PGIM India Mutual Fund launches overnight fund

PGIM India Mutual Fund has launched PGIM India Overnight Fund on Tuesday. The new fund offer (NFO) has opened on August 12 and will close for subscription on August 26. The minimum investment required is Rs 100 and in multiples of Rs 1 thereafter.

PGIM India Overnight Fund will be jointly managed by Kumaresh Ramakrishnan and Kunal Jain. The performance of the scheme will be benchmarked against NIFTY 1D Rate Index.

The scheme aims to provide reasonable returns mitigated with low risk and provide a high level of liquidity, through investments made primarily in overnight securities having maturity of one business day, the mutual fund house said.


According to the press release, the scheme will invest in debt securities and money market instruments maturing on or before next business day. Investments under the scheme would be made predominantly in tri-party repo (TREP), overnight reverse repos and fixed income securities/instruments with overnight maturity.

The fund will also limit the investments into debt instruments with 1 day residual maturity only to government securities, SDLs, PSUs, PFIs and other quasi-government papers.

PGIM India Overnight Fund will have no lock-in period and will not have any entry or exit load.