NFO Alert: Union Mutual Fund Launches Union Low Duration Fund

Union Mutual Fund has launched a new open-ended debt scheme named Union Low Duration Fund – Regular (Growth). The scheme is part of the ultra-short-term fund category and will remain open for subscription from June 26 to July 3, 2025.

Scheme Category and Structure

This fund falls under the Debt – Ultra Short Term category with a moderately low risk level. It is structured as an open-ended scheme that offers daily NAV calculation. The Macaulay Duration of the portfolio will be maintained between 6 and 12 months.

Investment Objective

The stated objective is to provide reasonable returns and liquidity by investing in a mix of debt and money market instruments. The fund intends to strike a balance between safety, liquidity, and return. There is no assurance that this objective will be met.

The fund will be managed by Devesh Thacker. Investors will have access to repurchase and redemption facilities without any exit load, allowing them to withdraw investments without additional charges.

Minimum Investment and Entry 

A minimum investment of ₹1,000 is required to enter the scheme, with subsequent investments allowed in multiples of ₹1,000. The scheme is classified for investors looking for low-risk, short-term debt products with regular liquidity.

The fund operates under a regular growth plan with no lock-in period. The NAV will be calculated daily, and there are no penalties for early withdrawal. The scheme accepts applications only during the NFO period.

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Conclusion

Union Low Duration Fund NFO will remain open for just over a week. It adds to Union AMC’s range of short-term debt products and is aimed at investors seeking short-term debt exposure between June 26 and July 3, 2025.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions. 

Mutual Fund Investments are subject to market risks, read all the related documents carefully before investing.