Mumbai: UTI Mutual Fund launched a three-year closed-end, equity-oriented scheme, the UTI-India Lifestyle Fund, on 2 July.
The new fund offer (NFO) is open between 2-25 July and purchase of units will be available only during the NFO period, a press release issued here stated.
The investment objective of the scheme is to provide long-term capital appreciation and/or income distribution from a diversified portfolio of equity and equity-related instruments of companies that are expected to benefit from changing Indian demographics, lifestyles and rising consumption pattern.
Jaideep Bhattacharya, Chief Marketing Officer, UTI AMC, said, “Consumers are showing a marked preference for new products and services that deliver higher levels of quality than conventional items. This has changed the scale of demand for household goods and services such as autos, home goods, telecom, consumer finance, leisure, entertainment, media, etc.”
“UTI-India Lifestyle Fund endeavours to invest in companies, which benefit directly from changing lifestyles of people of India, Bhattacharya added.
The face value of units is Rs10 and the plan is open to resident individuals, institutions as well as to NRIs and FIIs. Minimum investment is Rs5,000 and in multiples of Re1 thereafter without any upper limit.
On maturity, the scheme will be converted into an open-ended scheme.
The scheme will offer redemption/switch-out of units on an ongoing basis at half-yearly intervals at NAV-based prices.
The redemption/switch-out will be available only during the specified redemption period—five business days on an half-yearly basis after the closure of NFO.