Reliance Mutual Fund has launched a new close ended income scheme named "Reliance Fixed Horizon Fund XXIX- Series 19" with maturity period of 1202 days from the date of allotment.
The New Fund Offer (NFO) price for the scheme is Rs 10 per unit. The NFO opened for subscription on December 21 and will close on December 22.
According to the offer document filed with SEBI, the entry load is not applicable and since the scheme is planned to be listed on the Stock Exchange or any other exchange, the exit load charge will be also not applicable. This suggests that the investors wishing to exit may do so through the stock exchange mode.
The minimum application amount is Rs 5,000 and in multiples of Rs 1 thereafter. The options available under the plan of the scheme are Growth and Dividend option.
The performance of the scheme will be benchmarked against CRISIL Composite Bond Fund Index. Amit Tripathi will be the fund manager of the scheme.
The asset allocation of the scheme will be in such a way that the objective of the scheme to generate returns and growth of capital will be met by investing in a diversified portfolio of securities maturing on or before the date of maturity of the scheme with the objective of limiting interest rate volatility.
Hence, the scheme will allocate 80 to 100 per cent of asset in Debt Instruments including Government Securities and 0 to 20 per cent of asset in Money Market Instruments.