UTI Mutual Fund (UTI) launches an open-ended scheme replicating/tracking the S&P BSE Sensex Total Return Index (TRI) - 'UTI Sensex Index Fund'. The New Fund Offer opens on January 19, 2022 and closes on January 24, 2022. The scheme will re-open for subscription and redemption on ongoing basis from February 01, 2022.
The investment objective of the scheme is to provide returns that, before expenses, closely 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.
Mr. Sharwan Kumar Goyal is the Fund Manager for the scheme.
On the occasion, Mr. Sharwan Kumar Goyal, Head - Passive, Arbitrage & Quant Strategies, said, "UTI Sensex Index Fund is a low-cost index fund which will track the S&P BSE Sensex Index passively. The scheme endeavors to achieve return equivalent to underlying index while minimizing tracking error. The scheme will aim to offer an opportunity to capitalize on growth of basket of blue-chip companies in a disciplined manner."
UTI Sensex Index fund will offer exposure to diversified portfolio of 30 largest, most liquid and financially sound companies across key sectors of the Indian economy. It is suitable for investors looking for simple yet cost effective way of investing in 'Top30' companies on the listed universe of BSE.
Salient features of UTI Sensex Index Fund
The scheme is open to resident individuals, non-resident Indians, Banks, eligible Trusts, Financial Institutions, Foreign Portfolio Investor (FPI) etc.
New Fund Offer Price
During the NFO period, the units of the scheme will be sold at face value i.e., Rs. 10/- per unit.
Securities covered by S&P BSE Sensex Index - 100% (Maximum) and 95% (Minimum) - Medium to High (Risk Profile).
Debt / Money Market instruments including Triparty Repo on Government Securities or Treasury bill and units of Liquid Mutual Fund - 5% (Maximum) and 0% (Minimum) - Low (Riks Profile).
Minimum Application Amount
Minimum initial investment is Rs. 5,000/- and in multiples of Re. 1/- thereafter.
Additional purchase amount is Rs. 1,000/- and in multiples of Re. 1/- thereafter with no upper limit.
Minimum amount of redemption is Rs. 1,000/- and in multiples of Re. 1/- thereafter to be reckoned at prevailing NAV on the date of redemption. In case of partial redemption, the condition holding minimum investment prescribed under the scheme/plan has to be satisfied.
Plans and Options Available
The scheme offers Regular Plan and Direct Plan.
Both the plans offer only Growth Option.
- Entry Load: NIL (Not applicable as per SEBI guidelines)
- Exit Load: NIL
Benchmark Index - S&P BSE Sensex TRI
Special Products / Facilities Offered
- Systematic Investment Plan (SIP)
- Step up facility
- Any Day SIP
- Micro SIP (Non PAN exempt folios)
- Pause facility
- Systematic Withdrawal Plan (SWP)
- Systematic Transfer Investment Plan (STRIP) (Available as Destination Scheme and Source Scheme)
- Flexi Systematic Transfer Investment Plan (Flexi STRIP) (Available as Destination Scheme and Source Scheme)
UTI Sensex Index Fund
(An open-ended scheme replicating/tracking the S&P BSE Sensex Index TRI)This product is suitable for investors who are seeking*:
- Capital growth in tune with the index returns
- Passive investments in equity instruments comprised in S&P BSE Sensex Index
(Product labelling assigned during the NFO is based on internal assessment of the scheme characteristics or model portfolio and the same may vary post NFO when the actual investments are made. *Based on the Index Composition as December 31, 2021.)
Shares of UTI Asset Management Company Limited was last trading in BSE at Rs. 1057.60 as compared to the previous close of Rs. 1058.60. The total number of shares traded during the day was 7914 in over 1151 trades.
The stock hit an intraday high of Rs. 1083.10 and intraday low of 1054.30. The net turnover during the day was Rs. 8501338.00.