Union KBC Mutual Fund has filed an offer document with SEBI to launch an open-ended gold fund of fund. The scheme will invest a minimum of 95% of assets in gold exchange traded funds (Gold ETFs) and the remainder will be invested in CBLO, reverse repo, units of liquid fund, fixed deposit.
The scheme offers growth and dividend option. The dividend option comes with reinvestment, payout and sweep facility. Under this facility, the dividend declared will be transferred to an open-ended scheme of the fund, selected by the investor, at the available NAV based prices.
The minimum amount for application is Rs. 5000. The minimum installment for monthly SIP is Rs. 1000 subject to a minimum period of 12 months, whereas for quarterly-SIP it has to be Rs. 3000 for a minimum period of 4 quarters.
The minimum amount for additional application is Rs. 1000 and in multiples of Re. 1 thereafter.
There will be an exit load of 1% on units redeemed/switched out within 1 year from the date of allotment.
The scheme will be managed by Devesh Thacker and benchmarked against CRISIL Gold Index.
