Bharti AXA MF launches maiden Fixed Income Funds

Bharti AXA MF launches maiden Fixed Income Funds
Source : moneycontrol

Bharti AXA Investment Managers, a joint venture between Bharti Ventures Ltd, AXA Investment Managers and AXA Asia Pacific Holdings today announced the launch of their maiden Fixed Income products – Bharti AXA Liquid Fund and Bharti AXA Treasury Plus. These are the first MF schemes offered by Bharti AXA Investment Managers, post receipt of SEBI approval in the Indian Market. The primary objective of these funds is to deliver reasonable market related returns with lower risk and higher liquidity, through investment in debt and money market instruments. (View - New Fund Offers open NOW)

The New Fund offer commences on July 9, 2008 and closes on July 14, 2008. Both are open-ended scheme and have CRISIL Liquid Fund Index as the Benchmark Index.

The Unit Offer price for both the schemes is Rs 1,000 per unit during NFO period. No entry and exit load will be applicable for Bharti AXA Liquid Fund; whereas an exit load of 0.25% is applicable on Bharti AXA Treasury Plus, if redeemed before 7 days from allotment. A retail investor can start with as little as Rs 5,000 and minimum additional investment of Rs 1,000 thereafter. For institutional investors the minimum investment amount is Rs 1 crore and minimum additional investment of Rs 1 lakh thereafter. In the liquid scheme an additional category of Super Institutional investors is also created, where minimum investment is worth Rs 25 crore. There is no upper limit for investment under both the schemes.

The schemes offers two investment options/plans – Growth and Dividend Reinvestment for all investors. Dividend Payout option can be availed by Institutional/Super-Institutional investor of the liquid and income scheme.

The asset allocation pattern for liquid scheme is 80% - 100% investment in money market instruments upto 1 year residual maturity and debt instruments (including Asset Backed Securities) upto 6 months residual or average maturity; and 0-20% in debt instruments beyond 6 months of residual or average maturity at the time of purchase but all upto 1 year, whereas in case of Bharti AXA Treasury Plus, the asset allocation pattern is for investment of 50%-100% in money market and debt instruments of upto 1 year residual maturity (including Asset Backed Securities) and 0-20% in debt instruments beyond 6 months of residual or average maturity at the time of purchase.

Speaking on the launch, Sujoy Kumar Das, Head-Fixed Income, Bharti AXA Investment Managers said, “Bharti AXA strives to achieve the right balance between superior risk adjusted returns and high liquidity thus creating a right combination for investing your short-term surplus funds.”.