Wednesday, June 01, 2011

Reliance MF Extends Reliance SIP Insure Facility under Three Schemes

With effect from 8 June 2011 

Reliance Mutual Fund has provided an add on feature of life insurance feature cover under a Group Term Insurance to Individual Investor opting for an add on feature which is called “Reliance SIP Insure”, without any extra cost to the investor. (the Cost of the Insurance Premia is being borne by Reliance Capital Asset Management Limited (RCAM).

Reliance SIP Insure facility has been extended to schemes such as Reliance Long Term Equity Fund, Reliance Infrastructure Fund and Reliance Small Cap Fund with effect from 8 June 2011.

Revised Feature of “Reliance SIP Insure” – with effect from 8 June 2011

Sum Assured: An amount equivalent to the aggregate balance of unpaid SIP installments, subject to a maximum of Rs 10 lakhs per investor across all schemes / plans and folios will be invested in the Nominees' account.

Eligibility Criteria: Only individual investors whose completed age is between 18 years and 45 years (inclusive of both) at the time of investment.

SIP Tenure:

a) Maximum Period of Contribution for SIP: No upper limit for SIP tenure. The investor can opt for Perpetual SIP also. However the insurance cover ceases when the investor attains 55 years of age or upon the completion of the SIP insure tenure whichever is earlier.

b) There will be an exit load of 2%, if the accumulated units acquired or allotted under Reliance SIP Insure are redeemed or switched out or the SIP Insure is discontinued or it is defaulted before the maturity of committed SIP Insure tenure or before completion of 55 years of age whichever is earlier as opted in the respective scheme either by the SIP Insure unitholder or by the nominee, as the case may be.

Upon completion of 55 years of age, if there are still balance unpaid SIP installments, those will be treated as with the relevant exit load as may be existing from time to time. The following exit load structure is applicable for all kinds of redemptions in the following schemes as on date: Reliance Growth Fund – Retail Plan, Reliance Vision Fund – Retail Plan, Reliance Equity Opportunities Fund – Retail Plan, Reliance Equity Fund – Retail Plan, Reliance Equity Advantage Fund – Retail Plan, Reliance Regular Savings Fund – Equity Option, Reliance Regular Savings Fund – Balanced Option, Reliance Banking Fund – Retail Plan, Reliance Pharma Fund, Reliance Media & Entertainment Fund, Reliance Diversified Power Sector Fund – Retail Plan, Reliance Natural Resources Fund – Retail Plan, Reliance Quant Plus Fund – Retail Plan, Reliance Long Term Equity Fund and Reliance Infrastructure Fund – Retail Plan.

1 % if redeemed / switched out on or before completion of 1 year from the date of allotment of units. Nil if redeemed / switched after completion of 1 year from the date of allotment of units.

While Reliance Small Cap Fund has the following exit load:

2 % if redeemed or switched out on or before completion of 12 months from the date of allotment of units.  1 % if redeemed or switched out after 12 months but on or before completion of 24 months from the date of allotment of units.

While nil load in Reliance Tax Saver (ELSS) Fund.