LIC Nomura Mutual Fund will launch a closed ended income scheme- LIC Nomura MF Dual Advantage Fixed Term Plan - Series 3, tomorrow. The new fund offer will open tomorrow, October 28, 2015 and will close on Tuesday, November 10, 2015. It comes with a maturity of 42 months and combines the benefits of different asset classes like debt and equity.
The scheme will invest minimum 65% in debt and a maximum of 35% in equity (most of the time). The investment philosophy is to endeavor returns by investing into debt and money market securities and provide capital appreciation by investing into equity and equity related instruments. The scheme will invest into fixed income securities with a view to hold till maturity and the investors will not be exposed to duration risk, as stated in the press release issued by the company.
Kunal Jain (Debt) and Mr. Sachin Relekar (Equity) are the fund managers of the scheme.
Speaking on the launch, Sarojini Dikhale, Director and CEO, LIC Nomura MF said “The dual advantage fund is a hybrid scheme which combines the benefits of different asset classes like Equity and Debt by providing capital appreciation and reducing the volatility due to limited exposure. This fund is suitable for those investors who want to park money for a fixed period of time with a view to meet their financial goals in the near term and generate capital appreciation while generating income over medium to long term.”
