ICICI Prudential Mutual Fund aims to raise up to Rs 2,000 cr from India Opportunities fund
ICICI Prudential Mutual Fund house manages about Rs 28,000 crore under the scheme. However, the fund will continue to accept money in the schemes growth option.
Kolkata: ICICI Prudential Mutual Fund hopes to raise Rs 1,200-2,000 crore from its India Opportunities Fund, an official said on Wednesday.
"We hope to raise Rs 1,200-2,000 crore in the NFO (new fund offering) and the fund will try to tap special situations like temporary crisis, change in economic scenario, regulatory changes and global uncertainties," ICICI Pru MF head, product development and strategy, Chintan Haria said.
The issue opens on 26 December and closes on 9 January 2019.
Meanwhile, Haria said that the discontinuation of fresh investments in the monthly dividend option from its largest scheme ICICI Prudential Balanced Advantage Fund from Wednesday will not have any major impact on the fund.
"The dividend income corpus is around just 10 percent of the fund size but we will continue if investors wish to stay. We are trying to convey to the investors to adopt systematic withdrawal plan," he said.
The fund house manages about Rs 28,000 crore under the scheme. However, the fund will continue to accept money in the schemes growth option.
The step was taken after a dividend tax of 10 percent was imposed by government.
The previous highest collection in a close-ended equity fund was by UTI focused Equity Fund – Series II, which had mobilised around Rs 890 crore in December 2014.
The government recently raised Rs 14,500 crore through Bharat 22 ETF, which saw bids of nearly Rs 32,000 crore coming in
An exchange-traded fund (ETF) is a basket of securities that trade on an exchange, just like a stock.