UTI Mutual Fund launches new scheme

UTI Mutual Fund has announced the launch of a new scheme "� UTI Wealth Builder Fund "� which closes on October 11.

The fund is a close-ended equity scheme with a maturity period of 5 years with automatic conversion into an open-ended equity scheme upon maturity.

According to Premkumar Nair, vice-president, UTI Asset Management Company, the scheme would invest in equity and equity-related instruments to the extent of 65-100 per cent and 0-35 per cent in debt and money market instruments.

Addressing a press conference here today, he said the scheme would offer redemption/switch out of units on an ongoing basis at half yearly intervals at NAV-based prices.

The redemption/switch out will be available only during the specified redemption period; first five business days on half yearly basis after the closure of the scheme.

The minimum initial investment is Rs 5,000 and in multiples of Re 1, thereafter without any upper limit. He said that the scheme offered two options, Growth option and dividend payout option. BSE Sensex is the benchmark index of the scheme.