Axis Greater China Equity Fund of Fund

Axis Greater China Equity Fund of Fund is an international equity mutual fund that invests in the Schroders ISF Greater China as its underlying scheme.

The fund provides Indian investors access to equity opportunities across China, Hong Kong, and Taiwan, using Schroders’ active stock-selection strategy.

The entire investment strategy—stock selection, sector allocation, and regional positioning—belongs to the underlying scheme, Schroders ISF Greater China.

 
Axis Greater China Equity Fund of Fund simply mirrors this strategy through a fund-of-fund structure, enabling Indian investors to participate via a domestic mutual fund.

The Schroders ISF Greater China focuses on:
•    Bottom-up stock selection
•    Identifying companies with strong competitive positioning
•    Selective exposure to innovation, consumption, financials, and industrial themes
•    Active regional and sector allocation based on market conditions
The aim is to outperform the benchmark over a full market cycle.

No.
While technology is an important part of the Greater China market, the underlying strategy invests across multiple sectors, including:
•    Information Technology
•    Consumer Discretionary
•    Financials
•    Communication Services
•    Industrials*
Sector exposure is actively managed based on valuations, earnings outlook, and macro conditions.

Recent performance was influenced by:
•    Profit-taking in Chinese equities
•    Weakness in large-cap technology stocks
•    Concerns around property markets and deflationary trends
•    Regional divergence, with Hong Kong benefiting from capital inflows, while Taiwan corrected sharply
Despite volatility, the underlying fund outperformed its benchmark over the period.

The Schroders strategy actively manages:
•    Policy uncertainty
•    Property-sector stress
•    Consumer confidence trends
•    Geopolitical developments, including US-China relations
Rather than making broad macro calls, the focus remains on company fundamentals and valuation discipline.

The underlying strategy believes:
•    Valuations in China have largely normalised
•    Liquidity conditions remain supportive
•    Any sustained recovery depends on effective policy measures addressing consumer income, social security, and real-estate stress
Upside is expected to be earnings-led, not sentiment-driven.

Taiwan plays a significant role due to its:
•    Dominance in global semiconductor supply chains
•    Exposure to AI-related capital expenditure
However, the strategy actively manages Taiwan exposure, especially during periods of:
•    Elevated valuations
•    Short-term sentiment corrections in technology stocks

Key risks include:
•    Higher volatility in emerging and regional markets
•    Policy and regulatory uncertainty in China
•    Currency risk due to overseas investments
•    Geopolitical risks impacting capital flows
This fund may not suit  short-term or low-risk investors.

Investors can consider a minimum horizon of 5 years or more.

Greater China equities tend to move in cycles influenced by policy, liquidity, and global growth, making patience critical for long-term outcomes.

No.
Given its regional and equity-focused nature, this fund is better suited for investors who:
•    Have a high risk appetite
•    Understand emerging market volatility
•    Can stay invested through drawdowns

Axis Greater China Equity Fund of Fund can act as:
A way to access Asian growth outside India
A diversification tool alongside Indian and global developed-market funds

Investors will be bearing the recurring expenses of the scheme in addition to the expenses of other schemes in which Fund of Funds scheme makes investment

Sector(s)/ Stock(s)/ Issuer(s) mentioned above are for the purpose of disclosure of the portfolio of the Scheme(s) and should not be construed as recommendation.

Mutual Fund Investments are subject to market risks, read all scheme related documents carefully