UTI Mutual Fund floats two new schemes

Bangalore, Jan 3: Encashing on the growing confidence of investors in the capital market, UTI Mutual Fund has come out with two new funds targetting first time investors.

The schemes, UTI Capital Protection Oriented Scheme, Series I and UTI Long Term Advantage Fund aimed to provide medium to long term capital appreciation along with income tax benefit and protect the capital by investing in high quality fixed income securities.

Providing highlights of the two schemes UTI, President and Country head of UTI AMC, Rajesh Bhojani said the UTI Capital Protection orientation scheme aimed to protect capital which originated from the portfolio structure of the Scheme. It had been rated AAA (SO) by Crisil, indicating the highest degree of certainty regarding payment of face value of investment to unit holders on maturity.

It came in two plans with the first one having a three year duration and the second one for five years. The asset allocation under the Capital protections scheme would be 80 to 100 per cent on debt and money market with the balance on equity related instruments for a three year scheme and 70 to 100 per cent on debt and money market and upto 30 per cent in equity related schemes for five year period. The fund which opened on December 26 last year will close on January 25.

On the Long Term Advantage plan, he said bulk of the investment would be in equity related instruments and would be a ten year close ended scheme with the initial lock in period of three years.

Mr Amandeep Chopra Fund Manager said the scheme aimed to build and maintain a diversified portfolio and the Fund combined the benefit of long term investing with tax benefit. The fund will be open till March 20.

UNI