SBI Dual Advantage Fund is back with series XXIX. This fund is 1100 Days
close-ended hybrid scheme. The New Fund Offer price for the scheme
is Rs 10 per unit. The NFO (New Fund Offer) is open for subscription from July
02, 2018 and closes on July 16, 2018. In this article, let’s discuss the objectives, features, plans &
options, and suitability of SBI Dual Advantage Fund Series XXIX | A Close Ended
Hybrid Scheme.
Objectives of SBI Dual Advantage Fund Series XXIX
The main investment objective of the fund
is to generate income by investing in fixed income securities which mature on or before the maturity of the scheme.
The secondary objective of the fund
is to invest a portion of the corpus in equity & equity related
instruments. However, there can be no assurance that the objectives of the
Scheme will be realized.
Features of SBI Dual Advantage Fund Series XXIX
1. SBI Dual Advantage Fund Series XXIX is a close-ended Hybrid Scheme.
2. Tenure of the scheme is 1100 days from the date of
allotment.
3. Income generation by investing in fixed income securities.
4. Capital appreciation by investing a portion of the scheme corpus in
equity & equity related instruments.
5. Avail indexation benefits and thereby potential tax efficient returns
as per current tax laws.
6. Redemption on the maturity of the scheme.
7. The scheme would have two plans, viz. Direct Plan & Regular Plan.
8. The NFO period is July 2 – July 16, 2018.
9. Minimum application amount is Rs. 5000/- and in multiples of Rs. 1
thereafter.
Plans & Options offered under SBI Dual Advantage Fund Series XXIX
The fund would have two plans.
1. Direct Plan
2. Regular Plan
Both plans of this fund will have two options:
1. Growth
Suitability of SBI Dual Advantage Fund Series XXIX
The fund is suitable for
1. Investors with low to medium risk appetite.
2. HNIs (High net worth individuals).
3. An investor who is looking for income as well as capital
appreciation.
4. First-time mutual fund investors who would like to enjoy the
debt returns with an additional equity upside.
Investment Strategy of SBI Dual Advantage Fund Series XXIX
1. Fixed Income / Debt Investments
Investments in securities, maturing on or before the date of the
maturity of the Scheme. Targeted investment in fixed income/debt securities between 83% and 95%. Investment in AA or
above-rated securities.
2. Equity & Equity-related instruments
Invest in a diversified portfolio
of Equity & Equity-related instruments between 5% and 17%. Primarily focus
on companies that have demonstrated characteristics such as quality management,
market leadership, and strong financials. A mix
of bottom-up & top-down approach for stock-picking.
Disclaimer: This article is strictly for informational purposes only. Please consult your financial advisor if in doubt about whether the product is suitable for you.
Also read: Debt Funds: Types of Debt Funds
Also read: How to start a SIP?
Also read: All about ELSS | Tax saving mutual funds
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