Mirae Asset Life Cycle Fund 2056 Reopens for Transactions on October 21

Key Takeaways:

• Mirae Asset Life Cycle Fund 2056 reopened for ongoing transactions on October 21 after its NFO closed on October 12. 
• The scheme follows a predetermined maturity framework and a mandatory glide path that gradually changes its asset allocation over time. 
• The portfolio may invest across equities, debt, money-market instruments, InvITs, gold and silver ETFs and exchange-traded commodity derivatives. 

Mirae Asset Mutual Fund's Life Cycle Fund 2056 reopened for ongoing transactions on October 21, moving into its continuous subscription phase after completing its new fund offer earlier this month. 

The NFO opened on September 28 and closed on October 12. Mirae Asset had specified October 21 as the scheme's reopening date. 

The scheme is structured as an open-ended fund with a predetermined maturity and a mandatory glide path designed around a 2056 investment horizon. 

Its asset allocation is intended to change systematically as the maturity year approaches. The portfolio begins with a greater allocation towards growth-oriented assets and gradually increases its exposure to relatively more defensive assets such as debt and arbitrage. 

The approach differs from a conventional diversified fund where asset allocation may remain within a broadly stable range throughout the scheme's life. In a life-cycle structure, the passage of time itself is built into the allocation framework. 

Mirae Asset says the scheme can invest in a diversified mix of equity and equity-related instruments, debt and money-market securities, infrastructure investment trusts, Gold and Silver ETFs and exchange-traded commodity derivatives. 

The fund is managed by Harshad Borawake for the equity portion, Basant Bafna for debt and Ritesh Patel for commodity investments. Mirae Asset has set the SIP facility at a minimum of ₹99 per month, in multiples of ₹1 thereafter. 

During the NFO, the minimum initial investment was ₹5,000 and in multiples of ₹1 thereafter. 

The fund's predetermined glide path does not guarantee a particular investment outcome or return. Its actual performance will continue to depend on the returns generated by the underlying asset classes over the investment period. 

With the NFO phase completed, investors can now transact in the scheme under its ongoing purchase and redemption framework from October 21.