Guwahati, Nov 14 (UNI) UTI Mutual Fund (UTIMF) today announced the launch of a new UTI Infrastructure Advantage Fund Series 1.
The New Fund Offer (NFO) has already opened on November 12 and the closing date is December 19.
UTIMF Fund Manager D Bhattacharya said the scheme is a three year close ended equity scheme with an investment objective to provide income distribution or medium to long term capital appreciation by investing in equity or related instruments in the companies engaged in the infrastructure growth of the Indian economy.
'' The GDP growth is related to infrastructure growth and the country's GDP during past few years has given a tremendous scope to invest in this sector,'' he said.
He pointed out that the plan to spend over Rs 20 lakh crore during the 11th Plan period would bring more investment to the infrastructure sector.
''A similar scheme launched by UTI about three years ago has been doing very well,'' the UTI official claimed and informed that the net asset value of the scheme has gone up to Rs 45 per unit of Rs 10.
They also predicted a similar success for the new scheme.
The units of the new scheme can be purchased only during the NFO period at the face value of Rs 10 per unit and the minimum investment is Rs 5000 with no upper limit.
The amount would be invested mainly in construction, energy, engineering, metals, power, telecom, transportation, airports etc, they said.
UTIMF's existing fund in the infrastructure sector has been rated as a five star fund by Value Research and CPR1 by CRISIL, they said adding that UTIMF has assets of Rs 51753 crore under its management and investor accounts of over eoght million under 73 domestic schemes.
It is a SEBI registered mutual fund with sponsors like State Bank of India, Punjab National Bank, Bank of Baroda and Life Insurance Corporation.