UTI Mutual Fund has launched the UTI Floater Fund via a new fund offer (NFO). The NFO period for this scheme will start on 12th October and end on 26th October 2018. Subsequent to completion of the NFO period, this scheme will open for continuous sale and redemption on 31st October. The scheme is an open-ended debt scheme with nil exit load so that you can purchase/redeem units of the fund on all days when markets are open. To participate in this NFO, you will have to make an initial investment of at least Rs. 5,000.
UTI Floater Fund will invest at least 65% of assets in various floating rate instruments including securitised debt and fixed rate debt instruments that are swapped to get floating rate returns. Securitised debt investments of the scheme will be capped at 50% of total scheme assets. Additionally, the scheme will invest up to 35% of assets in various money market and debt instruments including CBLO (collateralised borrowing and lending obligations) and Repos. The scheme is also allowed to invest no more than 10% of available assets in units issued by InvITs (Infrastructure Investment Trusts) and REITs (Real Estate Investment Trusts).
CRISIL Ultra Short Term Debt Index has been selected as the benchmark for the UTI Floater Fund. This benchmark is designed to track the performance of an ultra short term debt portfolio consisting of treasury bills, certificates of deposits, commercial papers and short term corporate bonds rated AAA/AA+/AA. The 1 year, 3 year and 5 year returns of this scheme were recorded at 7.04%, 7.64% and 8.32% respectively (as of 31st August 2018).
UTI Floater Fund will be co-managed by Amandeep Chopra and Sudhir Agarwal. They currently manage/co-manage other UTI MF schemes as well including UTI Retirement Benefit Pension Fund, UTI Regular Savings Fund, UTI Bond Fund and UTI Short Term Income Fund. Among these, the UTI Retirement Benefit Pension Fund has emerged as one of the top performers in its category featuring 3 year and 5 year returns of 8.2% and 11.3% respectively.
Additional Information about the UTI Floater Fund NFO:
|NFO Period||12th October to 26th October|
|Minimum Investment||Rs. 5000|
|Benchmark||CRISIL Ultra Short Term Debt Index|
|Fund Managers||Amandeep Chopra and Sudhir Agarwal|
|Available Options||Growth and Dividend payout/reinvest (quarterly, half-yearly, annual and flexi)|
Below are the top UTI Mutual Fund Schemes you can prefer Investing in.