Description

Axis Mutual Fund has revised the minimum application amounts for lumpsum, additional purchases, and SIP transactions for select debt schemes including Ultra Short Duration Fund, Treasury Advantage Fund, Money Market Fund, and Short Duration Fund, effective November 14, 2025.

Summary

Axis Mutual Fund has announced revisions to the minimum application amounts for four debt schemes effective November 14, 2025. The changes significantly reduce entry barriers for both lumpsum investments (from Rs. 5,000 to Rs. 100) and SIP investments (from Rs. 1,000 to Rs. 100 monthly). The affected schemes are Axis Ultra Short Duration Fund, Axis Treasury Advantage Fund, Axis Money Market Fund, and Axis Short Duration Fund. This notice-cum-addendum forms an integral part of the Scheme Information Document and Key Information Memorandum.

Key Points

  • Minimum lumpsum purchase amount reduced from Rs. 5,000 to Rs. 100 for all four schemes
  • Minimum additional purchase amount reduced from Rs. 1,000 to Rs. 100 for all four schemes
  • Minimum SIP amount reduced from Rs. 1,000 to Rs. 100 per month
  • All amounts remain in multiples of Re. 1/- thereafter
  • Minimum number of SIP installments remains unchanged at 6
  • Changes apply to switch-in transactions as well
  • Notice issued on November 11, 2025 by Managing Director & CEO Gop Kumar Bhaskaran

Schemes Affected

Lumpsum and Additional Purchase Changes:

  • Axis Ultra Short Duration Fund
  • Axis Treasury Advantage Fund
  • Axis Money Market Fund
  • Axis Short Duration Fund

SIP Changes (Monthly frequency for Growth and IDCW options):

  • Axis Ultra Short Duration Fund
  • Axis Treasury Advantage Fund
  • Axis Money Market Fund
  • Axis Short Duration Fund

Revised Investment Amounts

Lumpsum Transactions:

  • Previous: Rs. 5,000 (and multiples of Re. 1/-)
  • Revised: Rs. 100 (and multiples of Re. 1/-)

Additional Purchase:

  • Previous: Rs. 1,000 (and multiples of Re. 1/-)
  • Revised: Rs. 100 (and multiples of Re. 1/-)

Systematic Investment Plan (SIP):

  • Previous: Rs. 1,000 per month (and multiples of Re. 1/-)
  • Revised: Rs. 100 per month (and multiples of Re. 1/-)
  • Minimum installments: 6 (unchanged)

Important Dates

  • Notice Date: November 11, 2025
  • Effective Date: November 14, 2025

Impact Assessment

Positive Impact:

  • Significantly improved accessibility for small retail investors to debt mutual fund schemes
  • 95% reduction in minimum investment amount increases market inclusivity
  • Lower entry barriers may attract new investors to mutual fund investments
  • Democratizes access to professionally managed debt portfolios

Investor Impact:

  • Existing investors are not affected; all current holdings and terms remain unchanged
  • New investors can start with much smaller amounts
  • Facilitates rupee-cost averaging through affordable SIP amounts
  • Switch-in transactions also benefit from reduced minimum amounts

Market Impact:

  • May increase participation in debt mutual funds through BSE StAR MF platform
  • Could lead to higher number of small-ticket transactions
  • Competitive move that may influence other AMCs to review their minimum investment requirements

Compliance Requirements

  • This notice-cum-addendum forms an integral part of the SID/KIM for the affected schemes
  • All other terms and conditions of the Scheme Information Document and Key Information Memorandum remain unchanged
  • Investors should read all scheme-related documents carefully
  • Standard disclaimer applies: Mutual Fund investments are subject to market risks
  • The Sponsor (Axis Bank Limited) is not liable for any loss or shortfall from scheme operations

Impact Justification

Operational change affecting investor accessibility to Axis Mutual Fund debt schemes with significantly reduced minimum investment amounts, making these schemes more accessible to retail investors but not impacting market structure or existing holdings