UTI Mutual Fund has opened initial offer period of UTI Wealth Builder Fund - Series II on 21 October 2008 till 19 November 2008. The new offer price of units is Rs 10 per unit.
It is an open-ended equity oriented scheme with an investment objective to achieve long-term capital appreciation by investing predominantly in a diversified portfolio of equity and equity related instruments along with investments in Gold ETFs and debt and money market instruments.
The scheme offers investors retail, and institutional plan with growth and dividend options. Dividend option will be having payout and reinvestment facilities. The minimum application amount for retail option under dividend sub option is Rs 5,000 and in multiples of Re 1 thereafter. The minimum application amount under institutional option is Rs 1 crore and in multiples of Re 1 thereafter.
The scheme will invest up to 65-100% in equity and equity related instruments, 0-35% in Gold ETFs. The scheme will invest up to 35% in debt and money market instruments.
Debt instruments will also include securitised debt, which may go up to 100% of the debt portfolio. Under normal circumstances, the scheme shall not have an exposure of more than 10% of its net assets in foreign securities subject to regulatory limits.
The scheme will charge an entry load of 2.25% under retail plan with purchase amount less than Rs 2 crore and nil for investment amount of Rs 2 crore and above. While, institutional plan may not levy entry load.
Retail plan will ask 1.00% as exit load if exited on or before 365 days from the date of closure of the offer period for purchase amount less than of Rs 2 crore, 0.50% exited on or before 365 days from the date of closure of the offer period for invested amount of Rs 2 crore and above.
Institutional plan may ask load of 0.50% if exited on or before 180 days from the date of closure of the offer period.
BSE 100 is the benchmark index for the equity part of the portfolio; CRISIL Bond Fund Index is the benchmark for that part of the portfolio relating to investments in debt and money market instruments and the price of gold is the benchmark to investments in Gold ETFs. Harsha Upadhyaya will manage the investments under the respected scheme.
Powered byCapital Market - Live News