Bandhan Mutual Fund has submitted a draft Scheme Information Document (SID) for its Bandhan Financial Services Sectoral Debt Fund. The filing is dated March 2, 2026, and has been prepared under SEBI (Mutual Funds) Regulations, 2026.
The proposed scheme is an open-ended debt fund that will invest in issuers from the financial services sector, including banks and financial institutions.
The scheme intends to invest mainly in debt instruments rated AA+ and above. These will be issued by entities within the financial services space across different maturities.
The draft specifies that 80% to 100% of the portfolio will be allocated to such instruments. The remaining portion, up to 20%, may be held in government securities, money market instruments, and cash equivalents.
Exposure to securitised debt and overseas securities may extend up to 50% of total assets, within regulatory limits.
The scheme is categorised with relatively high interest rate risk and moderate credit risk.
Its benchmark is the CRISIL-IBX Financial Services 9-12 Months Debt Index, which tracks short-duration instruments issued by financial sector entities.
The index includes instruments such as commercial papers, certificates of deposit and corporate bonds within a maturity band of 9 to 12 months.
Units will be offered at a face value of ₹10 during the New Fund Offer (NFO) period. The scheme will reopen for ongoing subscription and redemption within 5 business days after allotment.
The minimum investment amount is ₹1,000 for lump sum investments and ₹100 for SIPs, with at least 6 instalments required.
There is no exit load applicable on redemptions. The scheme will offer both Direct and Regular plans with Growth and income distribution options.
Redemption proceeds are to be processed within 3 working days. If delayed, interest at 15% per annum may apply from the fourth day.
The Net Asset Value will be disclosed on each business day. The scheme does not have a performance history as it is yet to be launched.
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The draft outlines the structure, allocation limits and operating framework of the proposed sector-focused debt scheme. Further steps will depend on regulatory approvals and timelines.
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.
Published on: Apr 30, 2026, 12:53 PM IST
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