Mumbai, April 15 -- SBI Mutual Fund on Tuesday announced the launch of two constant maturity index funds in the financial services segment, with the New Fund Offer (NFO) opening from April 15 to April 20.
The schemes - SBI CRISIL IBX Financial Services 3-6 Months Debt Index Fund and SBI CRISIL IBX Financial Services 9-12 Months Debt Index Fund - aim to deliver returns in line with their respective underlying indices, subject to tracking error, without guaranteeing any returns.
SBI Funds Management Ltd MD and CEO Nand Kishore said the launch reflects the company's focus on providing simple, transparent and low-cost passive investment solutions. He noted that the funds offer investors access to short-tenor financial services debt through a structured, index-based approach suited for short-term investment needs.
Joint CEO D P Singh said the move strengthens the fund house's passive debt offerings and provides disciplined exposure to the financial services debt segment with a defined maturity profile. Both schemes will invest 95-100 per cent of their assets in securities comprising their respective CRISIL IBX indices, while up to 5 per cent may be allocated to money market instruments and cash equivalents.
The minimum investment during the NFO is Rs 5,000.
Published by HT Digital Content Services with permission from Millennium Post.