Quantum Mutual Fund now available on NSE's MFSS & BSE's StAR MF

Mumbai - December 22, 2009: Quantum Mutual Fund, India's 1st direct to investor mutual fund today announced the inclusion of its 3 equity mutual funds on National Stock Exchange's (NSE) Mutual Fund Service System (MFSS), and Bombay Stock Exchange's (BSE) StAR MF. As of December 21, 2009 the Quantum Long Term Equity Fund, Quantum Tax Saving Fund and the Quantum Equity Fund of Funds will be available to millions of investors through the NSE and BSE mutual fund platforms.

The MFSS platform launched on November 30, 2009, and the BSE StAR MF platform launched on December 04, 2009 provide investors with a gateway to purchase and redeem units of mutual fund schemes. Investors can choose to trade either in 'Physical' or in 'Depository' mode. To invest via the NSE & BSE, investors can call their AMFI certified stock exchange broker and place the order with them.

While this translates in added convenience for investors, fund houses like Quantum Mutual Fund, stand to gain in terms of the reach of the medium. NSE currently has 200,000 terminals, while the BSE has 40,000 terminals across India.

Speaking on the occasion, Ajit Dayal, Chairman & President, Quantum Asset Management Company said "Because of our refusal to pay mutual fund distributors commissions since our launch in February 2006, Quantum Mutual Fund has been the mutual fund industry's best kept secret. Many distributors were selling only those mutual funds which paid them high commissions, irrespective of the needs of the investors. Thus investors may not have heard of Quantum Mutual Fund. Now, due to the initiatives of the NSE & BSE, our flagship product - the Quantum Long Term Equity Fund - is available to millions of investors seeking to invest their money for their future needs and retirement. We will work with the BSE and the NSE to ensure the success of this more transparent and less expensive distribution system for mutual funds."

Commenting on the changes to be expected in the industry with the launch of these platforms, Ajit said, "The role of the distributor will definitely see a change. Instead of acting as a form-filling agent pushing those funds that paid the highest distribution fees, the distributor now needs to be an advisor - focused on what the investor wants."

Investors in mutual funds on the BSE and NSE platforms will pay a stipulated brokerage, versus the hidden costs of 2.5% to 4.0% they paid under the previously existing system. But investors will still need to be aware of which mutual funds to invest in and which mutual funds to stay away from.

For those investors who wish to continue investing directly in Quantum Mutual Fund, the fund house has recently expanded its application collection points to 212 Karvy centres across the country which covers most of the investing population.

Source : Equity Bulls

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