Birla Sun Life Short Term FMP - Series 1 Floats On
Birla Sun Life Mutual Fund has launched a new close ended income scheme named as Birla Sun Life Short Term FMP - Series 1 with the duration of 139 days from the allotment date. The scheme's New Fund Offer (NFO) price is Rs 10 per unit. The new issue is open for subscription from October 20, 2010 and will close on October 21, 2010. The scheme's investment objective is to generate income by investing in a portfolio of fixed income securities maturing on or before the scheme's duration. The scheme will have only dividend and growth option. Further, the dividend option shall have only payout facility. Default option will be growth. The scheme will allocate 100% of assets in debt securities and money market instruments with low to medium risk profile. Moreover, the money market Instruments include commercial papers as well as commercial bills, treasury bills and government securities having an unexpired maturity upto one year, call or notice money, certificate of deposit, usance bills, CBLOs and any other like instruments as specified by the Reserve Bank of India from time to time.The minimum application amount stood at Rs 5000 and in multiples of Rs 10 thereafter. The fund seeks to collect a minimum subscription (minimum target) amount of Rs 10 crore under the scheme during the NFO period. However, there will be no entry and exit load charge.