Principal Pnb AMC launches Principal Pnb Long Term Equity Fund

Mumbai, Jan 22 (UNI) Principal Pnb Asset Management Company, in association with Vijaya Bank, has announced their entry into the mid and small-cap segment with the launch of Principal Pnb Long Term Equity Fund-3 year plan (Series 1).

The three-year close-ended plan is aimed at achieving long-term capital appreciation by investing in equity and equity related instruments. The offer opens on January 24 and closes on February 21, a press release issued here said.

Company business head Rajan Krishnan said in the release, ''The mid/small caps have superior long-term performance prospects. The under-performance of mid/small caps in 2006 is a huge opportunity as mid caps have consistently out-performed large cap stocks year on year.'' ''The Scheme will have a diversified portfolio of fundamentally strong mid/small cap companies with a bottoms-up stock selection process and no sector bias,'' company fund manager R Srinivasan said in the statement.

He added, ''Mid and Small Cap Universe comprises about 19 per cent of total market cap with about 94 per cent of total number of companies. The Principal Long Term Equity Fund will not only offer investors optimised portfolio returns and low levels of volatility but also higher safety of capital.'' UNI LS MAZ SKB1550