Finance News
- Local News
- Local News Providers
- International News
- Yahoo! Groups
Y! Message Boards
|
|
|
Wednesday May 7, 04:01 PM
Kotak Mahindra Mutual Fund Launches Kotak Sensex ETF |
|
Mumbai, Maharashtra, India, Wednesday, May 07, 2008 -- (Business Wire India) -- Kotak Mahindra Asset Management Company today announced the launch of an exchange traded fund focusing on investing in the stocks that comprise the BSE SENSEX. The investment objective of the scheme is to provide returns that closely correspond to the total returns of the BSE SENSEX subject to tracking errors. The Scheme’s performance will be benchmarked against BSE Sensex. The fund is open for subscription from May 07, 2008 till May 16, 2008.
Speaking at the occasion, Mr. Sandesh (SNDH.BO, news) Kirkire, Chief Executive Officer, Kotak Mahindra Asset Management Company said, “Our endeavor has been to provide diverse investment options to cater the requirement of our investors. Kotak Sensex ETF is one such product, which enables a long-term investment strategy at significantly lower costs. SENSEX is a very widely tracked index and is a representative of the Indian economic growth story. Kotak Sensex ETF offers investors to partake in the same."
Announcing the launch, Bombay Stock Exchange Managing Director and CEO, Mr. Rajnikant Patel commented: “Since its corporatisation and demutualisation, BSE has launched several initiatives for the investing community. The Kotak Sensex ETF is the latest such offering. Sensex is the flagship index of the Indian capital markets and the Kotak Sensex ETF represents an easy, liquid and effective instrument to track the index. We are happy to have Kotak Mutual Fund as partners in this endeavor. I am sure the ETF will be well received by both retail as well as institutional investors.”
Fund Snapshot:
NFO Opens: 7th May 2008
NFO Closes: 16th May 2008
Details of the Scheme Purchases During NFO: The minimum investment amount during the New Fund Offer is Rs.10,000 and in multiples of RS. 1000. In case of investors opting to switch into the Scheme from existing Schemes/Plan/Options of the Fund during the NFO period, the minimum amount is Rs. 10000 and in multiples of Re. 0.01 thereof.
On going purchases directly from the Mutual Fund would be restricted to Authorized Participants provided the value of units to be purchased is in creation unit size. Authorised Participants may buy the units on any business day of the scheme directly from the Mutual Fund by paying applicable transaction handling charges and cash component in cash and by depositing basket of securities comprising BSE SENSEX. Units may be allotted only realization of cheque where the full consideration for creation unit is paid by cheque and at the value at which the underlying stocks for the creation unit is purchased against that purchase request.
The units would be listed on BSE to provide liquidity through secondary market. All categories of Investors may purchase the units through secondary market on any trading day. The AMC will appoint Authorised Participant(s) to provide liquidity in secondary market on an ongoing basis. The Authorised Participant(s) would offer daily two-way quote in the market. Each unit of the Kotak Sensex ETF will be approximately equal to 1/100th of the value of BSE SENSEX
Entry Load during NFO: For investments < Rs 1crore – 1%
For investments = > Rs 1 Crore – Nil
No entry load shall be charged on “all direct” applications received by AMC i.e., on application forms that are not routed through any distributor / agent / broker and submitted to AMC office or collection centre / investment service centre.
Entry Load during continuous offer: Nil
Exit Load – Nil
Fund Managers: Mr. Sajit Pisharodi, Equity Fund Manager, Kotak Mahindra AMC
About Kotak Mahindra Mutual Fund:
Kotak Mahindra Mutual Fund is in the business of asset management, by providing investors with smart financial products, which are aimed at enhancing customers’ wealth, along with services that make the investing process easier. The company has a history of innovative products and service behind it, and has led the way for the industry on many counts.
Set up in 1998, Kotak Mutual Fund currently manages assets in excess of Rs. 21546.23 crores contributed by over 9 lakh investors (as on 30th April, 2008).
Statutory:
Kotak Mahindra Mutual Fund has been established as a trust under the Indian Trusts Act, 1882, by Kotak Mahindra Bank Limited (liability Rs. NIL) with Kotak Mahindra Trustee Company Limited as the Trustee and with Kotak Mahindra Asset Management Company Limited as the Investment Manager. Kotak Mahindra Bank Limited is not liable or responsible for any loss or shortfall resulting from the operations of the Scheme. Before investing, please read the Offer Document for full understanding of the Scheme and detailed risk factors.
All rights in the SENSEX vest in Bombay Stock Exchange Limited (“BSE”). BSE and SENSEX are trademarks of BSE and are used by Kotak Mahindra Asset Management Company under license and governed by the Index License Agreement. BSE shall not be liable in any manner whatsoever (including in negligence) for any loss arising to any person whosoever out of use of or reliance on the SENSEX by any person.
Before investing, please read the Offer Document carefully.
Media contact details
Joel Dsouza,
Kotak Mahindra Asset Management Company,
+91 9819933699,
joel.dsouza@kotak.com
Deepa Jayaraman,
The Resource Centre, an affiliate of IPAN,
+91 9819808681,
deepa.jayaraman@theresourcecentre.co.in
Ajith Henry,
The Resource Centre, an affiliate of IPAN,
+91 9820814870
|
|
|
|
