Reliance Mutual Fund has launched
Reliance Junior BeES FoF, an open-ended fund of fund scheme investing in Reliance ETF Junior BeES. The underlying fund (Reliance ETF Junior BeES) tracks Nifty Next 50 index.
The scheme’s NFO is open for subscription till February 28. Reliance MF’s ETF Manager, Mehul Dama will manage the scheme.
FoF structure would help investors to invest in ETF without demat account. Currently, most mutual funds folios are in physical mode.
Sharing the rationale for launch, a senior official from Reliance Nippon MF claims that the ETF has delivered returns in line with large cap funds. “In fact, the ETF remained in the top quartile for 88% of time in terms of 5 year rolling return analysis against just 16% of large cap funds.”
In another development, UTI MF has launched UTI S&P BSE Sensex Next 50 ETF an open-ended exchange traded fund. The scheme will track S&P BSE Sensex Next 50 index.
The scheme’s NFO period is February 26 and March 1. Kaushik Basu, Vice President and Fund Manager – Equity , UTI MF and Sharwan Kumar Goyal, Vice President and Fund Manager – Equity, UTI MF will manage the scheme.
In a press release announcing the scheme’s launch, Kaushik said, “The scheme will be passively managed by providing exposure to S&P BSE Sensex Next 50 Index and tracking its performance and yield before expenses, as closely as possible.“
