UTI to raise Rs4,000 cr from Infrastructure Advantage Fund

UTI to raise Rs4,000 cr from Infrastructure Advantage Fund
PTI
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First Published: Mon, Nov 12 2007. 05 56 PM IST
Updated: Mon, Nov 12 2007. 05 56 PM IST
New Delhi: UTI Mutual Fund on Monday said it expects to raise over Rs4,000 crore from the New Fund Offer (NFO) Infrastructure Advantage Fund-Series I, the latest equity scheme from the country’s oldest fund house.
“We expect to raise in excess of Rs4,000 crore from this fund,” UTI Mutual Fund Chief Marketing Officer Jaideep Bhattacharya said here.
It is going to be ‘magnum opus´ for the UTI Mutual Fund as the last biggest NFO was Leadership Fund which raised around Rs2,100 crore, he said.
Available in two options - growth and dividend, the three-year close ended equity scheme aims to provide medium to long term capital appreciation by investing predominantly in equities of equity-related instruments of infrastructure companies.
Of the total corpus, 10% is likely to come from the global retail investor primarily from Middle-East, he said.
Talking about the scheme, he said, investment in infrastructure has gained momentum in the last few years and is experiencing a rapid growth across different sub-sectors. The fund aims to capitalise on this boom.
The scheme with portfolio size of about 50 stocks will invest in sectors like construction, energy, engineering, metals, power, telecom, transportation and airports, he said.
The fund house, he added, has a track record of managing an existing fund in the infrastructure sector, which has an open-ended architecture and has given handsome return.
The scheme, which closes on 19 December, has minimum investment amount of Rs5,000.
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First Published: Mon, Nov 12 2007. 05 56 PM IST
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