The new fund offer or NFO will open for subscription on August 20 and will close on September 3. The scheme will re-open for continuous sale and repurchase within five business days of the allotment date.
The scheme will be benchmarked against 65% Nifty 50 TRI + 20% CRISIL Short Term Bond Fund Index + 15% Domestic price of Gold.
An exit load of 1% will be applicable if units are redeemed/switched out on or before completion of 15 days from the date of allotment. Nil exit load will be there if redeemed or switched out after completion of 15 days from the date of allotment of units.
The minimum investment amount will be Rs 1,000 and in multiples of Re 1 thereafter. For monthly SIP, the minimum investment amount is Rs 500 and in multiples of Re 1
Union Multi Asset Allocation Fund will invest across a range of asset classes, including 65-80% in equity and equity-related instruments, 10-25% in debt and money market instruments, 10-25% in gold, 0-10% in silver exchange-traded funds (ETFs), and 0-10% in real estate investment trusts (REITs) and infrastructure investment trusts (InvITs).”As we prepare to launch the Union Multi Asset Allocation Fund, we aim to provide diversified investment solutions that empower our investors to achieve their financial goals, in this dynamic market environment,” said Madhu Nair, CEO of Union Mutual Fund.The launch of this fund comes amidst a period of robust growth for the Indian mutual fund industry. While the markets have sustained the rally post the general election outcome and hopes of a strong Budget, the domestic mutual fund industry too has been on an overdrive mode for the past decade or so, according to a press release by the fund house.
The scheme is suitable for investors who are seeking long-term wealth creation and want investment in a diversified portfolio of equity and equity-related instruments, debt and money market instruments and units of Gold ETFs and/or Silver ETFs.