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An open-ended Banking & PSU debt fund following a roll-down strategy with 100% AAA/equivalent portfolio
• UTI Banking & PSU Debt Fund is a debt fund investing primarily in debt securities of banks, PSUs, PFIs. • The fund is following a roll-down strategy and the portfolio maturity tends to reduce ordinarily with time. • Aims to lock-in prevailing yields in the short to medium curve • Endeavor to invest 100% portolio in AAA or equivalent rated securities
Nil
SWP/Redeem/SIP/STRIP/Switch
Relatively High interest rate risk and Relatively Moderate Credit Risk (B-III)
Debt and Money Market Securities issued by Banks, Public Financial Institutions (PFIs) and Public Sector Undertakings (PSUs) and Municipal Bonds: 80-100% (Low to Medium) Debt and Money Market Securities (including Triparty Repos on Government Securities or treasury bill & Repo) issued by entities other than Banks, Public Financial Institutions (PFIs), Public Sector Undertakings (PSUs) and Municipal Bonds: 0-20% (Low to Medium) Debt securities will also include Securitised Debt, which may go up to 50% of the portfolio.
The investment objective of the scheme is to generate reasonable income, with low risk and high level of liquidity from a portfolio of predominantly debt & money market securities by Banks, Public Sector Undertakings (PSUs), Public Financial Institutions (PFIs) and Municipal Bonds. However there can be no assurance that the investment objective of the Scheme will be achieved. The Scheme does not guarantee/indicate any returns.
Banking & PSU
An open ended debt scheme predominantly investing in debt instruments issued by Banks, Public Sector Undertakings, Public Financial Institutions and Municipal Bonds. A Relatively High interest rate risk and Relatively Moderate Credit Risk (B-III)
• The fund is following a roll-down strategy and the portfolio maturity tends to reduce ordinarily with time. • Aims to lock-in prevailing yields in the short to medium curve. • Endeavor to invest 100% portolio in AAA or equivalent rated securities.
This product is suitable for investors who are seeking*: Reasonable income, with low risk and high level of liquidity over short to medium term Investment predominantly in Debt & Money Market Securities issued by Bank, Public Sector Undertaking (PSUs), Public Financial Institutions (PFIs) and Municipal Bonds Investors should consult their financial advisers if in doubt about whether the product is suitable for them.
- Investors looking for overall portfolio diversification - Investors who want growth with limited downside risk to their portfolio - Investors looking for tax efficient returns - Retirees looking for moderate and stable returns with low volatility - First time mutual fund investors
UTI Banking and PSU Debt Fund is an open-ended debt scheme investing primarily in high quality debt securities issued by Banks, Public Sector Undertakings, Public Financial Institutions and Municipal Bonds, having AAA and equivalent credit rating (at the time of investment). The scheme is currently following a roll-down investment strategy and portfolio maturity tends to reduce ordinarily with time.
UTI Banking & PSU Debt Fund is an open ended debt scheme. Fund aims to generate accrual income by investing predominantly in PSU and Banking corporate bonds. The scheme also takes tactical exposure to g-sec with an aim to actively manage duration and generate capital appreciation
• Investors looking towards reasonable returns and liquidity over short to medium term
•Investors who are not satisfied with the investments in conventional fixed income avenues like bank deposit, post office instruments etc.
• Investors seeking to do asset allocation across various asset classes
• Investors having moderate risk appetite with an investment horizon of 1 year and above
Investors can simply log on to utimf.com or use UTI Mutual Fund Application and start investing subject to KYC compliance. Investors may also approach nearest UTI Financial Centers (UFCs). Alternatively, you may also approach your mutual fund distributor, financial advisor or various online platform for investments.
UTI Banking & PSU Debt Fund will attract capital gains tax if the redemption value is more than the purchase price. The gains can either be short term or long term in nature.
If you hold units for 3 years or less, the gains made are subject to Short-Term Capital Gains Tax and are taxed as per your income slab. If you hold the units for more than three years, the gains are subject to Long-Term Capital Gains Tax which is taxed at 20% and you would get the benefit of indexation (available to debt funds). Indexation accounts for the effect of inflation in the acquisition purchase cost i.e. the purchase price is increased to adjust for inflation (using an index provided by the Government) before calculating the capital gain. Thus, it reduces the overall tax liability.
• UTI Banking and PSU Debt Fund aims to provide reasonable income through investing in debt instruments issued by Banks, Public Sector Undertakings, Public Financial Institutions and Municipal Bonds
• The fund invests in the 1 to 3 years segment to capitalize on yield movement at the shorter end of the curve
Investors can simply log on to utimf.com or use UTI Mutual Fund Application and start investing subject to KYC compliance. Investors may also approach nearest UTI Financial Centers (UFCs). Alternatively, you may also approach your mutual fund distributor, financial advisor or various online platform for investments.
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