IDFC Mutual Fund collects over Rs 240 cr through equity NFO

IDFC Mutual Fund has garnered over Rs 240 crore through its new fund offer despite sluggish stock markets.

"Equity Opportunity Series 1 saw good response. We have collected over Rs 240 crore. The new fund offer opened on April 9 and closed on April 10," said an IDFC Mutual Fund spokesperson.

This is one of the biggest amounts raised by a close ended scheme in recent times, the spokesperson added.

According to industry estimates, there over 25 close- ended schemes that focus on equity assets.

To be benchmarked against BSE-500 index, Equity Opportunity Series 1 fund will be managed by Kenneth Andrade.

Head of Investments at IDFC Asset Management Company, Andrade said the fund will have a diversified portfolio. The portfolio in the initial stages will focus on small companies by market capitalisation, he added.

The unit capital of closed-ended funds is fixed and sells a specific number of units. Unlike in open-ended funds, investors cannot buy the units of a closed-ended fund after its NFO period is over.

IDFC Asset Management Company Ltd was established in 2000 and is already one of the largest mutual fund houses in India.