Birla Sun Life offers Capital Protection Oriented Plan

New Delhi, Jun 19 (UNI) One of the country's leading mutual funds Birla Sun Life Mutual Fund today launched Birla Sun Life Capital Protection Oriented Plan.

Birla Sun Life Capital Protection Oriented Fund (BSLCPF) is a capital protection oriented scheme with an objective to seek capital protection by investing in high quality fixed income securities maturing in line with the tenure of the scheme and seeking capital appreciation by investing in equity and equity related instruments.

''Birla Sun Life capital Protection fund is an apt fit in the low to moderate risk-taking investor's portfolio. The fund offers such investors an opportunity to invest in a market-linked investment avenue without compromising on their risk profile,'' company's CEO Mukul Gupta said in a statement here.

''The current market scenario which is favourable for both debt and equity investing since there has been a significant upward movement in the interest rates and at the same time, the stock markets have also continued to maintain its positive growth momentum it makes sense to benefit from the growth of these markets by investing in a fund that gives an investor an exposure to both these with minimal levels of risk,'' he added.

The fund's portfolio will comprise of high quality debt instruments that would mature to the initial value of investment.

The rest of the portfolio would be invested in a diversified basket of growth stocks that would be managed actively.

BSLCPF offers two plans with three-year and five-year investment horizons. The three-year plan can invest up to 16 per cent of its corpus in equity/equity-linked instruments while the rest (84-100 per cent) will be held in debt and money market instruments.

Conversely, the five-year plan can invest a higher portion (up to 23 per cent) of its corpus in equities/equity-linked instruments and balance (77-100 per cent) in debt and money market instruments.

The fund intends to invest in high growth stocks for the equity component of the portfolio. On the debt side, it will invest in high quality debt instruments, the statement said.

The NFO closes on July 6, and the minimum invest amount will be Rs 5,000, and in multiples of one rupee thereafter.

UNI