LIC Mutual Fund plans close-end fund

LIC Mutual Fund plans to launch a three-year close-end equity fund that would primarily invest in mid-cap and small-cap stocks.The company filed initial papers with the Securities and Exchange Board of India to launch LICMF India Vision Fund, the regulator's Web site showed on Thursday.
While the fund would largely invest in companies with a market cap of up to Rs 75 crore, "investment in large-cap stocks will be purely to take short-term advantage of the market momentum," the offer document said. It would disclose the net asset value once a week.
The fund house managed assets worth about Rs 990 crore at the end of July, data from Association of Mutual Funds in India showed.

Tags: LIC Mutual fund, close end equity fund, mid cap, small cap, large cap, stocks, LICMF, vision fund, short-term advantage, market momentum, fund house, AMC fund manager

Sebi allows MFs to launch capital protection scheme

The Securities and Exchange Board of India (Sebi) has given the green signal to mutual funds to launch “capital protection-oriented schemes,” under which investors are assured of their capital invested even if the scheme underperforms.
As per Sebi guidelines, capital protection schemes have to be close-ended. However, investors investing in such schemes will not have an exit option before maturity. Among the guidelines stipulated by Sebi, asset management companies will not be allowed to repurchase units of a capital protection scheme before maturity.
But the asset management company (AMC) will not be allowed to repurchase the units of such a scheme before maturity. Also, AMCs will have to get such a scheme rated by a registered credit rating agency “from the viewpoint of the ability of its portfolio structure to attain protection of the capital invested therein,” the Sebi release said.

Tags: SEBI, Mutual funds, capital protection, schemes, investor, underperformer, sebi guidelines, close-ended, AMC, repurchase, units, maturity, portfolio structure

Sebi allows MFs to launch capital protection scheme

The Securities and Exchange Board of India (Sebi) has given the green signal to mutual funds to launch “capital protection-oriented schemes,” under which investors are assured of their capital invested even if the scheme underperforms.
As per Sebi guidelines, capital protection schemes have to be close-ended. However, investors investing in such schemes will not have an exit option before maturity. Among the guidelines stipulated by Sebi, asset management companies will not be allowed to repurchase units of a capital protection scheme before maturity.
But the asset management company (AMC) will not be allowed to repurchase the units of such a scheme before maturity. Also, AMCs will have to get such a scheme rated by a registered credit rating agency “from the viewpoint of the ability of its portfolio structure to attain protection of the capital invested therein,” the Sebi release said.

Tags: SEBI, Mutual funds, capital protection, schemes, investor, underperformer, sebi guidelines, close-ended, AMC, repurchase, units, maturity, portfolio structure

SBI Mutual launches close-end debt scheme

SBI Funds Management Pvt Ltd has launched a close-end debt scheme under the SBI Debt Fund Series (SDFS), the fund house said on Monday. SDFS - 180 Days Fund will be available for subscription between August 14 and August 17. The fund will invest in a portfolio of debt, money market instruments and government securities. The fund will not charge any entry load but will impose an exit load of 0.50 per cent for redemption before maturity. The minimum investment in the fund will be 50,000 rupees.
The fund house had about 141 billion rupees worth of assets under management at the end of July, data from Association of Mutual Funds in India showed.

Tags: SBI Mutual fund, Debt fund, fund house, invest, portfolio, market instruments, government securities, entry load, exit load, Association of Mutual funds