Securities With Low Risk Profile In Assets Plans - Nov 18, 2008

HDFC Mutual Fund house has launched HDFC Fixed Maturity Plan 90D November 2008 (3) under HDFC Fixed Maturity Plans-Series X. The new offer period (NFO) will be open for subscription on 20 November and close for subscription on 24 November 2008. The face value of new issue is Rs 10 per unit.It is a close ended income scheme.

The investment objective of the plan under the scheme is to generate regular income through investments in debt, money market instruments and government securities.

HDFC Fixed Maturity Plan 90 Days November 2008 (3) offers wholesale plan and retail plan with growth and dividend option.

Under retail plan, the minimum application amount will be Rs. 5,000 and in multiples of Re. 1 thereafter. Under wholesale plan, the minimum investment amount is Rs. 25 lakh and in multiples of Re. 1 thereafter.

The scheme will invest 60%-100% in debt and money market instruments, with low to medium risk profile. The scheme will also invest upto 40% in government securities with low risk profile. Investment in securitised debt will not exceed 75% of the net assets of the respective plans.

The scheme will not levy entry load charged due to its close-ended structure. An exit load of 1.00% is payable if units are redeemed/switched-out before Maturity / final redemption date. No exit load is payable on maturity / final redemption date of the plan.

The benchmark index for the scheme would be Crisil Liquid Fund Index.Bharat Pareek will handle the investments under the scheme.