The new fund offer opens for subscription on September 3, 2008 and will close for subscription on September 10, 2008. This scheme is a close-ended debt scheme with an objective to seek to generate reasonable returns and reduce interest rate volatility primarily through investment in money market and short term debt instruments with a maturity profile generally in line with the Plan's duration.
The performance of the Plan will be benchmarked against the CRISIL Short Term Bond Fund Index.
The fund offers both, retail and institutional plans. The minimum application amount for the retail plan is Rs. 5000 and under the institutional plan, it is Rs. 1crore. The fund would offer a redemption facility on the maturity date without the payment of any load. Redemptions before the maturity date will be subject to an exit load of 2 per cent.
Fidelity International's Indian asset management company started operations in the country in 2004. Its first fund, the Fidelity Equity Fund, was launched in March 2005. Today, with total assets under management of over Rs. 7000 crores (Source: AMFI - average AUM in July 2008) and more than 1.6 million customer accounts, Fidelity offers Indian investors investment options through its five equity funds and five fixed income funds.
FIL Fund Management Private Limited is the Indian arm of Fidelity International, one of the world's leading global investment management companies with operations in 23 countries and more than US260 billion dollar in assets under management (as at March 31, 2008).
FIL provides mutual funds, retirement services, including defined benefit and defined contribution pension schemes, and specialist institutional mandates to individual and institutional investors outside the Americas. FIL's US affiliate, Fidelity Management and Research LLC (FMR) is one of the US's largest mutual fund companies and manages over US 1.5 trillion dollar (as at March 31, 2008).