L & T Mutual Fund has filed a draft offer document to launch its close ended equity scheme called Emerging Business Fund. The draft offer document says that the scheme will be automatically converted into open ended equity scheme after 3 year. The scheme aims to generate long-term capital appreciation from a diversified portfolio of equity and equity related securities, including equity derivatives, in the Indian markets. The scheme could also additionally invest in Foreign Securities.
The benchmark of the scheme will be S&P BSE Midcap Index. The scheme will charge an exit load of one percent if redeemed before one year from the date of allotment. No exit load will be charged thereafter. The minimum application amount will be Rs 5000. SN Lahiri and Rajesh Pherwani will co-manage the fund.
