Generate Regular Returns By Investing Mf - Sep 29, 2008

UTI Mutual Fund has launched UTI Fixed Income Interval Fund - Series II - Quarterly Interval Plan VII on 26 September 2008. The new issue will be open for subscription till 06 October 2008. The New Fund Offer (NFO) price for the fund is Rs 10 per unit.

It is an interval scheme. The objective of the scheme is to generate regular returns by investing in a portfolio of fixed income securities normally maturing in line with the maturity period of the plan. The scheme offers two plans viz. retail and institutional plan with growth and dividend options. Dividend option further offers dividend payout and reinvestments facility. The minimum application amount under retail plan will be Rs 10, 000 for dividend and for growth sub option and in multiples of Re 1 thereafter. For the institutional plan, the minimum investment amount is Rs 1 crore and in multiples of Re 1 thereafter. The scheme will have investment up to 10-100% in money market instruments. It will invest 0-90% in government securities issued by Central and or State government and other fixed income / debt securities including but not limited to corporate bonds and securitised debt. Debt securities will also include securitised debt, which may go up to 100% of the portfolio.

The fund will charge no entry load as the scheme. The scheme may charge 1% as an exit load for the redemptions done on any time other than specified transaction period. The Specified Transaction Period is the specified/ dates/ period on / during which subscription / redemption / switches may be made in the scheme without any load once a quarter under the quarterly interval plans. Specified Transaction Period shall be open at least for 1 day for subscription/ redemption/ switch-out/ switch-in without any load, every quarter after expiry of 1 quarter from the date of allotment.