Posted On Wednesday, Dec 09, 2015
Trust, like all masterpieces is the toughest to form but the easiest to break. This quote very aptly describes Trust - that belief which is the foundation of almost all relationships.
There are so many people we trust without even knowing it; the toothpaste you use is your way of trusting the people working with the manufacturer that they will not put anything in that tube that will harm your teeth or your mouth. You trust the makers of your car to deliver a great product that is economical, environmentally safe and will keep you safe should the worse occur. Your favorite brand of perfume… the list goes on.
Investments and Trust
Let`s just say no investor would invest in any investment product if they did not trust that investment avenue. Investors should only park their hard earned money in products that they trust in, may it be Quantum funds or any other funds for that matter.
At Quantum we don`t believe to force our investors to invest in our funds. Investors need to buy into our philosophy - of investments and as a fund house first. Then, if the investor feels that there is a synergy between the Quantum as a fund house, with its emphasis on ethics, transparency and consistency and the investor’s own values, then we`d like them to choose our funds.
We treat all our investors the same - whether the investor has a Rs. 100 SIP or a Rs. 5 crore investment with us, our customer service will be equally dedicated to resolving queries of both sets of investors with equal dedication and diligence. Even when we innovate, we try to extend that facility to all investors, not just those of Quantum. Our recently rolled out eKYC facility is meant for first time investors to mutual funds…any mutual fund, not just Quantum.
As we always say we don`t sell our funds; we like to have investors buy into our products. This philosophy has always helped us win trust of our investors. The objective behind establishing Quantum is to offer investment solutions with good research linked with aim to generate good returns for our investors, not to merely gather AUM and assets.
There are 3 main reasons why investors trust us when it comes to their investments –
1. Our belief in transparency
We believe in only one motto – doing what is best for the investor, so be it innovating to create investor friendly investment processes to disclosing all the details and more to our investors. To empower our investors we compiled a Charter of Rights that lays out their rights at Quantum. We firmly believe that an informed investor is in a better position to take investment decisions hence Quantum - through videos and events like the Path to Profit – investor education and awareness program ensure that our investors are always updated with the latest in the financial world that affects their investment.
2. Making investing simple
At Quantum, we don`t believe to focus on growing AUM or reaching targets. Being a customer focused organization we take pride and feel responsible to solve our customer queries and doubts as soon as possible, we take pride in offering only and all products that makes sense for the investors, pride in innovating new facilities that make the process of investing simple and hassle free. And we are happy to have pioneered several such initiatives which the industry adopted eventually.
3. Low Cost but not low value
The Quantum Long Term Equity Fund (QLTEF) has a long term proven track record since 2006. As an equity fund, due to our investment philosophy of value investing - the fund has done well when the markets are down and vice versa.
What distinguishes this fund from its peers, apart from the fact that we do not go the distributor route, is the fact that QLTEF has one of the lowest expense ratios in its category. Expense ratio is the expense a fund house deducts from the amount invested to bear the costs of managing the fund. A low expense ratio means that investor gets to retain more returns. For e.g. If Fund P has an expense ratio of 2% and Fund Q of 1% and Rs. 100 are invested in both, then at the time of redemption assume both the funds have given returns of 10%. So, investor who has invested in Fund P will get Rs. 107.8 and Rs. 108.9 in case of Fund Q.
That said all mutual funds need to ensure that they make profits if they are to run their AMCs a long time. At Quantum we would continue to offer our products at costs as low as possible, and lower them still whenever possible, within the profitability constraints.
These are just some of the reasons why investors have trusted us with their life`s savings.
It is this trust of our investors in us that has kept us going strong - may it be during the introduction of minimum Rs 50 crore net worth rule. It is only because they trusted us and our vision that we were ardent to achieve this target but in the right way. That was when Fairfax came into picture. Quantum Advisors Pvt Ltd, on 6th November 2015, announced that it has reached an agreement with HWIC Asia Fund, an affiliate of Fairfax, to acquire 49.2% of the equity shares of Quantum Advisors, which is the sponsor of Quantum Mutual Fund. With new funds coming in we are sure to achieve our Rs. 50 crore target.
While we thank our investors who have always supported us and trusted our investment philosophy; we believe that this is the right time for you to join the Quantum family and be a part of our vision and walk with us as we wish to be India’s most respected fund house, by following the principles of transparency and integrity and doing what’s right for you - the investor.
|Name of the Scheme & Primary Benchmark||This product is suitable for investors who are seeking*||Risk-o-meter of Scheme|
|Quantum Long Term Equity Value Fund |
An Open Ended Equity Scheme following a Value Investment Strategy
|• Long term capital appreciation|
• Invests primarily in equity and equity related securities of companies in S&P BSE 200 index.
Investors understand that their principal will be at Moderate Risk
* Investors should consult their financial advisers if in doubt about whether the product is suitable for them.
Disclaimer, Statutory Details & Risk Factors:
The views expressed here in this article / video are for general information and reading purpose only and do not constitute any guidelines and recommendations on any course of action to be followed by the reader. Quantum AMC / Quantum Mutual Fund is not guaranteeing / offering / communicating any indicative yield on investments made in the scheme(s). The views are not meant to serve as a professional guide / investment advice / intended to be an offer or solicitation for the purchase or sale of any financial product or instrument or mutual fund units for the reader. The article has been prepared on the basis of publicly available information, internally developed data and other sources believed to be reliable. Whilst no action has been solicited based upon the information provided herein, due care has been taken to ensure that the facts are accurate and views given are fair and reasonable as on date. Readers of this article should rely on information/data arising out of their own investigations and advised to seek independent professional advice and arrive at an informed decision before making any investments. Please visit – www.quantumamc.com/disclaimer to read scheme specific risk factors.
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