Bank of India Arbitrage Fund Direct Growth

Bank of India Arbitrage Fund Direct Growth is a hybrid fund. This fund was started on 18 June, 2018. The fund is managed by Nilesh Jethani. This fund gives you the benefit of diversification.

1. Bank of India Arbitrage Fund Direct Growth has ₹42 Cr worth of assets under management (AUM) as on Aug 2025 and is more than category average.
2. The fund has an expense ratio 0.4.
   

Bank of India Arbitrage Fund Direct Growth has given a CAGR return of 5.33% since inception. Over the last 1, 3 and 5 years the fund has given a CAGR return of 6.88%, 6.84% and 5.22% respectively.

Bank of India Arbitrage Fund Direct Growth has allocated its funds majorly in Cash Equivalent, Financial Services, Basic Materials, Consumer Cyclical, Industrial, Health, Government, Communication, Energy, Real Estate, Utilities, Corporate, Consumer Defensive.

As it is a arbitrage fund mutual fund the taxation is as follows:
If the fund is equity oriented i.e. asset allocation of more than 65% in equity instruments:
For short term (less than a year) capital gains will be taxed at 20%
For long term (more than 1 year) capital gains will be taxed at 12.5% without indexation benefit
Long term gains up to Rs 1 lakh are exempt from taxation (more than 12 months).

To generate income through arbitrage opportunities between cash and derivative segments of the equity market and arbitrage opportunities within the derivative segment and by deployment of surplus cash in debt securities and money market instruments. However, there is no assurance or guarantee that the investment objective of the scheme will be realized.

Minimum investment for lump sum payment is INR 5000.00 and for SIP is INR 1000.00. Bank of India Arbitrage Fund Direct Growth has no lock in period.