Aditya Birla Sun Life Special Opportunities Fund launched by Aditya Birla Sun Life AMC raised Rs. 409 crore through new fund offering. The NFO was open for two weeks and closed on October 19, 2020. A Balasubramanian, MD & CEO, Aditya Birla Sun Life AMC, said that regardless of the challenges posed by the pandemic, the fund attracted more than 44,000 applications from over 360 locations.
He acknowledged the contribution made by the distribution channels diversified across the board towards the success of the NFO. He also added that the technology strength of the company aided in beating the logistical constraints raised by the pandemic. Senior Fund Manager Anil Shah manages this thematic equity fund. He has nearly 30 years of experience in equity research and investments. The fund management team includes Chanchal Khandelwal and Vinod Bhat.
A Balasubramanian said that the interest received by the fund reflects a growing appetite for equity investments in the country. The rise in equity investments is driven by India’s potential for future growth. ABSL Special Opportunities Fund is a “very unique and nuanced” investment offering, he said. He believes that the timing of the launch was perfect, there are already positive developments in the market, and going forward they are planning to take advantage of several unique opportunities. In an earlier statement, he said that the market was already in a special situation, and it was just the right time to benefit from special events like emerging trends, and evolving business, etc.
Aditya Birla Sun Life Special Opportunities Fund invests in companies that would possibly benefit from special situations. Events like government policy change, mergers & acquisitions, management change, global events, business restructuring, etc. will create situations in the market, business, industry, or company which in turn will create special investment opportunities.
The companies that come under this special situation category are available at prices that do not reflect their true value. The fund manager identifies such stocks and waits for their true value to unlock leading to a sharp rise in price. There is a wide range of possibilities for such events, an example of such special events that happened recently are Atmanirbhar Bharat, the pandemic, change in lifestyle, government’s divestment plans, etc.
