Yet another AMC is launching a child oriented open-ended scheme. SBI Mutual Fund is launching "Magnum Children Benefit Plan". The initial offer opens on August 23, 2001 and closes on September 21, 2001.
The Plan will invest 80% of its investments in debt instruments and the rest in equities. The minimum investment in the fund is Rs 2000 and in multiples of Rs 500. There is lock-in in the fund till the beneficiary attains 18 years of age.
However in case of exceptional circumstances, redemption can be made after three years of investment. The unitholders under the plan will get insurance cover upto 10 times the face value of units held but with a maximum cap of Rs 3 lakh.
JM Liquid an open-ended medium term debt fund has been rechristened as "JM Income Fund" with effect from August 6, 2001. Launched in December 1994, the dividend and growth options have posted a total return of 14.03 percent and 10.56 percent respectively.
IL&FS Mutual Fund is introducing investment changes in its funds with effect from August 13, 2001. The face value of IL&FS Bond Fund will be changed to Rs 10 from Rs 100 per unit.
The AMC has fixed the record date for quarterly dividends in IL&FS Bond Fund as 15th day of the last month of every quarter or the next business day if 15th is a non-business day. All the schemes will offer dividend reinvestment facility under their dividend plans.
The minimum investment will be reduced from Rs 10000 to Rs 5000 and the fund will accept applications till 3.30 p.m on any business day. The AMC has also introduced direct credit facility where in the dividend payouts will be directly credited in the specified bank accounts.
