SBI Mutual Fund has come up with new innovative scheme for the investors, check what is beneficial & risky in it.
New Fund Offer (NFO) News: SBI Mutual Fund has launched SBI Innovative Opportunities Fund. This is an open-ended equity scheme focused on the theme of innovation. The new fund offer (NFO) is open from July 29 to August 12. The minimum application amount for the fund is Rs 5,000 and Rs 1,000 for additional purchases. Rs 500 for SIP investments – all amounts in multiples of Re 1 thereof, according to a press release by the fund house.
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SBI Mutual Fund NFO: Important Dates
The NFO opened on July 29 and will close on August 12.
August 20 is the tentative allotment date.
SBI Mutual Fund NFO Investment Details
SBI Mutual Fund will invest 80-100 percent of its assets in equity and equity-related instruments (including equity derivatives) of companies which is based on the following criterias:
0-20 per cent in equity and equity-related instruments of companies other than above
0-20 per cent in debt and related instruments
0-10 per cent in units issued by REITs and InvITs
Fund may also seek investment opportunities in foreign securities including ADR, GDR, foreign equity, overseas ETFs or debt securities subject to regulations (such investment may not exceed 35 percent of net assets)
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SBI Mutual Fund NFO: Goal
The fund’s main goal is to provide investors with an opportunity for long-term capital appreciation by investing in companies focused on innovative strategies and themes.
“However, there is no assurance that the investment objective of the scheme will be achieved,” according to SBI MF.
SBI Mutual Fund NFO: Benchmark
The fund will be benchmarked to Nifty 500 TRI.
SBI Mutual Fund NFO: Fund managers
The fund will be managed by Prasad Padala and Pradeep Kesavan (dedicated fund manager for overseas securities).
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SBI Mutual Fund NFO: Focus On Innovation
“Today our country is amongst the fastest growing economies in the world and innovation remains a central piece for a Viksit Bharat (Developed India). The government, through initiatives like Start Up India, the Atal Innovation Mission and India stack, is aiming to create a culture of innovation from school to industry. A thriving startup and funding ecosystem, strong digital infrastructure along with a large consumer market provide favourable tailwinds for our country to become the next big leader on the innovation horizon,” said Shamsher Singh, Managing Director & Chief Executive Officer, SBI Funds Management.
‘’The Innovative Opportunities fund is a good opportunity for investors looking to invest in companies that are “innovating to gain a competitive edge and changing the way we do things to enhance value in their offerings”, Singh added.
SBI Mutual Fund NFO | Specialty
The fund provides “an opportunity for investors to benefit from a strong innovation theme which is set to define next-gen India”, said DP Singh, Deputy MD and Joint CEO, SBI Funds Management.
SBI Mutual Fund | Riskometer
The fund is classified under the ‘very high risk’ category.
(Disclaimer: The information provided in this article is for informational purposes only and should not be construed as investment advice. Readers are encouraged to consult with a qualified financial advisor before making any investment decisions.)
