| HSBC Mutual Fund | |
| Scheme Name | HSBC Equity Hybrid Fund |
| Objective of Scheme | To seek long term capital growth and income through investments in equity and equity related securities and fixed income instruments. However, there is no assurance that the investment objective of the Scheme will be achieved. |
| Scheme Type | Open Ended |
| Scheme Category | Hybrid Scheme – Aggressive Hybrid Fund |
| New Fund Launch Date | 28-Sep-2018 |
| New Fund Offer Closure Date | 12-Oct-2018 |
| Indicate Load Separately | Entry Load – Not applicable Exit Load: (i) Any redemption /switch-out of units within 1 year from the date of allotment shall be subject to exit load as under: a. For 10% of the units redeemed/switched-out: Nil b. For remaining units redeemed or switched-out: 1.00% (ii) No Exit Load will be charged, if Units are redeemed/switched-out after 1 year from the date of allotment. |
| Minimum Subscription Amount | Rs.5,000/- |
| For Further Details Please Visit Website | www.assetmanagement.hsbc.com/in |
| UTI Mutual Fund | |
| Scheme Name | UTI – Fixed Term Income Fund Series XXX-VI (1107 Days) |
| Objective of Scheme | The scheme aims to generate returns by investing in a portfolio of fixed income securities maturing on or before the date of maturity of the scheme. However, the scheme does not guarantee / indicate any return. There is no assurance that the funds objective will be achieved. |
| Scheme Type | Close Ended |
| Scheme Category | Debt – Income |
| New Fund Launch Date | 28-Sep-2018 |
| New Fund Offer Closure Date | 12-Oct-2018 |
| Indicate Load Separately | Entry & Exit Load – Nil |
| Minimum Subscription Amount | Rs.5,000/- |
| For Further Details Please Visit Website | www.utimf.com |
Mutual Funds based on asset class
Debt Funds: These are funds that invest in debt instruments e.g. company debentures, government bonds and other fixed income assets. They are considered safe investments and provide fixed returns. These funds do not deduct tax at source so if the earning from the investment is more than Rs. 10,000 then the investor is liable to pay the tax on it himself.
Balanced or Hybrid Funds: These are funds that invest in a mix of asset classes. In some cases, the proportion of equity is higher than debt while in others it is the other way round. Risk and returns are balanced out this way. An example of a hybrid fund would be Franklin India Balanced Fund-DP (G) because in this fund, 65% to 80% of the investment is made in equities and the remaining 20% to 35% is invested in the debt market. This is so because the debt markets offer a lower risk than the equity market.
Mutual Funds based on structure
Open-Ended Funds: These are funds in which units are open for purchase or redemption through the year. All purchases/redemption of these fund units are done at prevailing NAVs. Basically these funds will allow investors to keep invest as long as they want. There are no limits on how much can be invested in the fund. They also tend to be actively managed which means that there is a fund manager who picks the places where investments will be made. These funds also charge a fee which can be higher than passively managed funds because of the active management. They are an ideal investment for those who want investment along with liquidity because they are not bound to any specific maturity periods. Which means that investors can withdraw their funds at any time they want thus giving them the liquidity they need.
Close-Ended Funds: These are funds in which units can be purchased only during the initial offer period. Units can be redeemed at a specified maturity date. To provide for liquidity, these schemes are often listed for trade on a stock exchange. Unlike open ended mutual funds, once the units or stocks are bought, they cannot be sold back to the mutual fund, instead they need to be sold through the stock market at the prevailing price of the shares.
