Mumbai, Jan 31 (UNI) Lotus India AMC, a joint venture between Fullerton Fund Management Group and Sabre Capital Worldwide, has announced the launch of its open-ended dedicated Gilt Fund.
The objective of the Lotus India Gilt Fund is to generate optimal returns by investing in a portfolio of securities issued and guaranteed by the Central and State Government. The Fund may utilise derivatives as permitted by regulations in order to achieve its objective, a press release issued here today said.
The Fund offers two plans, the Long Duration Plan is ideal for investors, including institutions with a view of six months and above and the Short Duration Plan is ideal for investors including institutions with a view of three-six months. Both the plans provide sub-plans - Retail and Institutional - with two options, Growth and Dividend. There is a sub-option under Dividend that is Reinvestment and Payout.
The scheme is open for subscription from yesterday and will close on February six. It will reopen for continous purchases on or before February 11.
Lotus India AMC Chief Executive Officer Ajay Bagga said, ''The Indian debt market is interestingly poised at the moment. After witnessing a rising interest rate environment over the past few years, we have entered a neutral zone with strong possibility of a soft interest rate environment. We expect long duration funds and within that category Gilts Funds to outperform in the coming months on the back of these expectations of softer interest rate regime.'' UNI MR NM AG1818