IDBI Mutual Fund has launched a new open ended equity linked saving scheme named "IDBI Tax Saving Fund".
The New Fund Offer (NFO) price for the scheme is Rs 10 per unit. The NFO opened for subscription today and will close on September 3, 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 500 and in multiples of Rs 500 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 S&P BSE 200 Index. V. Balasubramanian will be the Fund Manager of the scheme.
The asset allocation of scheme will be in such a way that the objective of the scheme to generate opportunities for long term growth in capital will be met through investment in a diversified portfolio of stocks without bias towards sector or market capitalization.. Hence, the scheme will allocate the assets accordingly.