Latest Indian Mutual Fund News | 18-July-2011
NEW FUND OFFER
Pramerica Mutual Fund has filed offer document with Sebi to launch Pramerica Capital Protection Oriented Fund – 3 Years – Series 1, a close ended capital protection oriented scheme. The tenure of the scheme will be three years from the date of allotment. The Scheme’s portfolio structure has been rated AAA(so) by CRISIL. The rating given by CRISIL would be reviewed on a quarterly basis as required under SEBI Regulations. The objective of the Scheme is to protect the capital by investing in high quality debt and money market instruments and generate capital appreciation by investing in equity and equity related instruments.
News Source – NAV INDIA.
When you put your money in an equity mutual fund, do you also tell the fund manager which stocks to buy? No, and yes. While investors don’t give any instructions, a fund with a fixed investment mandate picks only those type of stocks. For instance, a large-cap fund will invest only in index-based heavyweights and other blue chips. You won’t find a small-cap company in its portfolio. This is why large-cap funds tend to move slowly and surely compared with other categories. Similarly, a small-cap fund will focus on smaller companies, forever hoping to zero in on the next Infosys that will turn it into a multibagger.
On the other hand, multi-cap funds invest across the entire spectrum of stocks, starting from large-caps all the way down to small-caps. They have a flexible mandate, which helps them pick winners from across market capitalizations.
News Source – ECONOMIC TIMES.
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