The scheme received around 67000 applications.
UTI
Mutual Fund’s recent offering - UTI Focused Equity Fund has collected approximately
Rs. 770 crore during its NFO period. The new fund offered opened for
subscription on August 13 and closed on August 27. The fund received around
67,000 applications.
Leo Puri, Managing Director, UTI AMC said, ”The excellent mobilization seen in the NFO of UTI Focused Equity Fund – Series I is a reflection of the continued trust reposed by the investors in UTI Mutual Fund, its fund management capabilities and in its robust systems and processes. We are thankful to our investors and business partners for the support given to us. We look forward to their continued patronage in our future fund launches.”
This is the highest collection so far by any closed end equity fund. Launched in November 2013, ICICI Prudential’s Value Fund – Series 1 had collected a little less Rs. 650 crore from its first closed end fund – ICICI Prudential Value Fund. With the revival in markets, nine fund houses have launched 27 closed end funds which have mopped up Rs. 4,412 crore so far. More closed end fund are in the pipeline.
UTI has filed offer documents for three series of its closed end fund.
Benchmarked against S&P BSE 200 index, the UTI Focused Equity Fund will hold a concentrated portfolio of up to 30 stocks. The scheme will invest in companies across market capitalization in either growth or value stocks or both.
The scheme will use a combination of top down and bottom up approach to identify and invest in companies that exhibit strong and sustainable growth and are valued at prices which are at a discount. The fund managers will identify companies on the basis of a combination factors like business fundamentals, growth prospects, industry scenario, sustainable cash flows and management competence.
The fund will be managed by Anoop Bhaskar and Lalit Nambiar.
The minimum application amount was Rs. 5,000. The three year closed end fund matures on September 08, 2017.