PPFAS ‘s Popular Fund is going to accept fresh inflows once again from March 15th,2022

We all know that PPFAS amc’s flagship scheme “Parag Parikh Flexicap Fund” has ceased fresh inflows due to sebi’s regulation. According to SEBI domestic mutual funds AUM(Assets Under Management)should not cross $7 billion to invest in overseas securities(Foreign stocks). As industry’s AUM has crossed $7 billion recently, as per sebi’s regulation PPFAS mf has stopped accepting fresh inflows.

Even though SEBI didn’t modified the regulations, PPFAS mf has decided to accept fresh transactions by modifying their fundamental attributes of investing 20-25% in foreign stocks(overseas securities)to domestic securities.

So there might be a slight change in scheme’s performance in the coming months until there is a nod from sebi to invest in overseas markets further. Currently 28-29% of the overall portfolio is in overseas securities where this proportion will be allotted to domestic securities(Indian shares)until there is a nod from sebi regarding enhancement of AUM.

Up to now Parag Parikh Flexi Cap Fund performance is excellent with a long track record. But do remember this is possible by allocating funds to overseas stocks too. From March 15th,2022 the PPFAS amc(Parag Parikh Flexi Cap Fund)is going to reallocate their overall portfolio to domestic stocks(Indian Shares)only.

Do remember this allocation is temporarily until there is a nod from sebi regarding enhancement of AUM to overseas stocks.

So if you are keen to invest in parag parikh flexi cap do watch the performance of the scheme for a few weeks and if you found the scheme’s performance is up to the mark then invest in this scheme.

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