ICICI Prudential Mutual Fund has launched a new fund named as ICICI Prudential Fixed Maturity Plan - Series 62 - 786 Days Plan E, a close ended debt scheme. The tenure of the scheme is 786 days. The New Fund Offer (NFO) price for the scheme is Rs 10 per unit. The new issue will be open for subscription from 23 February and close on 28 February 2012.
The investment objective of the scheme is to seek to generate regular returns by investing in a portfolio of fixed income securities/debt instruments maturing on or before the maturity of the scheme.
Presently, two options are available under the scheme viz. cumulative and dividend option. Dividend Payout is the only facility available under dividend option. Cumulative option shall be default option under the scheme.
The scheme will allocate upto 100% of assets in short term and medium term debt securities / debt instruments and securitized debt with low to medium risk profile. Investment in securitized debt would be upto 50%. The scheme will not invest in Central and State Government securities and money market instruments.
Of the investments in Non Convertible Debentures (NCD), upto 5% would be invested in AAA rated instruments and 95% to 100% would be invested in AA rated instruments
Entry load and exit load charge are not applicable for the scheme. The scheme is proposed to be listed on BSE.
The minimum application amount is Rs 5000 and in multiples of Rs 10 thereafter.
The fund seeks to collect a minimum subscription amount of Rs 20 crore under the scheme during the NFO period.
The scheme's performance will be benchmarked against Crisil Short Term Bond Fund Index.
The scheme will be managed by Mr. Chaitanya Pande.