Principal MF Files Offer Document With SEBI

Principal Mutual Fund has filed an offer document with SEBI for its Principal PNB fixed maturity plan 385 Days - Series V.
The investment objective of the scheme is to build an income-oriented portfolio and provide returns along with regular liquidity to investors.

The scheme will have two investment plans that is regular plan and institutional plan with growth and dividend options under each plan. The dividend option under both plans will have the facility of payout and sweep.

The scheme may invest in domestic securitised debt such as asset backed securities (ABS) or mortgage backed securities (MBS). ABS are securitized debts where the underlying assets are receivables arising from various loans including automobile loans, personal loans, loans against consumer durable, etc. MBS are securitized debts where the underlying assets are receivables arising from loans backed by mortgage of residential / commercial properties.

The scheme would invest in money market instruments and short dated debt instruments, including government securities.

The asset allocation will involve the investment up to 100% in debt and money market instruments.

The minimum target amount under the scheme will be Rs 100 million. And the minimum application amount will be Rs 1,000 under Regular Plan and Rs 5 million under institutional plan for dividend option and growth options under both the plans and any amount thereafter under each plan.