SBI Mutual Fund launches SBI PSU Fund

SBI Mutual Fund has launched a new scheme SBI PSU Fund focusing on PSU growth potential. It is an open ended equity scheme, that aims to provide investors with opportunities for long-term growth in capital. The scheme invests in a diversified basket of equity stocks of domestic Public Sector undertakings. These PSUs are present in high growth trajectory sectors viz; financial services, Oil & Gas, engineering and capital goods space to offer you an opportunity to benefit over the long term.

The objective of the scheme would be to provide investors with opportunities for long-term growth in capital along with the liquidity of an open-ended scheme through an active management of investments in a diversified basket of equity stocks of domestic Public Sector Undertakings and in debt and money market instruments issued by PSUs and others.

Asset Allocation: Equity and equity related instruments covered under the universe of PSU Companies including derivatives: 65 %– 100 %,

Debt and Money Market Instruments 0%-35%

Exposure to derivatives instruments in the scheme may be to the extent of 50% of the net assets. Combined gross total exposure of debt (excluding CBLO/repo) + equity + derivatives (gross notional exposure) shall not exceed 100%. Exposure to securitized debt may be to the extent of 20% of the net assets.

Minimum Investment size: Rs. 5000/- and in multiples of Rs. 1/- thereafter

Load Structure:

Entry Load: Not Applicable
Exit Load: Exit within 3 years from the date of allotment – 1 %,
Exit after 3 years - Nil.

Terms of Issue: Sale of units - Rs. 10/- per unit during NFO and at NAV related prices on all business days on continuous basis, Liquidity: The scheme would provide repurchase facility to investors on an ongoing basis on all business day.

Risk Factors: Mutual Funds and Securities Investments are subject to market risks and there is no assurance or guarantee that the objective of scheme will be achieved. As with any other investment in securities, the NAV of the Units issued under the scheme can go up or down depending on the factors and forces affecting the securities market.

Source : Equity Bulls

Keywords