ICICI Pru MF Plans Considers Fund

Kolkata: ICICI Prudential Mutual Fund has worked out a three-year close-ended debt fund that will infuse in securities related to the real estate sector. The proposed ICICI Prudential Real Estate Fund despite the name, this is not a vehicle for direct investment in real estate projects will try to generate income via investments in debt securities of companies that are in, or are associated with, or benefit from, the real estate sector.
To offer liquidity to the investors, the fund will provide repurchase facility at quarterly intervals on every 15th day from the end of the calendar quarter. The fund likely to under normal circumstances allocate between 51 per cent and 100 per cent to debt securities, the offer document sent to SEBI has mentioned. The initial allocation will typically be 70 per cent in debt and 30 per cent in equity. The fund will, inter alias, infuse in companies that dabble in the following: real estate development, banks & finance companies, cement, construction, hotels and retail.