What is Factor Investing?
- Factors are proven characteristics, such as momentum, quality, or value, that influence how stocks perform over time.
- Factor investing uses these traits to build smarter, data-backed portfolios that aim to grow and withstand market ups and downs.
- Common factors include Momentum (recent winners), Low Volatility (relatively stable performers), Quality (strong fundamentals), Value (undervalued picks), and Size (smaller companies with high growth potential).
- Since different factors perform better at different points in the market cycle, combining them can help enhance return potential and manage risk.
#1 Different Factors Win in Different Market Cycles
No single factor leads across all market conditions. Momentum tends to shine in bull runs, value in recoveries, quality during contractions, and low volatility in downturns.
#2 Year-on-Year Factor Performance Isn’t Consistent
Factor leadership changes with market conditions; no single factor outperforms every year. Relying on one factor requires conviction and timing, which can be difficult to sustain.
#3 A Multi-Factor Strategy Brings Balance
Bandhan’s multi-factor strategy is a data-backed investment approach that blends multiple core factors – momentum, value, quality, and low volatility – into a single portfolio. By combining factors that perform differently across market environments, it aims to mitigate single-factor risk and enhance overall risk-adjusted returns.
Low Volatility
Momentum
Quality
Value
#1 Robust Portfolio Built on Multiple Factors
Blends four time-tested factors, momentum, value, quality, and low volatility, into one strategy. Each factor plays a distinct role, aiming to reduce single-factor risk and enhance portfolio resilience. The fund will predominantly invest in large and mid-cap stocks.
How the Portfolio is Constructed
Universe
Primary focus on top 250 companies across large and mid-cap segments
Factor Scoring
Every stock is scored based on Momentum, Value, Low Volatility, and Quality factors
Factor Selection
Identify and shortlist the most effective factor combinations based on their scores
Stock Scoring
Compute final score for each stocks across the shortlisted factors
Portfolio Construction
Build a portfolio of around 50-65 stocks, weighted by its score and risk management framework
#2 Strong Back-Tested Model Performance
The model portfolio has delivered ~9.2x returns since 1 Jan 2015, outperforming individual factor portfolios over the same period.
#3 Outperformance Over Broad-Based Indices
Historically, the model has shown better risk-adjusted returns than broad-based market indices and category averages.
#4 Dynamic Allocation Based on Market Phase
Factor weights are dynamic, and the portfolio is rebalanced monthly based on market trends.
Who Should Consider This Fund?
Investors looking for a differentiated, strategy-led approach to equity investing
Those seeking exposure to large- and mid-cap stocks
Investors aiming for potentially better risk-adjusted returns through a disciplined, factor-based strategy
Downloads
Make an informed decision. Learn more about investing in Bandhan Multi-Factor Fund
Fund Facts
Type of Scheme
An open ended equity scheme investing based on an adaptive and evolving multi-factor quantitative model theme
Fund Managers
Mr. Rishi Sharma
Mr. Brijesh Shah
Benchmark
BSE 200 TRI
NFO Period
10th July 2025 to 24th July 2025
Plans/Options
Regular/Direct Plan: Growth Option,IDCW Option
Exit Load
- If redeemed / switched out within 30 days from the date of allotment: 0.50% of the applicable NAV
- If redeemed / switched out after 30 days from date of allotment – Nil
Minimum Investment
During New Fund Offer
₹ 1,000
And in multiples of Rs. 1/- thereafter
Investment Objective
The scheme seeks to generate medium to long term capital appreciation by investing predominantly in equity and equity related instruments selected based on a quantitative model.
Disclaimer: There is no assurance or guarantee that the scheme’s objectives will be realized.
Fund Manager
Rishi Sharma
Vice President - EquitiesBandhan AMC Limited
February 2023 - Present
Mr. Rishi Sharma joined Bandhan AMC with a total experience of over 20 years. In his current role, he is
responsible for fund management activity under the mutual fund business of the AMC. Prior to this, he was
responsible for equity research and dealing activities in the Portfolio Management Services (PMS) division of
the AMC and subsequently with effect from September 7, 2023, he was responsible for managing the Vedartha
Neo Equity Portfolio (erstwhile known as Bandhan Neo Equity Portfolio).
Prior to joining Bandhan AMC, Mr. Sharma was associated with NJ Asset Management from July 2020 –
December 2022 as General Manager for Research & Fund Management in Mutual Fund – equities. Before that,
he was also associated with Ashvattha Advisors LLP from Aug 2014 – April 2020 as Managing Partner in Equity
and derivative research and advisory. His prior associations also include IIFL where he was responsible for
Investment and Trading in all asset classes.
Mr. Sharma has completed his B Com from the MS University in Vadodara and holds a PGDBA in Finance from
IES Management College, Mumbai.
Product info
Bandhan Multi-Factor Fund
(An open ended equity scheme investing based on an adaptive and evolving multi-factor quantitative model theme)
This product is suitable for investors who are seeking*:
- To create wealth over a long term.
- Investment predominantly in equity and equity related instruments based on an adaptive and evolving multi-factor quantitative model.
*Investors should consult their financial advisers if in doubt about whether the product is suitable for them.
