- The company aims to raise between Rs 300 crore and Rs 500 crore from this NFO.
- NFO opens on 5th August 2022 and closes on 11th August 2022
- Aims to provide reasonable returns on surplus funds with favorable risk reward
- Focus on providing high quality portfolio with relatively low interest rate risks
- Ideal for an Investment period of 3 to 6 months
NE BUSINESS BUREAU
AHMEDABAD, AUG 1
TRUST Asset Management on Monday announced the launch of its New Fund Offer (NFO) – the TRUSTMF Money Market Fund which aims to seek benefit from steepness in the Money Market yield curve and provides an avenue for parking short term surplus with relatively low interest rate risk. It is an open-ended debt scheme predominantly investing in 6 months instruments of high quality issuers.
The NFO opens for subscription from Friday, August 5 and closes on Thursday, August 11, 2022. The Fund will be managed by Anand Nevatia, Fund Manager, TRUST Mutual Fund. This is the fifth addition to TRUST Mutual Fund’s Fixed Income product portfolio.
The company aims to raise between Rs 300 crore and Rs 500 crore from this NFO. The minimum investment is Rs 1000. The interest yield is expected to be around 6.25 percent.
Speaking on the launch of the TRUSTMF Money Market Fund, Sandeep Bagla, CEO, TRUST Mutual Fund said, “We are happy to announce the launch of TRUSTMF Money Market Fund. We continue to focus on our key ethos of providing credible investment solution to our investors. The aim of the fund is to take advantage of the Money Market yield curve which has seen perennial steepness. In these uncertain times, Money Market Mutual Funds will provide relative stability and reasonable returns to investors looking to park their surplus money for 3 to 6 months investment horizon.”
The Trust MF Money Market Fund will follow a structured investment approach backed by unique methodology, with the objective of delivering consistent risk-adjusted returns. The robust methodology has been developed in collaboration with Crisil, the knowledge partner for initial debt schemes of Trust Mutual Fund, Bagla added.
To a query, Bagla replied that the company has office in Ahmedabad and its sister concerns are spread in Surat and Rajkot in Gujarat.
Anand Nevatia, Fund Manager, TRUST Mutual Fund said, “The change in stance from RBI followed by a series of rate hikes, has resulted in abnormal steepness in the money market yield curve, particularly in overnight to 6 month curve. The TRUSTMF Money Market Fund will look to invest predominantly in 6 months instruments of high quality issuers and let them roll down to take benefit of the steepness. This steepness can provide a good opportunity to lock in higher yields and can also provide downside protection from imminent rate hikes. We believe this is an ideal strategy for short term deployments in these volatile times.”
FUND
