Introduction
Large Cap companies tend to be well known and established in their respective sectors/areas. Some of these companies are household names Many of us use these products/services in our day to day life. In essence, Large cap companies are known for producing high-quality goods and enjoy better brand recall.
Large Cap companies tend to be well known and established in their respective sectors/areas. Some of these companies are household names Many of us use these products/services in our day to day life. In essence, Large cap companies are known for producing high-quality goods and enjoy better brand recall.
What is PGIM India Large Cap Fund?
PGIM India Large Cap Fund is an actively managed open-ended fund which scouts for companies with high quality and growth potential.
While scouting for the best companies in this space, the fund looks at the fundamentals of the business, the industry structure, the quality of management, sensitivity to economic factors, the financial strength of the company and key earnings drivers, among others.
Where does PGIM India Large Cap Fund invest?
The fund invests 80% of total assets in Large Cap stocks and the remaining 20% in other equities and debt securities.
What are the benefits of investing in PGIM India Large Cap Fund?
- Provides an opportunity to own India’s large businesses spread across different industries and sectors.
- Relatively less prone to market fluctuations as compared to small cap stocks.
- Relatively less prone to market fluctuations as compared to small cap stocks.
- Offers stability to your portfolio.
- Invests in market leaders.
Why you should invest in PGIM India Large Cap Fund?
- Suitable for investors who are looking to build their core equity portfolio.
- Investors who wish to invest in well-established companies with a long track record.
How long should I stay invested in PGIM India Large Cap Fund?
Since Large Cap Funds are meant for your long term goals, you should ideally have five years plus investment horizon while investing in this fund. Having a long term horizon helps in compounding your wealth.
FAQs
Should you do SIP or invest lumpsum in Large Cap Fund?
Investing through SIP helps you accumulate more units when markets fall. You can decide to allocate lumpsum or SIP as per your cash flows. When market valuations are high, it is advisable to stagger your investments in an Equity Fund.
How to invest in PGIM India Large Cap Fund?
There are several options to invest.
Do consult your financial advisor before investing to understand if the fund fits into your risk profile.
Can I invest through SIP and lumpsum mode in PGIM India Large Cap Fund?
- You can invest lumpsum as well as through SIP mode.
- The minimum application amount under this fund is Rs 5,000 for a lumpsum transaction. You can invest a minimum of Rs 1,000 as additional investment.
- You need to commit at least 5 installments (monthly or quarterly) with a minimum of Rs 1,000 per installment if you invest through SIP
What frequency/dates are allowed for Systematic Investment Plan (SIP), Systematic Transfer Plan (STP) and Systematic Withdrawal Plan (SWP) transactions in PGIM India Small Cap Fund?
- SIP: Monthly and quarterly SIP transactions are permitted except for the 29th, 30th, and 31st day of the month or quarter.
- STP: :Daily, Weekly, Monthly and Quarterly. 5 instalments of Rs 1,000/- and in multiples of ` 1/- thereafter to all open ended schemes except PGIM India ELSS Tax Saver Fund.
- SWP: Monthly, Quarterly and Annually.
How is PGIM India Large Cap Fund taxed?
- Short Term Capital Gains: 15% on gains if sold before 12 months.
- Long Term Capital Gains Tax: Gains of up to 1 lakh (sold after 12 months) are tax free. Gains above 1 lakh are taxed at 10%.