Publish Date:
SBI Mutual Fund has launched – SBI Long Duration Fund
It is an open-ended debt scheme investing in instruments such that the Macaulay duration of the portfolio is greater than 7 Years. A Relatively High interest rate risk and Moderate Credit Risk.
Accordingly, the investment objective of the scheme is to generate returns by investing in debt and money market instruments such that the Macaulay duration of the scheme portfolio is greater than 7 years. However, there can be no assurance or guarantee that the investment objective of the Scheme would be achieved.
Under normal circumstances, SBI Long Duration Fund will hold an allocation of 0% to 100% of its assets in Debt Instruments & Money Market Instruments.
As per the Scheme Information Document, SBI Long Duration Fund will invest its corpus in debt and money market instruments in line with the investment objective to provide attractive risk-adjusted returns to its investors through active management of credit risk and interest rate risk in its portfolio. The scheme aims to generate returns through investment in long term bonds. The Scheme being open-ended, some portion of the portfolio may be invested in money market instruments to meet the liquidity requirements.
SBI Long Duration Fund’s performance will be benchmarked against CRISIL Long Duration Fund AIII Index
The scheme will be managed by Mr Rajeev Radhakrishnan and Mr Mohit Jain
The NFO opens for subscription on December 12, 2022 and closes on December 20, 2022. The schemes will reopen for continuous sale and repurchase within five Business Days from the date of allotment.
The fund’s NAV is priced at Rs 10/- per unit during the NFO period. The minimum subscription amount is Rs 5,000/- and in multiples of any amount thereafter.
The scheme offers Regular Plan and Direct Plan each plan offers Growth and Income Distribution cum capital withdrawal option (IDCW) option.