InvestorQ : Is it possible for Mutual Fund to change its asset allocation?
Shreya Karn made post

Is it possible for Mutual Fund to change its asset allocation?

Answer
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Abigail Ghoshal answered.
2 years ago


Every Mutual Fund discloses the fund allocation at the first instance itself and so they allocate funds as per the disclosure. However, at times when market is volatile, Fund Manager has the flexibility to change the fund allocation to different sector with an aim to protect NAV. This change is for a temporary. If the change has to be done permanently then, Mutual Fund should inform their investors or unitholder with an option to exit the scheme without any load.