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Tag: Mutual Fund

  • SBI Mutual Fund Launches SBI Nifty 500 Index Fund | Personal Finance News

    New Delhi: SBI Mutual Fund has announced the launch of SBI Nifty 500 Index Fund, open-ended scheme replicating/ tracking Nifty 500 Index, as a part of its passive offering. The New Fund Offer (NFO) period for the scheme is September 17 – 24, 2024.

    “The investment objective of the scheme is to provide returns that correspond to the total returns of the securities as represented by the underlying index, subject to tracking error. However, there is no guarantee or assurance that the investment objective of the scheme will be achieved,” said the company in a release.

    The scheme would primarily invest a minimum of 95% and a maximum of 100% of its assets in stocks comprising the Nifty 500 Index and up to 5% in Government securities (like G-Secs, SDLs, treasury bills and any other like instruments as specified by the RBI from time to time), including triparty repo and units of liquid mutual fund. 

    The minimum application amount required is of Rs. 5,000 and in multiples of Re. 1 thereafter. Investments can also be done through daily, weekly, monthly, quarterly, semi-annual, and annual SIP (Systematic Investment Plan).

    Shamsher Singh, MD & CEO, SBI Funds Management Limited said: “As the largest fund house in the country, we continue to build on our strong franchise in the passive investment space, in addition to our actively managed funds. The SBI Nifty 500 Index Fund offers investors the opportunity to invest in companies across the entire Indian economy, encompassing over 92% of the total market cap of all listed companies. Investors who seek exposure to not only established large cap companies but also mid and small caps, passively and at a relatively lower cost can consider investing in this fund.”

  • IndusInd Bank Shares Up 2.6 Per Cent, Lender Received RBI Approval For AUM Business For Mutual Funds | Economy News

    New Delhi: The shares of IndusInd bank surged more than 2.67 per cent after the bank received approval from the Reserve Bank of India (RBI) to establish a wholly-owned subsidiary for undertaking the asset management business of Mutual Funds, the bank informed the exchange in a filing.

    The approval was communicated to the bank via a letter dated August 19, 2024. It also marks a significant step in the bank’s strategic expansion into the asset management sector.

    “This is to inform that the Reserve Bank of India vide letter dated August 19, 2024, has accorded its approval to the Bank for setting up a wholly owned subsidiary to undertake asset management business of Mutual Fund along with infusing equity capital in the said asset management subsidiary, subject to the additional conditions as set out in the said letter” said the Bank.

    According to the information by the bank as part of this initiative, IndusInd Bank is also authorized to infuse equity capital into the new asset management subsidiary. This move aligns with the bank’s broader goal of diversifying its financial services portfolio and enhancing its presence in the asset management domain, a sector experiencing robust growth in India.

    However, the RBI’s approval is accompanied by certain additional conditions, which the bank is required to adhere to, though the specifics of these conditions have not been disclosed.

    The establishment of the asset management subsidiary will allow IndusInd Bank to directly manage and offer a variety of mutual fund products, providing a comprehensive suite of investment options to its customers.

    The share of IndusInd Bank was trading at Rs 1383 after surging Rs 35 at the time of filing this report.