1.2012 could see return of investor interest in equity mutual funds.
The year 2012 could see the return of interest in equity funds as markets are expected to respond positively to policy actions like rate cuts. The funds can also benefit from gradual improvement in confidence due to policy actions aimed to mitigate concerns emerging out of the Euro zone debt crisis. Expected easing of monetary policy in other emerging markets is also expected to add to the positive sentiments. We could also see more wealth management firms taking the MF route to ensure the PMS (portfolio management services) money stay with them as the regulator has hiked the minimum investment amounts for PMS.
Debt funds could witness enhanced interest due to expectation of rate cuts over the short term, which will result in better risk-adjusted returns. The tight government fiscals could, however, limit the upside over the short term. There is a distinct possibility of fixed maturity plans also remaining attractive in the short term. The recent ruling of reducing the marked-to-market window from 90 days to 60 days and that all securities in the liquid schemes be valued could ensure that investors with a longer-term investment horizon stand to benefit.
News Source – LIVE MINT.
NEW FUND LAUNCH
2.Reliance Dual Advantage Fixed Tenure Fund – II – Plan A Floats On.
Reliance Mutual Fund has unveiled a new fund named as Reliance Dual Advantage Fixed Tenure Fund – II – Plan A, a close ended hybrid scheme with the duration of 3 years from the date of allotment. The New Fund Offer (NFO) price for the scheme is Rs. 10 per unit. The new issue will be open for subscription from 15 February and close on 28 February 2012.
News Source – INDIA INFOLINE.
3.LIC Nomura MF Quarterly Interval Fund – Series 2 announces dividend.
LIC Nomura Mutual Fund has announced 21 February 2012 as the record date for declaration of dividend under the dividend option of LIC Nomura MF Quarterly Interval Fund – Series 2. The quantum of dividend will be 100% distributable surplus as on record date on the face value of Rs. 10 per unit.
UTI Mutual Fund has announced 21 February 2012 as the record date for declaration of dividend under UTI-Fixed Maturity Plan-Yearly Series (YFMP 01/11). The quantum of dividend will be 100% of distributable surplus as on the record date on the face value of Rs. 10 per unit.
UTI-Fixed Maturity Plan-Yearly Series (YFMP 01/11) is a close-ended Umbrella Income Scheme seeking to generate regular returns through investments in Debt /Money Market instruments and Government securities normally maturing in line with the time profile of the Plan.
5.UTI Fixed Income Interval Fund Quarterly Interval Plan III announces dividend.
UTI Mutual Fund has announced 21 February 2012 as the record date for declaration of dividend under the dividend option of UTI Fixed Income Interval Fund Quarterly Interval Plan III. The quantum of dividend will be 100% of distributable surplus as on the record date on the face value of Rs 10 per unit.
UTI Fixed Income Interval Fund – Quarterly Interval Plan III is a debt oriented interval scheme. The scheme aims to generate regular returns by investing in a portfolio of fixed income securities normally maturing in line with the time profile of the respective Plan. Each Plan will invest in a distinct portfolio of securities. However, the scheme does not guarantee / indicate any returns.
News Source – NAV INDIA.
6.Mutual Funds: BoI to enter MF again.
Public sector Bank of India (BoI) is hopeful of starting its asset management business next fiscal and is currently waiting for regulatory approvals. BoI recently bought 51% stake in the mutual fund business of Bharti Axa Mutual Fund, a joint venture between the telecom company Bharti Enterprises and Axa Investment Managers of France.
"At present, we are waiting for necessary approvals from the regulator. We can't give any timeframe but are hopeful of starting our operation in the next fiscal," BoI chairman and managing director Alok Misra said.
News Source – MONEY LIFE.