Sundaram Mutual Fund launches Sundaram Fixed Term Plan HT
Sundaram Mutual Fund has launched a closed-end income scheme called Sundaram Fixed Term Plan – HT. The issue opened on Wednesday (Aug. 31) and will remain open till Thursday (Sept. 1).The scheme will have a duration of 1,100 days from the date of allotment of units to investors and will invest in debt and money market securities that would mature on or before the maturity of the scheme, according to the offer document.There are two options for investors under the scheme: growth and dividend payout (quarterly and half-yearly). The minimum investment is Rs. 5,000 and in multiples of Rs. 10 thereafter per application.There won’t be any buyback of units given that it is a closed-end scheme. “The Fund will not buy the units back till the maturity of the scheme. However, in order to provide the liquidity to the investors, the units of the Scheme are proposed to be listed on National Stock Exchange of India Limited (NSE) within 5 business days from the date of allotment,” the offer document disclosed.Other details of Sundaram Fixed Term Plan-HT:Entry load: NilExit Load: Not ApplicableDividend will be distributed at the discretion of the Trustee from the available distributable surplus, if any. The dividend when declared will be paid (subject of deduction of tax at source).Unitholders may choose to receive the redemption/dividend proceeds in any of the bank accounts, the details of which are registered with the AMC by specifying the necessary details in the “Bank Accounts Registration form”.Individuals, HUFs, Sole proprietor firms can register up to five bank accounts and other investors can register up to ten bank accounts in a folio.Sandeep Agarwal is the fund manager.On all working days, NAV will be computed (except in special circumstances detailed in the Statement of Additional Information/Scheme (NAV) Publication Information Document) and shall be published in at least two daily newspapers having circulation all over India and updated on the websites of Sundaram Asset Management.