1.Dividend declaration under Tata Equity P/E Fund – Option B.
Tata Mutual fund has fixed February 2, 2012 as the record date for dividend declaration under option B 10% of Tata Equity P/E Fund. The quantum of dividend will be Rs 2.25 per unit on the face value of Rs 10 per unit.
Tata Equity P/E Fund – Trigger Option B 10% is an open ended fund with an investment objective to provide reasonable and regular income and/or possible capital appreciation to its Unitholder.
News Source – MONEY CONTROL.
Franklin Templeton Investments (India), one of the largest fund houses in the country has announced a tax-free dividend of Rs 3.00 per unit (Face Value of Rs 10), in its open end equity fund – Franklin India Tax shield (FIT). All investors registered in the Dividend Plan as on Feb. 3, 2012 will receive this tax-free dividend. Pursuant to payment of dividend, the NAV of the scheme would fall to the extent of payout and statutory levy (as applicable). In addition to the dividend, investment of up to Rs 1 Lakh in FIT during the financial year would also be eligible for tax benefits under Section 80 C of the Income Tax Act.
The record date for the dividend is Feb. 3, 2012 and any purchases on or before this date will be eligible for the dividend. Under the dividend reinvestment plan, the dividend declared will be reinvested in the Fund at the NAV of Feb. 6, 2012 and unit holders will be allotted additional units for the dividend amount.
News Source – MYIRIS.
3.IAB asks SEBI to widen mutual fund reach.
The Securities and Exchange Board of India (SEBI) – appointed International Advisory Board (IAB) has said that there is a need to widen the reach of the mutual fund industry, horizontally and vertically. The Board also emphasised that in order to enhance the participation of households, the mutual fund industry had to educate the investors of the attractiveness of mutual funds in terms of returns and cost effectiveness, compared to other financial products.
The role of the IAB will be to guide SEBI and, in doing so, bring in the global experiences and emerging developments and challenges. The IAB will meet twice in a year. Its first meeting was held in New Delhi on Friday.
News Source – THE HINDU.
Securities and Exchange Board of India (SEBI) has relaxed investment norms for insurance companies and mutual funds in preferential share allotments by companies. The securities market regulator has done away with a rule that prevents these institutional investors from subscribing to preferential shares by companies, whose shares they have sold in the six months to the date of the issue.
Currently, rules preclude companies from issuing preferential allotment to entities, which have sold their holdings in the six-month-period. But, the lock-in on shares allotted in the preferential issue will stay, the regulator said in a circular after a board meet in New Delhi on Saturday. "It has been decided to exempt insurance companies and mutual funds which are broad based investment vehicles representing the interests of the public at large from the provisions of SEBI regulations relating to sale and lock-in of their pre-preferential shareholding in the issuer company," the SEBI circular said.
News Source – ECONOMIC TIMES.
Principal Mutual Fund has decided to revise the exit load structure under Principal Retail Equity Savings Fund and Principal Debt Savings Fund-Retail Plan. Accordingly, the revised exit load charge will be 1%, if redeemed on or before 1 year from the date of allotment. Revised, exit load shall be applicable in respect of subscriptions in the scheme(s) post 3 p.m. effective 30 January 2012.
Principal Retail Equity Savings Fund is an open ended equity scheme which has the investment objective to provide long term capital appreciation and regular income by investing in equity and equity related instruments and also in debt and money market instruments.
News Source – NAV INDIA.
6.Religare MF to Introduce Discretionary Dividend Option under Institutional Plan of Religare Credit Opportunities Fund.
Religare Mutual Fund has decided to introduce discretionary dividend option with payout and reinvestment facility under institutional plan of Religare Credit Opportunities Fund with effect from 30 January 2012. Investors can subscribe to the units of Religare Credit Opportunities Fund – Institutional Plan – Discretionary Dividend Option at Rs. 10 per unit on effective date and at NAV based prices thereafter on all Business Days. The minimum amount for subscription will be Rs. 1 crore and in multiples of Rs. 1 thereafter for fresh purchases and Rs. 1 lakh and in multiples of Rs. 1 thereafter for additional purchase.
News Source – INDIA INFOLINE.
7.Financial fashions: new flavours of bond funds.
The creation of new mutual funds follows what can be called financial (or business) fashions. Over the last decade, we've seen specialty equity funds in momentarily hot sectors like infrastructure; we've seen all kinds of hyper-specialised international equity funds, and all manner of gold funds. Of course, none of them have delivered what plain-vanilla diversified equity funds have, but that's a lesson lost on the inventors as well as consumers of ideas.
However, two interesting new funds have recently extended this inventiveness to an entirely new area – that of fixed income funds. Axis Mutual Fund and Motilal Oswal Mutual Fund have each introduced a fund that seeks to passively replicate the returns of ten-year government bonds. There are many things that are new about these funds.
News Source – HINDUSTAN TIMES.
NEW FUND LAUNCH
8.Taurus MF Unveils 370 Days FMP.
Taurus Mutual Fund has launched a new fund named as Taurus Fixed Maturity Plan – Series M (370 Days), a close ended debt scheme with the duration of 370 days from the date of allotment of units. The New Fund Offer (NFO) price for the scheme is Rs. 10 per unit. The new issue will be open for subscription from 30 January and close on 2 February 2012.
News Source – INDIA INFOLINE.
9.SEBI relaxes MF advertising code, raises PMS limit to 25 lakh.
Advertising rules to be made principle based. Also, the definition of advertisement for mutual funds is broadened to include all forms of communication that may influence investor's decision. AMCs had earlier requested SEBI to relax advertisement regulation as the stringent rules laid down by the regulator were resulting in cluttered advertisements. Moreover, the ads were not able to convey the message to investors. "According to the current guidelines, it consumes a lot of space and ads look cluttered and my message gets lost. SEBI is considering relaxing some of the advertisement rules," a sales head of a top AMC had opined a few weeks back.
SEBI has also raised the minimum for new investors willing to enjoy portfolio management service (PMS). According to the new rule, minimum investment needed to open a PMS account is Rs. 25 lakh.
News Source – CAFE MUTUAL.
10.Mirae Asset Cash Management Fund: Change in Benchmark.
Mirae Asset Mutual Fund has announced the Change in Benchmark Index of Mirae Asset Cash Management Fund, with effect from February 1, 2012. Now, the benchmark will be CRISIL Liquid Fund Index instead of CCIL Mibor.
News Source – VALUE RESEARCH.
11.Principal Emerging Bluechip Fund: Change in Fundamental Attribute.
Principal Mutual Fund has revised the definition of small cap stocks for Principal Emerging Bluechip Fund. Now, the small cap stocks will be identified as bottom five stocks of CNX Midcap Index in respect of market capitalization on the last trading day of the preceding calendar quarter. Then, the average market cap for the last five trading days will be computed. Therefore, the market cap of a small cap stock should be less than the average market cap computed above.
News Source – VALUE RESEARCH.
12.Mirae Asset Mutual Fund to introduce new facilities to unit holders.
Mirae Asset Mutual Fund has decided to introduce the following facilities to unit holders, w.e.f 30th January 2012.
1.Variable Transfer Plan
2.Trigger Investment Plan
3.Group Investment Plan
For more details please visit: http://www.miraeassetmf.co.in/