NFO Period from 17 May to 14 June 2010
SBI Mutual Fund has unveiled a new fund named as SBI PSU Fund, an open
ended equity scheme. The New Fund Offer (NFO) price for the scheme is
Rs 10 per unit. The new issue is open for subscription from 17 May and
closes on 14 June 2010.
The objective of the scheme would be to provide investors with
opportunities for long-term growth in capital along with the liquidity
of an open-ended scheme through an active management of investments in
a diversified basket of equity stocks of domestic Public Sector
Undertakings and in debt and money market instruments issued by PSUs
and others.
SBI PSU Fund is a thematic fund focusing on investment in
Public Sector Enterprises. As the reform process progresses over the
next five to ten years, PSUs are likely to emerge as more robust and
vibrant players in different parts of the economy. Despite large-scale
privatization across the world, public enterprises remain an important
aspect of the economic activity in varying degrees.
The scheme will have dividend and growth option. Dividend option shall have payout and reinvestment option.
The scheme would allocate 65% to 100% of assets in equity and equity
related instruments covered under the universe of PSU Companies
including derivatives with medium to high risk profile. It would
further allocate up to 35% of assets in debt and money market
securities with low to medium risk profile.
The minimum application amount is Rs 5000 and in multiples of Re 1.
The fund seeks to collect a minimum subscription amount of Rs 100 crore under the scheme during the NFO period.
For exits within 3 years from the date of allotment, an exit load of 1%
will be charged. For exits after 3 years from the date of allotment, no
exit load will be charged
Benchmark Index for the scheme will be BSE PSU Index.
The fund manager for the scheme will be Mr. R. Srinivasan.