New Fund offer: Goldman Sachs India Equity Fund

Goldman Sachs Mutual Fund has launched Goldman Sachs India Equity Fund, the first open end fund from the fund house, which aims to generate long term capital growth from an actively managed portfolio of stocks. The New Fund Offer (NFO) is currently open and closes for subscription on on October 31. The scheme will open for continuous subscription and redemption on or before November 16.

The product

The fund manager will use a bottom up approach for the selection of stocks on the basis of valuation. The fund will be fully invested without taking excessive cash calls. The minimum application amount is Rs 5000 and in multiples of Rs 1 thereafter. The fund seeks to collect a minimum subscription amount of Rs 20 crore during the NFO period. There is no entry load, while an exit load charge will be 1% if the units are redeemed or switched within one year of allotment of units. No exit load will be charged if the units are redeemed after a year of allotment.

Why invest:The fund has an edge as it will be able to leverage Goldman Sachs Asset Managements global resources for research insights. The six-member investment team has a cumulative experience of over 65 years in the Indian financial markets.

Why not to invest:Since this is the first actively managed fund from Goldman Sachs, there is no past data available to comment on the performance of the fund house in India.