Publish Date:
Edelweiss Mutual Fund launches two new schemes – BHARAT Bond ETF – April 2033 and BHARAT Bond ETF FoF – April 2033.
Bothe the schemes are open-ended Target Maturity Funds the ETF is investing in constituents of Nifty BHARAT Bond Index - April 2033. Whereas the Fund of Fund scheme will invest in units of BHARAT Bond ETF – April 2033. A relatively high interest rate risk and relatively low credit risk.
Accordingly, the investment objective of BHARAT Bond ETF – April 2033 is to track the Nifty BHARAT Bond Index – April 2033 by investing in bonds of AAA-rated CPSEs/CPSUs/CPFIs and other Government organizations, subject to tracking errors. BHARAT Bond ETF FOF - April 2033 is a scheme with the primary objective to generate returns by investing in units of BHARAT Bond ETF – April 2033.
Under normal circumstances, BHARAT Bond ETF – April 2033 will hold an allocation of 95% to 100% of its assets in Debt Securities issued by CPSEs/CPSUs/CPFIs and other Government organizations which are part of Nifty BHARAT Bond Index –April 2033. BHARAT Bond ETF FOF - April 2033 will hold an allocation of 95% to 100% of its assets in Units of BHARAT Bond ETF – April 2033 and both the schemes will hold 0% to 5% in Government Securities maturing on or before maturity date of the Scheme, TREPS and REPO in government bonds.
As per the Scheme Information Document, BHARAT Bond ETF – April 2033 will seek to deliver the investment results of the underlying index. The fund will seek to meet its investment objective by investing in individual securities which satisfy the criteria of the Underlying Index. The Scheme will follow a Buy & Hold strategy (buy and hold) where existing bonds are held till maturity unless sold for meeting redemptions.
BHARAT Bond ETF FOF - April 2033 would endeavour to provide investment returns linked to BHARAT Bond ETF – April 2033 and intends to achieve its investment objective by investing in BHARAT Bond ETF – April 2033.
Both BHARAT Bond ETF – April 2033 and BHARAT Bond ETF FoF – April 2033 performance will be benchmarked against Nifty BHARAT Bond Index – April 2033.
The schemes will be managed by Mr Dhawal Dalal and Mr Rahul Dedhia.
Both the NFO opens for subscription on December 02, 2022 and closes on December 08, 2022. The schemes will reopen for continuous sale and repurchase on December 16, 2022
The fund’s NAV is priced at Rs 10/- per unit during the NFO period. The minimum subscription amount is Rs 1,000/- and in multiples of Re 1/- thereafter in both the schemes.
The BHARAT Bond ETF – April 2033 scheme does not offer any Plans/Options for investment.
The BHARAT Bond ETF FoF – April 2033 scheme offers Regular Plan and Direct Plan each plan offers Growth and Income Distribution cum capital withdrawal option (IDCW) option.