It's the season of fixed maturity plans (FMPs). Mutual fund houses launched as many as 149 FMPs in March, as investors rushed to lock themselves into high interest rates and also take advantage of the double-indexation benefits provided by this product. Uncertain and volatile equity markets also contributed to demand for these fixed income products, mutual fund executives said.
FMPs are close-ended funds with a fixed tenure and invest in a portfolio of debt products, whose maturity coincides with the maturity of the product. The primary objective of an FMP is to generate income while protecting the capital, by investing in debt and money market securities.
News Source -Â BUSINESS STANDARD.
Liquidity squeeze in the banking system and rising interest rates during the year appear to have made the mutual fund industry's liquid funds bounce back in terms of the growth in their assets under management (AUM). In the present financial year (FY12), as of the end of February, liquid funds' collective AUM stood at Rs 1,57,455 crore, 1.1 times more than it did at the end of FY11.
Open-end debt funds also showed positive growth in their collective AUM, unlike close-end debt funds which have seen collective AUM growth stagnating, while interval debt funds' collective AUM has gone down. As a whole, debt funds category, comprising open-end debt funds, close-end debt funds and interval debt funds, showed a small 1.9 per cent growth in AUM. This was seen from an analysis of Securities and Exchange Board of India's (SEBI) updated FY12 data till February on AUM, number of folios, funds mobilised and number of schemes on various mutual fund categories.
News Source -Â FINANCIAL CHRONICLE.
HDFC Mutual Fund bagged the Best Fund House and Best Equity Fund House awards while Birla Sun Life Mutual Fund walked away with the Best Debt Fund House of The Year Award. Reliance Gold Savings Fund, which allows investors to invest through SIP without a demat account, won the Most Innovative Fund Of The Year Award.
1) Large Cap Equity Funds: Fidelity Equity Fund 2) Diversified Equity Funds: Mirae Asset India Opportunies Fund 3) Small and Mid Cap Equity Funds: HDFC Mid-Cap Opportunities Fund 4) Equity Linked Savings Schemes: Fidelity Tax Advantage Fund 5) Index Funds: Kotak Sensex ETF 6) Balanced Funds: HDFC Balanced Fund 7) Income Funds: UTI Bond Fund 8) Monthly Income Plans: HDFC Monthly Income Plan 9) Income Funds: Short Term – JPMorgan India Short Term 10) Ultra Short Term Fund: Retail – HDFC Cash Management 11) Liquid Funds: Retail – Principal Cash Management
News Source -Â CAFE MUTUAL.
Daiwa Mutual Fund has announced that effective from 1 April 2012, dividend will be declared on a monthly basis on the 25th of every month for Daiwa Government Securities Fund – Short Term.
News Source -Â INDIA INFOLINE.
JM Financial Mutual Fund has announced winding up of JM Fixed Maturity Fund-Series XXII-Plan B, a close ended income plan, which was open for subscription 28 March to 29 March 2012, as it was not able to meet the minimum subscription criteria set out in the Scheme Information Document of the plan.
News Source -Â NAV INDIA.
NEW FUND OFFER
Canara Robeco Mutual Fund has filed offer document with SEBI to launch Canara Robeco Gold Savings Fund, an open ended fund of fund scheme. The New Fund Offer price is Rs. 10 per unit. The objective of this scheme is to provide returns that closely correspond to returns provided by Canara Robeco Gold Exchange Traded Fund.
NEW FUND LAUNCH
Reliance Mutual Fund has launched a new fund named as Reliance Fixed Horizon Fund – XXII – Series 2, a close ended income scheme with the duration of 368 days from the date of allotment. During the New Fund Offer (NFO) the scheme will offer units at Rs. 10 per unit. The new issue will be open for subscription from 4 April and will close on 10 April 2012.