LIC Nomura MF plans to raise Rs 100-cr from new scheme

MUMBAI: LIC Nomura Mutual Fund plans to mop up Rs 100 crore from its closed ended income scheme-Dual Advantage Fixed Term Plan-Series 2-which was launched today.

The new fund offer, which opened September 10, will close on September 24.

It comes with a maturity of 43 months and combines the benefits of different asset classes like debt and equity. "We are planning to mop up Rs 100 crore from Dual Advantage Fixed Term Plan-Series 2," chief investment officer, Sarvana Kumar told PTI.

"We are hopeful of giving weighted average return between 9.20 and 9.25 per cent from the fund," he added.

The scheme will invest minimum 65 per cent in debt and a maximum of 35 per cent in equity (most of the time).

The investment philosophy is to endeavour returns by investing into debt and money market securities and provide capital appreciation by investing into equity and equity related instruments.

The scheme will invest into fixed income securities with a view to hold till maturity and the investors will not be exposed to duration risk.