Mirae Asset launches Life Cycle Fund 2056, SIP from Rs 99 a month

Mirae Asset Mutual Fund has launched a new fund, the Mirae Asset Life Cycle Fund 2056. It is the longest-duration fund on offer and will mature in 2056, meaning money can be invested in it for the next 30 years.

The fund's main feature is that investors need not do anything themselves. The fund reduces risk automatically, using a method called a glide path.

Under the glide path, most of the investor's money will stay in equity for the first 15 years, with 65 to 95 per cent invested in the stock market for good growth. As 2056 nears, the fund will automatically move money out of equity into debt and arbitrage. In the last three years, only 5 to 25 per cent will remain in equity, and the risk will fall considerably. Initially, large-cap and mid-and-small-cap holdings will be split 50-50. This will gradually move to 80-20, with large-cap holding the larger share.

The new fund offer (NFO) opened on September 28, 2026, and closes on October 12, 2026. Investment will reopen from October 21. The minimum investment in the NFO is Rs 5,000. A systematic investment plan (SIP), however, can start at just Rs 99 a month, and can then be increased in steps of Re 1.

It is a multi-asset fund. Its benchmark is made up of 65 per cent Nifty 500 TRI, 25 per cent Nifty Short Duration Debt, 7.5 per cent gold and 2.5 per cent silver. Money will be invested in equity, debt, gold, silver, InvIT and arbitrage. Three managers will run the fund: Harshad Borawake will handle equity, Basant Bafna debt, and Ritesh Patel gold and silver.

Vaibhav Shah, head of Mirae Asset, said: "We welcome the new category of life cycle funds introduced by SEBI. It will let people invest with a goal in mind. We chose 2056 because most of the big events in a person's life happen in the next 30 years: a child's education, marriage, buying a home and, finally, retirement. This fund will help with all of these. Put money in through a SIP and take it out later through an SWP."

Fund manager Harshad Borawake said: "In the early years, equity is the engine of growth. The longer the time horizon, the greater the benefit of compounding. We will pick equities by looking at the right price and valuation."

Withdrawals will attract an exit load. An exit load of 3 per cent applies on withdrawal within one year, 2 per cent between one and two years, and 1 per cent between two and three years. There is no charge on withdrawal after three years. The fund is a good option for those who want to invest for 30 years and put in a small amount every month.