recommendation. Mutual Fund investments are subject to market risks. Read all scheme-related documents carefully before investing. Past performance is not an indicator for future returns. The percentage returns shown are only for indicative purposes.<\/strong><\/p>\n\n\n\n

Quant Multi Asset Fund has registered superior growth across most time frames. In the last 1-year, 2-year and 3-year periods, the fund generated a remarkable lead over the category average of around 6 percentage points on a rolling returns basis and also significantly outperformed the CRISIL Hybrid 35-65 Aggressive index. Over the longer time frames of 5 years and 7 years, Quant Multi Asset Fund tops the returns chart with a lead of 7-13 percentage points over the index and 6-10 percentage points over the category average.<\/p>\n\n\n\n

The volatility (standard deviation) registered by Quant Multi Asset Fund at 14.11% is the highest in the category and much higher than the benchmark’s 9.48% and the category average of 8.91%. However, the remarkable returns in recent years has enabled it to reward its investors handsomely by generating superior risk-adjusted returns as denoted by its Sharpe ratio.<\/p>\n\n\n\n

What is the investment strategy of Quant Multi Asset Fund?<\/strong><\/p>\n\n\n\n

Being categorised as a Multi Asset Allocation Fund, Quant Multi Asset Fund is mandated to invest a minimum of 10% of its assets in three different asset classes. Accordingly, the fund focuses on dynamic management of the portfolio across equity, debt, and gold to navigate the tides of volatility with an aim to offer satisfactory risk-adjusted returns.<\/p>\n\n\n\n

The scheme follows the fund house’s proprietary VLRT framework viz. Valuations, Liquidity, Risk, and Timing to determine allocation into each of the three asset classes. Here are the key features of the framework:<\/p>\n\n\n\n

Valuation Analytics: Knowing the difference between price and value<\/p>\n\n\n\n

Liquidity Analytics: Understanding the flow of money across asset classes<\/p>\n\n\n\n

Risk Appetite Analytics: Perceiving what drives market participants to certain actions and reactions<\/p>\n\n\n\n

Time: Being aware of the cycles that govern how the other three dimensions interact<\/p>\n\n\n\n

The fund holds many of its stocks with a short-term view, and as a result, Quant Multi Asset Fund usually recorded a high turnover of 200-350% in the past. Its debt allocation in high credit quality and liquid papers, while it has also invested in Gold and Silver ETFs and REITs & InvITs for diversification.<\/p>\n\n\n\n

What are the top portfolio holdings in Quant Multi Asset Fund?<\/em><\/strong><\/p>\n\n\n\n

<\/p>\n\n\n\n

Holding in (%) as of June 30, 2024
(Source: ACE MF, data collated by PersonalFN)\u00a0<\/p>\n\n\n\n

As of July 31, 2024, Quant Multi Asset Fund allocated 40.6% of its assets in equities, 10.4% in Derivatives – Futures, 10.4% in Gold and Silver ETFs, 5.9% in REITs & InvITs, 10% in debt instruments, and the balance in cash. QMAF invests in a compact portfolio of about 10-20 stocks. It currently holds higher exposure to large-cap names such as ITC, LIC of India, Reliance Industries, JIO Financial Services, and Tata Power. The top 5 stocks account for 38% of its assets. It also currently holds significant exposure to derivatives for hedging purpose.<\/p>\n\n\n\n

In the last two years, Quant Multi Asset Fund benefitted the most from its holdings in Reliance Industries, LIC of India, JIO Financial Services, and Tata Power Company that have risen significantly value since the time the fund added them in its portfolio. Moreover, it booked profit in SAIL, HDFC Bank, Hindalco Industries, Bikaji Foods International, GAIL (India), Jindal Steel & Power, Orchid Pharma, Adani Power, and Britannia Industries.<\/p>\n\n\n\n

Sector-wise, Quant Multi Asset Fund carries substantial allocation to Finance and Consumption that collectively form 35.8% of its assets. It also diversification to Petroleum, Power, Engineering, and Pharma. Its debt allocation comprises exposure to high quality treasury bills and government securities currently carrying average maturity of 0.6 years.<\/p>\n\n\n\n

Is Quant Multi Asset Fund suitable for my investment goals and risk tolerance?<\/strong><\/p>\n\n\n\n

Quant Multi Asset Fund is quick in its approach to shift allocation across market caps, sectors, and asset classes, depending on the market dynamics and outlook. Accordingly, its turnover ratio is higher at around 350%. This strategy has worked in the fund’s favour giving it the opportunity to generate high alpha. Notably, Quant Multi Asset Fund struggled to limit the downside risk during the 2020 market crash but showed a noteworthy recovery in the ongoing bull phase. Thus, the fund has the potential to do well over complete market cycles.<\/p>\n\n\n\n

Due to the dynamic investment strategy and frequent shuffling of the portfolio holdings, the volatility registered by Quant Multi Asset Fund is relatively higher. Nonetheless, it has compensated its investors well by generating higher risk-adjusted returns.<\/p>\n\n\n\n

Quant Multi Asset Fund is suitable for investors looking for an agile scheme in the Multi Asset Fund category with an investment horizon of at least 3-5 years.<\/p>\n\n\n\n

Watch this video to find out the best Multi Asset Funds of 2024:<\/p>\n\n\n\n