Mutual Fund Application Forms Download Any Applications
Invest in Tax Saving Mutual Funds Invest Online
Infrastructure Bond Application Forms Download Applications

Sunday 25 August 2013

Reliance Mutual Fund targets retail investors for liquid funds

Invest In Tax Saving Mutual Funds Online

Call 0 94 8300 8300 (India)

 

 


Reliance Capital Asset Management issued a notice to its investors changing the minimum limit in its scheme –Reliance Liquid Fund ( Treasury Plan) – from 5,000 to 100. Also, the limit of any additional application has been reduced from 1,000 to 100.

 

Said Sundeep Sikka, chief executive officer, Reliance Mutual Fund: "We want to target the retail investors in smaller towns for all our schemes. Our strategy is like an FMCG ( fast- moving consumer goods) company's sachet strategy, whereby they want to break the barrier in the user's mind with low- expense products." The reduction in limit for liquid funds, the minimum ever according to industry players and distributors, has surprised many industry players. Liquid schemes are typically targeted towards high networth individuals (HNIs) and corporate clients. The minimum limits of these schemes, consequently, are on the higher side.

Liquid funds are short- term funds that invest in instruments with maturities of three to six months. Their investments are mostly in money market instruments, shortterm corporate deposits and treasury. The average maturity of these schemes ranges between four and 91 days.

Said a fund manager of an asset management company: Reliance MF is clearly looking at retail investors who don't invest so much in such funds because of their short- term nature." However, some players doubted the viability of such small deposits. Anyway fund houses earn only 10 to 20 basis points for managing these schemes. So, for really small amounts such as 100, one wonders whether it will be a viable option for the mutual fund house," said a debt fund manager. In numbers, it means that for managing 500 crore for an entire year, a fund house earns barely 50 lakh to 1 crore.

The assets under liquid funds fell by 45,300 crore or 21 per cent to 1.29 lakh crore in July. The category witnessed largescale redemption following the recent liquiditytightening measures by RBI (Reserve Bank of India) to strengthen the rupee. The category (represented by CRISIL – Amfi Liquid Fund Performance Index), gave 0.37 per cent returns in the month," said a CRISIL report. After RBI announced tightening of liquidity, returns from liquid funds turned negative for a couple of days in July.

In the past, Reliance MF introduced micro systematic investment plan in equity funds where investors could put in 100 per month. Even ICICI Prudential Mutual Fund had started a micro plan for 50 per month. These schemes were targeted towards weaker sections or smaller town. But they have not done too well for the fund houses due to market conditions.

Happy Investing!!

We can help. Call 0 94 8300 8300 (India)

Leave your comment with mail ID and we will answer them

OR

You can write back to us at PrajnaCapital [at] Gmail [dot] Com

---------------------------------------------

Invest in Tax Saving Mutual Funds ( ELSS Mutual Funds ) to upto Rs 1 lakh and Save tax under Section 80C.

Invest Tax Saving Mutual Funds Online

Tax Saving Mutual Funds Online

These links can be used to Purchase Mutual Funds Online that are regular also (Investment, non-tax saving)

Download Tax Saving Mutual Fund Application Forms from all AMCs

Download Tax Saving Mutual Fund Applications

These Application Forms can be used for buying regular mutual funds also

Some of the best Tax Saving Mutual Funds available ( ELSS Mutual Funds )

  1. ICICI Prudential Tax Plan Invest Online
  2. HDFC TaxSaver Invest Online
  3. DSP BlackRock Tax Saver Fund Invest Online
  4. Reliance Tax Saver (ELSS) Fund Invest Online
  5. Birla Sun Life Tax Relief '96 Invest Online
  6. IDFC Tax Advantage (ELSS) Fund Invest Online
  7. SBI Magnum Tax Gain Scheme 1993 Invest Online
  8. Sundaram Tax Saver Invest Online
  9. Edelweiss ELSS Invest Online

------------------

Best Performing Mutual Funds

    1. Largecap Funds Invest Online
      1. DSP BlackRock Top 100 Fund
      2. ICICI Prudential Focused Blue Chip Fund
      3. Birla Sun Life Front Line Equity Fund
    2. Large and Midcap Funds Invest Online
      1. ICICI Prudential Dynamic Plan
      2. HDFC Top 200 Fund
      3. UTI Dividend Yield Fund
    1. Mid and SmallCap Funds Invest Online
      1. Reliance Equity Opportunities Fund
      2. DSP BlackRock Small & Midcap Fund
      3. Sundaram Select Midcap
      4. IDFC Premier Equity Fund
    1. Small and MicroCap Funds Invest Online
      1. DSP BlackRock MicroCap Fund
    1. Sector Funds Invest Online
      1. Reliance Banking Fund
      2. Reliance Banking Fund
    1. Tax Saver MutualFunds Invest Online
      1. ICICI Prudential Tax Plan
      2. HDFC Taxsaver
      3. DSP BlackRock Tax Saver Fund
      4. Reliance Tax Saver (ELSS) Fund
    2. Gold Mutual Funds Invest Online
      1. Relaince Gold Savings Fund
      2. ICICI Prudential Regular Gold Savings Fund
      3. HDFC Gold Fund

No comments:

Post a Comment

Mutual Fund Application Forms Download Any Applications
Invest in Tax Saving Mutual Funds Invest Online
Infrastructure Bond Application Forms Download Applications

Popular Posts