Aditya Birla Sun Life Mutual Fund has announced the launch of a new Target Maturity Fund. The Aditya Birla Sun Life CRISIL-IBX AAA NBFC-HFC Index-Sep 2026 Fund will focus on India’s leading Non-Banking Financial Companies (NBFCs) and Housing Finance Companies (HFCs), the mutual fund house said.

This open-ended debt fund will offer a structured investment approach with moderate interest rate risk and low credit risk.

The New Fund Offer (NFO) is open for subscription from September 30 to October 7, 2024.

The fund will track the CRISIL-IBX AAA NBFC-HFC Index-Sep 2026, giving investors exposure to top-rated corporate bonds.
The portfolio will consist entirely of AAA-rated bonds.

The fund’s strategy is to follow a “Buy & Hold” approach, with semi-annual rebalancing in April and October until the index matures on September 30, 2026.

A Balasubramanian, Managing Director & CEO of Aditya Birla Sun Life AMC, noted that the bond market at 2- and 3-year maturities is offering decent yields and stability.

“Investors can benefit from this yield, with the added possibility of price appreciation if rates decline,” he said.

This makes the fund ideal for those looking for a stable, high-quality debt investment over the next 3 to 24 months, as per the fund house.

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