Mutual fund investment: BOI Axa arbitrage fund launched
An arbitrage fund follows the strategy of taking advantage of the price differential of the stock between the ‘Cash market’ and the ‘Futures Market’. The fund manager simultaneously buys shares in the cash market and sells it in futures or derivatives market.
BOI Axa Mutual Fund launched the BOI AXA Arbitrage Fund, an open-ended scheme that invests in arbitrage opportunities. The new fund offering (NFO) opens on May 31, and closes on June 14. Image source: DNA Money