Reliance Mutual Fund launched new fund offer Reliance Close ended Equity II-Series A, a closed ended scheme. The NFO Opens for subscription on 9 May 2014 & closes on 23 May 2014. No entry load will be applicable for the scheme.
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[wptabtitle] Scheme Details[/wptabtitle] [wptabcontent]Key Scheme Feature
|Scheme Name||Reliance Close Ended Equity Fund II - Series A|
|Fund House||Reliance Mutual Fund|
|Type||Closed Ended - 5 years|
|Benchmark||S&P BSE 200 Index|
|Option||Growth / Dividend|
|Fund Manager||Mr. Sailesh Raj Bhan, Ms Jahnvee Shah|
|Scheme Name||Reliance Close Ended Equity Fund II -Series A|
|NFO Open||9 May 2014|
|NFO Close||23 May 2014|
|Scheme Type||A Five Year closed ended equity scheme with automatic conversion into an open ended equity scheme on completion of 2 years from the date of allotment|
|Minimum Application Amount||Rs 5000 and in multiples of Rs 1 thereafter|
|Load Structure||For Purchase during NFO : Entry & Exit - NILFor purchase post maturity / conversion Entry load - nil Exit load - 1% within 1 year from date of allotment|
Cheque Details : “Reliance closed ended equity fund II -Series A”
[download id =”38″]Who can Invest
This product is suitable for investors:
- Seeking long term capital appreciation
- With risk appetite of investing in Equities
- Investors willing to take exposure in equity and equity related securities
[wptabtitle] Objective[/wptabtitle] [wptabcontent]Investment Objective
- To generate long term capital appreciation from a diversified portfolio of predominantly equity and equity related securities , including equity derivatives, in the Indian market with focus on small cap stocks. The scheme could also invest in foreign securities.
- Emerging companies are business which are typically in the early stage of development and have the potential to grow their revenues and profit at a higher rate as compare to broader market.
Stock Selection Idea
Fund Endeavors to invest into companies with:
Scalable Opportunities – Long Term Growth Prospects undermined due to near term challenges Currently, these are nascent in India but are large globally and offering relatively large potential for scaling up in the future.
Out of Favor – Unloved and Under researched companies. Companies which are leaders in their segments i.e. top 2-3 Companies which have had 15-20 years of listed history Companies with low near term visibility & hence low expectations and Lack of street coverage.
Distressed Valuations – Markets on a sale, Companies which are unduly impacted by non-fundamental reasons and offering attractive investment opportunities.
Corporate Actions – Companies which are potential beneficiaries of corporate actions such as merger, buy back, etc
Key Highlights of the Fund
- No market cap bias – investments would be made across stocks in different market caps, as long as the stocks fit in the definition of the investment framework
- No Benchmark constraints – the fund portfolio may be significantly different from the sector weights and stocks in the benchmark (S&P BSE 200)
- Fund would endeavor to declare dividend as and when opportunity arises
Key Differentiators of the Fund
Fund will make an effort on owning stocks as businesses and valuing them for their “absolute return” potential
Focus will be on quality companies with long track record currently beaten down due to lack of participation/ lack of research/ low near-term expectation &/or other non-fundamental reasons
Strategy of the fund will be not to completely mirror the benchmark Fund will endeavor to invest across market caps and will be well diversified as many sectors/stocks trading below fair value.
Why Close Ended?
Close-ended format would allow the portfolio manager the flexibility to execute the strategies effectively over the chosen time frame – in this case, over 5 years. Further, the portfolio could be constructed based on the market merits, without possibly getting impacted by external flows. Close-ended funds may also allow fund managers to take concentrated positions in stocks / sectors and possibly offer portfolio that may be distinct and unique from other open-ended funds.
[wptabtitle]Collection Center[/wptabtitle] [wptabcontent]
Reliance AMC office
|Category||No of Share Offer||No of Share Subscribe||30 Apr 13||29 Apr 13||26 Apr 13||25 Apr 13|
|QIB||2,514,238||909,000||0.36 times||0.36 times||0.00 times||0.00 times|
|Non Inst. Investor||4,022,782||1,462,800||0.036 times||0.036 times||0.0066 times||0.0004 times|
|Retail Investor||3,519,934||214,100||0.06 times||0.06 times||0.0043 times||0.0013 times|
|Employee||450,000||54,600||0.12 times||0.12 times||0.0033 times||0.0000 times|
|Total||10,506,954||2,640,500||0.25 times||0.25 times||0.0041 times||0.0006 times|
Karvy Registrar Center
SREI NCD- Allotment Details
|Description||10.35% secured NCD - SERIES-I||10.75% secured NCD - SERIES-II||Cumulative 3 years -secured NCD - SERIES-III||11.00% secured NCD - SERIES-IV||Cumulative 5 years -secured NCD - SERIES-V||Cumulative 6 years 6 month -secured NCD - SERIES-VI|
|Tenur||3 years||3 years||3 years||5 years||5 years||6 years 6 month|
|Maturity Date||6 May 2016||6 May 2016||6 May 2016||6 May 2018||6 May 2018||6 Nov 2019|
HDFC Bank Collection Point
|Category||No of Share Offer||No of Share Subscribe||22 May 2013||21 May 2013||20 May 13|
|QIB||91,86,170||9,29,57,300||10.11 times||0.89 times||0.71 times|
|Non Inst. Investor||26,24,618||5,86,28,125||22.33 times||0.01 times||0.001 times|
|Retail Investor||17,49,745||61,18,050||3.49 times||0.70 times||0.14 times|
|Total||1,35,60,533||15,77,03,475||11.63 times||0.70 times||0.65 times|
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