DSP MF launches Business Cycle Fund; NFO closes on Dec 11

DSP Mutual Fund has today launched a fund based an open-ended equity based on the business cycles-based investing theme, called 'DSP Business Cycle Fund'. This new schemes offers investment opportunity across various market capitalizations, including large, mid and small cap companies.

The NFO (New Fund Offer) for the DSP Business Cycle Fund is already open for subscription today, November 27, and will close on December 11, 2024.

Benefits of the new scheme

• This new fund offers investors chance to enter and exit themes at the right time.


• Offers flexibility for active allocation of significant weights to industries in an upcycle.


• The fund allocates assets to industries and sectors that exhibit strong growth potential, improving fundamentals, and attractive valuations.


• The fund also offers an unconstrained investment approach across market capitalizations, enabling investors to participate in growth opportunities regardless of company size.

How does DSP Business Cycle Fund manage risk?

The DSP Business Cycle Fund uses various strategies including portfolio hedging through put options and arbitrage opportunities to limit investment risk.

Furthermore, it maintains the flexibility to invest up to 10% of its portfolio in Real Estate Investment Trusts (REITs) or Infrastructure Investment Trusts (InvITs) when equity market opportunities are limited.

“DSP Business Cycle Fund is strategically designed to navigate through different phases of business cycles while managing risks effectively,” said Charanjit Singh, Fund Manager, DSP Mutual Fund.

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