The new fund offer or NFO of the scheme will open for subscription on August 28 and will close on September 3. The scheme will re-open for continuous sale and repurchase not later than within five business days from the date of allotment.
The investment objective of the scheme is to seek to generate returns by predominantly investing in arbitrage opportunities in the cash and derivatives segments of the equity markets and by investing balance in debt and money market instruments.
The scheme will be benchmarked against NIFTY 50 Arbitrage TRI. The scheme will be managed by Ramesh Mantri, Ashish Agrawal and Piyush Baranwal.
In respect of each purchase / switch-in of units, an exit load of 0.25% is payable if units are redeemed/ switched-out within seven days from the date of allotment. No exit load is payable if units are redeemed / switched-out after seven days from the date of allotment.
The minimum application amount for lumpsum investment will be Rs 500 and in multiples of Re 1 thereafter. The minimum application amount for weekly, fortnightly, and monthly SIP will be Rs 100 (plus in multiple of Re 1) with minimum six instalments. The minimum additional purchase amount will be Rs 500 and in multiples of Re 1 thereafter.Under normal circumstances, the scheme will allocate 65-100% in equity and equity related instruments and equity derivatives, 0-35% in debt securities and money market instruments including the margin money deployed in derivative transactions, and 0-10% in units issued by REITS and InVITs. Under defensive circumstances, the scheme will allocate 0-65% in equity and equity related instruments and equity derivatives, 35-100% in debt securities and money market instruments including the margin money deployed in derivative transactions, and 0-10% in units issued by REITS and InVITs.
The scheme is suitable for investors who are seeking short to medium term return generation and want investment predominantly in arbitrage opportunities in the cash and derivative segment of the equity market. The principal invested in the scheme will be at “low” risk according to the riskometer of the scheme.