Upcoming NFO: ITI Mutual Fund Files Draft Papers with SEBI for Multi Asset Allocation Fund

ITI Mutual Fund has filed the draft Scheme Information Document (SID) with the Securities and Exchange Board of India (SEBI) for the proposed ITI Multi Asset Allocation Fund.  

The open-ended scheme will invest across equity, debt and money market instruments, Gold and Silver Exchange Traded Funds (ETFs), and Exchange Traded Commodity Derivatives (ETCDs).  

The fund has been classified under the Multi Asset Allocation category.  

Investment Objective and Allocation 

According to the draft document, the scheme aims to generate long-term capital appreciation and income by investing in multiple asset classes.  

Under normal market conditions, 35% to 80% of the portfolio will be invested in equity and equity-related instruments, 10% to 50% in debt and money market instruments, and 10% to 50% in Gold and Silver ETFs, commodity ETFs and ETCDs. Investments in InvITs may be up to 10% of the portfolio.  

Benchmark and Investment Features 

The scheme will be benchmarked against a composite index comprising 50% NIFTY 250 TRI, 35% CRISIL Composite Bond Index, 10% domestic price of physical gold, and 5% domestic price of silver.  

The fund will be available under both Regular and Direct Plans with Growth and IDCW options.The minimum investment during the New Fund Offer (NFO) and on an ongoing basis has been fixed at ₹5,000, while additional purchases can be made from ₹1,000.  

NFO and Redemption Details 

The NFO will be offered at ₹10 per unit, although the opening and closing dates have not yet been announced. The scheme will open for continuous purchase and redemption within five business days from the date of allotment after the NFO.  

Redemption proceeds are proposed to be processed within three working days, while the applicable exit load will be 0.50% for redemptions made within three months from allotment and nil thereafter.  

Read More: NFO Alert: ICICI Prudential Mutual Fund Launches Balanced Hybrid Fund! 

Conclusion 

The proposed fund is to invest across multiple asset classes under a single scheme. Further details, including the subscription period, will be announced after regulatory clearance. 

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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.