Sun F&C Mutual Fund is looking at a Rs 100 crore initial mop-up for its Resurgent India Equity Fund (RIEF) which closes on May 25.
RIEF is the second of the niche products from the Sun F&C stable and will be followed by a insititutional debt fund in September. The fund plans to keep new product launches selective this year and concentrate on shifting sales activities completely to an intermediary support system.
RIEF was preceded by the Emerging Technologies Fund and later down the year, the fund is looking at 2-3 more niche products, one of which would be an institutional debt intrument with a ticket size of Rs 5 crore.
A Srinivasan, director-sales, Sun F&C Asset Management (I) Pvt Ltd, said, "There is an intensive effort within Sun F&C presently to shake off the tendency by the market to commoditise mutual fund products.
"We are in the process of finalising a slew of initiatives to provide value-added services to distributors, which will enable us to move totally to an intermediary support system."
As part of the package of added features on offer, the fund is already offering direct transfer of dividends into investor accounts, through an exclusive tie-up with ABN-Amro Bank. ABN-Amro would be the lead bank for this effort and would initiate tie-ups with other banks on behalf of Sun F&C to facilitate transfer of dividends to investor accounts.
The fund is also working on a plan to offer redemptions on debt instruments across the counter and proposes to make this effective from June 15, said Srinivasan.
