AIG MF Files An Offer Document

AIG MF has filed an offer document for AIG Mid Cap Fund. It is an open-ended equity scheme. The units of the scheme will be available at Rs 10 per unit. The scheme offers two plans viz. Regular Plan and Institutional Plan. Both the plans will have a common portfolio. The scheme will invest 75%-100% in equity and equity related securities of midcap companies, 0-25% in equity and equity related securities other than the above or in debt and money market securities.

Minimum Application Amount for regular plan will be Rs. 5000. In the case of purchases through SIP and STP, the minimum installment amount shall be Rs 1,000. Under institutional plan minimum amount will be Rs 5 crores. For all subsequent purchases, the application must be for a minimum amount of Rs 5 lakhs. Scheme will charge an entry load of 2.25% for the investment of less than Rs. 5 crores. For the investment of Rs. 5 crores and above there will be no entry load. For purchases made through SIP/STP entry load will be 1.25% of applicable NAV. Under regular plan for investments less than Rs 5 crores, exit load will be 1.00% if redeemed within 1 year from the date of allotment. For investments of Rs 5 crore there will be an exit load of 0.50% if redeemed within 6 months from the date of allotment.

For SIP/STP, an exit load of 1.00% will be levied if units are redeemed within 2 years from the date of allotment. However, there will be no exit load if units are redeemed after 2 years. Under institutional plan exit load will be 0.50% if investment is redeemed within 6 months from the date of allotment.

The scheme will be benchmarked against CNX Midcap Index

The investment objective of the scheme is to generate long-term capital appreciation from a diversified portfolio of predominantly equity and equity-related securities including equity derivatives. The scheme will primarily invest in midcap companies.