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Hdfc Mutual Fund Initial Offer Mops Up Rs 600 Crore

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Our Banking Bureau MUMBAI
Last Updated : Aug 17 2000 | 12:00 AM IST

While the income fund received 60 per cent of the total subscription, the growth and balanced funds received 25 per cent and 15 per cent, respectively.

A statement issued by HDFC Mutual Fund said that subscriptions were received from over 1.2 lakh unitholders.

While the growth fund is primarily oriented towards investing in equities, the balanced fund will contain a mixture of debt and equity in the ratio of around 40:60, while the income fund will invest mainly in debt securities and money markets. The mutual fund had been targetting a corpus of Rs 400 crore.

"We will reopen for subscriptions from investors after a period of around 30-35 days," said Milind Barve, managing director, HDFC Mutual Fund.

HDFC will initially hold a 100 per cent stake in the Rs 20-crore company. Standard Life, HDFC's insurance partner, will have the option to take a 26 per cent stake after one year in the asset management company.

The company will manage the treasury of HDFC's proposed insurance company as well as that of HDFC which amounts to Rs 165 crore.

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It will also manage the ====pound 27 million worth of investments made by Standard Life in the domestic markets

The mutual fund is planning to launch a number of new investment products apart from the three funds already on offer.

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First Published: Aug 17 2000 | 12:00 AM IST

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