1.Reliance Fixed Horizon Fund – XVI-Series 3 Announces Dividend.
Reliance Mutual Fund (RMF) has approved declaration of dividend on the face value of Rs.10 per unit under Dividend Payout Option in Reliance Fixed Horizon Fund – XVI-Series 3, with 22 November 2011 as the record date. The quantum of dividend will be entire distributable surplus available in the scheme as on the record date. The scheme recorded NAV of Rs. 10.4502 per unit as on 15 November 2011.
News Source – INDIA INFOLINE.
2.After life insurance, Reliance Capital eyes more strategic deals: Analysts.
Close on the heels of completing a stake sale in life insurance venture, Reliance Capital plans to strike more strategic deals for sale of equity in other businesses, including mutual funds and general insurance. The funds received last month from the 26 per cent stake sale in Reliance Life to Japan's Nippon Life, as also the proceeds from other strategic deals in the coming quarters, would boost Reliance Capital's balance sheet, analysts have said in their equity research reports on the company. Besides, these funds would also help RCap deal with the prevailing challenges in the financial sector, they have said.
News Source – ECONOMIC TIMES.
3.UTI Mutual Fund flags off its Knowledge Caravan from Mumbai.
UTI Mutual Fund today flagged off its second UTI Knowledge Caravan from Mumbai as part of its Investor Education Initiative called "Swatantra". The Investor Education Initiative is in partnership with Ministry of Corporate Affairs, Government of India. UTI knowledge Caravan was flagged off by Janki Ballabh, Chairman of UTI Trustee Company P. Ltd. This Caravan will cover the states of Maharashtra and Gujarat. During its journey it will cover more than 14000 kms in about 260 days.
News Source – INDIA INFOLINE.
NEW FUND LAUNCH
4.Reliance MF introduces Reliance Fixed Horizon Fund – XXI – Series 14.
Reliance Mutual Fund has announced the New Fund Offer (NFO) Reliance Fixed Horizon Fund – XXI – Series 14, a close ended income scheme. The NFO opens for subscription on November 18, 2011 and closes on November 22, 2011. No entry and exit load charges is applicable for the scheme. The duration of the scheme is 368 days from the date of allotment of units. The scheme offers dividend payout and growth option.
News Source – LIVE MINT.
5.Templeton India Corporate Bond Opportunities Fund.
Franklin Templeton Mutual Fund launched Templeton India Corporate Bond Opportunities Fund, an open ended income scheme. The new issue is open for subscription from 15th November and closes on 29th November 2011.
News Source – AMFI INDIA.
NEW FUND OFFER
6.Sundaram Capital Protection Oriented Fund 2 Years (Series 6-7) Files Offer Document With Sebi.
Sundaram Mutual Fund files offer document with Sebi to launch Sundaram Capital Protection Oriented Fund 2 Years (Series 6-7), a closed-end capital protection oriented scheme. The New Fund Offer price is Rs 10 per unit. The scheme has a maturity period of 2 years. Investment Objective: The objective of this scheme would be to seek income and minimise risk of capital loss by investing in a portfolio of fixed-income securities. The scheme may invest a part of the assets in equity to seek capital appreciation.
News Source – NAV INDIA.
7.Declaration of dividend under LIC Nomura MF Interval Fund-Quarterly Plan Series 2.
LIC Nomura Mutual Fund has announced declaration of dividend under the dividend option of LIC Nomura MF Interval Fund-Quarterly Plan Series 2. The record date for dividend is November 21, 2011. The quantum of dividend will be 100% distributable surplus as on record date on the face value of Rs 10 per unit.
8.Fund houses pay R1,300-cr commission in 2010-11.
In the financial year 2010-11, top fund houses in the country paid commission of over R1,300 crore to their distributors. Bulk of the commissions were paid to the large banks and national distributors, indicating lesser dominance of smaller distributors and independent financial advisors (IFAs) in the mutual fund industry.
Reliance MF paid a commission of over R330 crore to its distributors while HDFC MF paid commissions of over R 288 crore in the financial year 2010-11. ICICI Prudential MF gave away R146 crore to distributors as commissions during the same period. Out of over 1,300 crore given to the distributors, most of money were paid to bank distributors such as HDFC Bank, Hong Kong and Shanghai Bank, Citi Bank and Standard Charted Bank along with national distributors like NJ India.
News Source – FINANCIAL EXPRESS.
9.Fund managers say some small-sized plans needed.
Though the capital market regulator, Securities and Exchange Board of India (Sebi), has been nudging mutual funds (MFs) to consolidate their schemes, fund houses don't seem to be rushing for it. Fund managers believe that though some of their schemes have tiny corpuses, they are used by large investors opportunistically.
Says Lalit Nambiar, senior fund manager, UTI Asset Management Co. Ltd: "In developed markets, sector funds capture a lot of mind share and fund allocation; especially from institutional investors and high networth individuals. This could be the way forward in India as well, though it will take maybe two-three years for that to happen."