HDFC Mutual Fund has launched a new close ended capital protection oriented income scheme named "HDFC CPO - I - 36M August 2013" with maturity period of 36 months from the date of allotment.
The New Fund Offer (NFO) price for the scheme is Rs 10 per unit. The NFO opened for subscription today and will close on August 30, 2013.
According to the offer document filed with SEBI, the entry load is nil and since the scheme is planned to be listed on the Stock Exchange or any other exchange, the exit load charge will not be applicable. This suggests that the investors wishing to exit may do so through the stock exchange mode.
The minimum application amount is Rs 5000 and in multiples of Rs 10 thereafter. The two options available under the Plan of the Scheme are Growth and Dividend option.
The performance of the scheme will be benchmarked against CRISIL MIP Blended Index. Anil Bamboli, Vinay R. Kulkarni and Rakesh Vyas will be the Fund Managers of the scheme.
The asset allocation of scheme will be in such a way that the objective of the scheme to generate returns will be met through investment in a diversified portfolio of debt and money market instruments. Hence, the scheme will allocate 75 to 100 per cent of asset in debt and money market instruments and 0 to 25 per cent in equity and equity related instruments.