The Unit Trust of India (UTI) has collected Rs 9,200 crore from its various schemes between July 1997 and March 1998.
Collections have crossed the Rs 9,000-crore mark aided by the funds coming into the Monthly Income Plan 1998, which mopped up about Rs 900 crore.
The mutual fund major, which has set itself a target of Rs 12,000 crore for the year ending June 1998, is now moving closer to its goal, and expects another Rs 3,500 crore to come in by June end.
"We hope to get about Rs 3,500 crore more before the year is out, and thus achieve the target", UTI sources said yesterday.
The Rs 9,200-crore collections include reinvestments into US-64. The collections also include $500 million mopped up from two offshore funds launched during the period.
The number of new investors opting for UTI as a means of parking their funds has also showed a healthy growth, with as many 16 lakh new investors coming into the Trust's purview.
So far, the financia institution has 14 open-ended schemes running and has launched eight close-ended schemes during the period. Othes schemes on the anvil are a bond fund, a scheme exclusively for non-resident Indians and a monthly income plan.
While the MIP 98, which was open during February-March, had an interest rate of 12.5 per cent, the forthcoming MIP from UTI is not expected to deviate much from that rate structure.
UTI sources pointed out that unless the government indicated a firming up of interest rates from the beginning of the new fiscal itself, the next MIP could well see the 12.5 per cent rate being retained. "Our hunch is that the new scheme will carry that rate", sources said.
While the third quarter saw activity dampened owing to political uncertainty and the general elections, UTI does not see a major problem with collections till the end of June this year.
Besides, offshore funds, which were on hold owing to the elections, are once again expected to be seriously considered by UTI, thus adding to inflows.
Now that the new government has taken charge, the mutual fund major is expected to make a fresh pitch to foreign investors through the offshore funds route.
Before the elections, UTI officials had met with enthusiastic response when they went on roadshows abroad.
Foreign investors were keen to understand the Indian market and invest through the offshore funds route.
Some top fund managers have also been in touch with the UTI top brass in a bid to discuss possibilities of launching such funds.
