Mumbai: SBI Mutual Fund (SBI MF), one of the leading mutual fund houses in the country, today announced the launch of SBI-ETF Sensex Next 50, an open-ended equity scheme, tracking S&P BSE Sensex Next 50 Index.
The scheme aims to generate returns that closely correspond to the total returns of the securities as represented by the underlying index.
The NFO starts for subscription on Sep 05 and closes on Sep 17, 2018. The minimum application amount is INR 5,000 and the units of the scheme can be purchased / redeemed on the exchange.
The scheme would invest up to a minimum of 95 per cent in securities covered by S&P BSE Sensex Next 50 Index, which have a medium to high risk profile. While for the residual 5%, the scheme will look to invest into money market instruments which have a low risk profile.
Speaking on the occasion, Mr. Navneet Munot, CFA – Chief Investment Officer, SBI MF said, “SBI Mutual Fund has been a leader in the passive management space. We have built a strong capability in the passive investment side and the launch of SBI-ETF Sensex Next 50 is another step in that direction. The scheme offers investors the opportunity to invest in these high-growth 50 stocks through a cost-efficient and convenient manner.”
The advantage for retail investors to invest in ETFs includes transparency, liquidity, diversification, flexibility and cost effectiveness.
The fund manager for this scheme will be Mr. Raviprakash Sharma, who is a CA from ICAI and a charter holder from CFA Institute, USA. He joined SBI Funds Management Private Limited in 2011 and has over 18 years of experience in the capital markets across equity & fixed income segments.
About SBI Funds Management Private Limited, the asset management company of SBI Mutual Fund:
With over 30 years of rich experience in fund management, we at SBI Funds Management Private Limited bring forward our expertise by consistently delivering value to our investors. We have a strong and proud lineage that traces back to the State Bank of India (SBI) – India’s largest bank. We are a Joint Venture between SBI and AMUNDI (France), one of the world’s leading asset management companies. With a network of over 180 SBI MF branches across India, we deliver value and nurture the trust of our vast and varied family of investors.
Excellence has no substitute. And to ensure excellence right from the first stage of product development to the post-investment stage, we are ably guided by our philosophy of ‘growth through innovation’ and our stable investment policies. This dedication is what helps our customers achieve their financial objectives.
SBI Mutual Fund manages an AAUM of over INR. 2,33,114 crores (excluding Domestic Fund of Funds) as on June 30, 2018.