The new financial year has begun with a slew of mutual fund houses launching various schemes.
While Reliance Capital Asset Management Company has filed papers with SEBI for launching a Korea-focussed fund in Indian markets, Mahindra Asset Management Company, which received SEBI approval in February, plans to launch four schemes.
Besides, schemes such as Franklin India Retirement Solution Fund, Sundaram Select Micro Cap Series, Sundaram Large & Mid Cap Fund, UTI-Capital Protection Oriented Scheme — Series VIII and L&T Emerging Business Fund will also hit the market after getting approval from the Securities and Exchange Board of India. Reliance Mutual Fund is also launching Reliance Nivesh Lakshya Fund, with the primary objective of generating optimal credit risk-free returns by investing in a portfolio of securities issued and guaranteed by the central and State governments.
Reliance Korea Equity Fund is an open-ended diversified equity scheme, according to papers filed with SEBI.
Korea-listed stocks The new scheme is aimed at providing long-term capital appreciation to investors by identifying and investing in a portfolio of equity and equity-related securities predominantly in mid- and small-cap companies listed on the recognised stock exchanges of Korea.
Mahindra AMC’s schemes are: Mahindra MF Bachat Yojana, Mahindra MF Kar Bachat Yojana, Mahindra MF Bal Vikas Yojana and Mahindra Liquid Fund.
Mahindra AMC, a wholly-owned subsidiary of M&M Financial Services, is the latest to join the mutual fund bandwagon.
Franklin’s open-ended scheme aims to provide an investment solution for retirement goals. It seeks to achieve capital appreciation and income through a mix of equity and fixed income securities. Sundaram Mutual’s Large and Mid Cap Fund plans to seek capital appreciation by investing predominantly in equity/equity-related instruments of large- and mid-cap companies.
Stocks which are part of the top 65 per cent of cumulative total market cap of NSE will be considered as large caps, and stocks in the next 15 per cent range (between 65 per cent and 80 per cent) as mid-caps. The scheme may also invest up to 35 per cent of the net assets in overseas securities, the Sundaram MF offer document said.
UTI’s scheme is a close-ended fund, with the primary objective of protecting the capital by investing in high-quality fixed income securities. Generating capital appreciation by investing in equity and equity-related instruments is its secondary objective.
L&T Emerging Business Fund will generate long-term capital appreciation from a diversified portfolio of predominantly equity and equity-related securities, including equity derivatives, in the Indian markets with key theme focus being emerging companies (small cap stocks).