Union KBC Mutual Fund today said it will be shortly launching a close-ended equity scheme with a feature of in-built profit booking.
The idea behind Union KBC Trigger Fund-Series 2 is to enable investors to realise their profits at a pre-defined level and enjoy benefits of appreciation of their investments, the company said in a statement here.
The new fund offer (NFO) of the scheme will open on February 18 and close on March 4. The NFO price is Rs 10 per unit. The minimum application amount is Rs 5,000 and in multiples of Rs 10 thereafter.
The first series of the fund was launched in November 2013 and by July 2014 it achieved the trigger level when the net asset value (NAV) of its direct plan crossed Rs 13 a unit.
"Like its predecessor, Union KBC Trigger Fund-Series 2, too, makes a genuine attempt to allow investors to enjoy the benefits of market appreciation, if the predefined trigger level is achieved," Union KBC Asset Management Chief Executive Officer G Pradeepkumar said.
The scheme automatically redeems the investor's investment once the predetermined growth is achieved. In case, this does not happen during the three-year period, the scheme would mature at the end of 3 years at the then prevailing NAV, the statement added.
