Description

Axis Mutual Fund has revised minimum application amounts for lumpsum, additional purchase, and SIP transactions for certain debt schemes effective November 14, 2025.

Summary

The National Stock Exchange of India has notified members about changes in minimum application amounts for certain Axis Mutual Fund debt schemes on the NSE MF Invest Platform. The changes, effective November 14, 2025, significantly reduce minimum investment requirements for lumpsum, additional purchase, and Systematic Investment Plan (SIP) transactions across four debt schemes: Axis Ultra Short Duration Fund, Axis Treasury Advantage Fund, Axis Money Market Fund, and Axis Short Duration Fund.

Key Points

  • Minimum lumpsum and additional purchase amount reduced from Rs. 5,000 to Rs. 100 (with multiples of Re. 1/-)
  • Minimum SIP amount for monthly frequency reduced from Rs. 1,000 to Rs. 100 (with multiples of Re. 1/-)
  • Changes apply to four debt schemes: Axis Ultra Short Duration Fund, Axis Treasury Advantage Fund, Axis Money Market Fund, and Axis Short Duration Fund
  • Minimum number of SIP installments remains unchanged at 6
  • Switch-in transactions also covered under revised minimum amounts
  • Notice cum addendum dated November 11, 2025, issued by Axis Asset Management Company Limited

Regulatory Changes

Axis Mutual Fund has issued a notice-cum-addendum to the Scheme Information Document (SID) and Key Information Memorandum (KIM) for the affected schemes. The changes represent a significant reduction in entry barriers:

Lumpsum and Additional Purchase:

  • Previous: Rs. 5,000 minimum (Rs. 1,000 for additional purchase)
  • Revised: Rs. 100 minimum for both purchase and additional purchase

Systematic Investment Plan (SIP):

  • Previous: Rs. 1,000 minimum for monthly frequency
  • Revised: Rs. 100 minimum for monthly frequency
  • Applies to both Growth and IDCW options

Compliance Requirements

  • NSE members and distributors must update their systems to reflect the new minimum application amounts
  • Investors can now make investments with the reduced minimum amounts starting November 14, 2025
  • The addendum forms an integral part of the SID/KIM and must be read along with existing scheme documents
  • All other terms and conditions of the schemes remain unchanged

Important Dates

  • Circular Date: November 13, 2025
  • Notice cum Addendum Date: November 11, 2025
  • Effective Date: November 14, 2025

Impact Assessment

Investor Impact: The reduction in minimum investment amounts from Rs. 5,000/Rs. 1,000 to Rs. 100 significantly lowers the barrier to entry for retail investors, making these debt schemes more accessible to small investors and first-time mutual fund participants.

Market Impact: Minimal direct market impact. This is an operational change affecting mutual fund investment processes rather than trading or market structure. The change may increase retail participation in these specific debt fund schemes.

Operational Impact: Fund houses and distributors need to update their systems and processes to accommodate the lower minimum investment thresholds. This democratization of access aligns with broader financial inclusion objectives.

Impact Justification

Operational change reducing minimum investment amounts for specific mutual fund schemes, making them more accessible to retail investors but not affecting market operations or trading significantly.