CanBank MF gets Sebi nod to take over GIC schemes

Canbank Mutual Fund has received the approval from the Securities and Exchange Board of India (Sebi) for the formal takeover of the schemes of General Insurance Company (GIC) Asset Management Company. The company is now actively exploring various organic as well as inorganic growth plans.

Disclosing this at a media conference here today, N R Ramanujam, managing director of Canbank Mutual Fund, said that the fund would now manage the four equity schemes and one balanced scheme of GIC Mutual Fund with a total asset size of Rs 105 crore and an investor base of 1.31 lakh.

Canbank MF already has assets worth Rs 1,850 crore spread over 15 schemes and has an investor base of two lakh.

Ramanujam was here to announce the details of 'CANINDEX', an open-ended Nifty-linked equity scheme. This is the 25th scheme to be launched by the Canbank Mutual Fund.

The initial public offer for the scheme opened on September 17 and closes on September 27. He said that the scheme would generate income/capital appreciation by investing in companies whose securities were included in the S&P CNX Nifty.

The scheme offers two options "� income and growth. The minimum investment is Rs 5,000 and in multiples of Re 1 thereafter. It does not have either entry or exit load.

"The excellent first quarter results of corporates, good monsoons and a positive GDP growth give out hopes that the second quarter results too would be very good. Taking these factors and the current position of Nifty at around 1,600 points into consideration, we hope the index to rise in the months to come and accordingly we have timed our new index-linked fund," Ramanujam said.