UTI Mutual Fund has launched a new fund offering ‘UTI Balanced Advantage Fund’, an open-ended dynamic asset allocation fund, investing in a diversified portfolio of equity and fixed income. The portfolio of the scheme will be dynamically managed, based on valuation and fundamentals driven by in-house proprietary asset allocation model.
The NFO is open for subscription from July 21st, 2023 and will end on August 4th, 2023. Within five Business Days following the date of allotment(August 17th), the Schemes will reopen for continuous sale and repurchase. Subscriptions can be made starting at Rs. 5,000 and in multiples of Rs. 1/-. Both a Regular Plan and a Direct Plan are available.
About UTI Mutual Fund
UTI Mutual Fund, founded in 2003 after the bifurcation of Unit Trust of India, has emerged as a prominent player in India’s Mutual Fund industry. It is backed by four leading PSU banks – State Bank of India, Punjab National Bank, Bank of Baroda, and Life Insurance Corporation of India – each holding 18.24% shares in UTIMF. With a vast investor base of approximately 11 million and a diverse portfolio of over 250 plans, UTI Mutual Fund manages an impressive total Assets under Management (AuM) of nearly Rs. 23,372 Crores.
One of UTI Mutual Fund’s key strengths lies in its extensive distribution network, which reaches both rural and semi-urban areas of India. The fund has over 50,000 AMFI and NSFM certified Independent Advisors and 200 full-time Financial Service Centres, ensuring wide accessibility of its offerings.
The fund managers at UTI Asset Management are experienced and skilled in various areas, including retirement solutions, portfolio management, international banking, and alternative assets management. This expertise enables UTI Mutual Fund to provide a comprehensive suite of financial products and services to cater to diverse investor needs and preferences
UTI Balanced Advantage Fund – NFO Detail
| Type of Offer | NFO (New Fund Offer) |
| Fund House | UTI Mutual Fund |
| Name of the Fund | UTI Balanced Advantage Fund |
| Type of Scheme | Open-ended |
| Category of Scheme | Hybrid: Dynamic Asset Allocation |
| NFO Starts | 21-July-2023 |
| NFO Ends | 04-August-2023 |
| NFO Unit Price | Rs 10 per unit |
| Minimum Investment | Rs. 5000 |
| Plans | Regular, Direct |
| Options | Growth, IDCW |
| Entry Load | Not Applicable |
| Exit Load | 1% |
| Investment Manager | UTI Asset Management Company Limited |
| Fund Manager | Mr. Sachin Trivedi and Mr. Anurag Mittal |
UTI Balanced Advantage Fund NFO – Scheme Objective
The Investment objective of the Scheme is to provide long-term capital appreciation and income by investing in a dynamically managed portfolio of equity and debt instruments.
UTI Balanced Advantage Fund NFO – Who Can Invest?
This product is suitable for investors who are seeking*:
- Long-term capital appreciation and income
- Investment in a dynamically managed portfolio of equity and debt instruments.
How Will the Scheme Allocate Its Asset
- 30-90% in Equity & equity related instruments.
- 10-70% in Debt and Money Market instruments (including securitised debt).
Where Will the Scheme Invest?
Subject to SEBI (Mutual Funds) Regulations, as amended from time to time and the disclosures made under the sections “How will the Scheme allocate its assets” and “ What is the Investment objective of the Scheme”, the corpus of the Scheme can be invested in any (but not exclusively) of the following securities:-
- Domestic equity and equity related securities including convertible bonds and debentures and warrants etc. carrying the right to obtain equity shares.
- Derivative instruments like Stock/ Index Futures, Stock/Index Options etc. traded on derivatives markets in India and any other derivative instruments permitted by SEBI.
- ADRs/GDRs issued by Indian companies subject to the guidelines issued by the Reserve Bank of India and Securities and Exchange Board of India (SEBI).
- Equity of overseas companies listed on recognized stock exchanges overseas.
- Derivatives traded on recognized stock exchanges overseas only for hedging and portfolio balancing with underlying securities.
- Units/securities of overseas mutual funds/ overseas ETFs.
- Short term deposits with banks overseas where the issuer is rated not below investment grade.
- Initial and follow on public offerings for listing at recognized stock exchanges overseas.
- Foreign debt securities in the countries with fully convertible currencies, short term as well as long term debt instruments with rating not below investment grade by accredited/registered credit rating agencies.
- Government securities where the countries are rated not below investment grade.
- Units/securities issued by overseas mutual funds or unit trusts registered with overseas regulators and investing in (a) aforesaid securities, (b) Real Estate Investment Trusts (REITs) listed in recognized stock exchanges overseas or (c) unlisted overseas securities (not exceeding 10% of their net assets).
- The scheme may invest in derivatives to engage in permitted currency hedging transactions with an intention to reduce exchange rate fluctuations between the currency of the scheme (INR) and the foreign currency exposure.
- Securities created and issued by the Central and State Governments (including but not limited to coupon bearing bonds, zero coupon bonds and treasury bills).
- Securities guaranteed by the Central and State Governments (including but not limited to coupon bearing bonds, zero coupon bonds and treasury bills).
- Repos in the form of investment, where the counterparty is rated not below investment grade and which does
- not involve any borrowing of funds by the Scheme/Fund.
- Debt securities issued by domestic Government agencies and statutory bodies, which may or may not carry Central/State Government guarantee.
- Corporate debt securities (of both public and private sector undertakings).
- Obligations or Securities issued by banks (both public and private sector) including term deposits as permitted by SEBI / RBI from time to time and development financial institutions.
- Securitised Debt.
- Money market instruments as permitted by SEBI/RBI and rated not below the investment grade.
- Tri Party Repo on Government Securities or treasury bill.
- Securities with Floating rate Instruments.
- Certificate of Deposits (CDs).
- Listed or to be listed Commercial Paper (CPs).
- Pass through, Pay through or other Participation Certificates, representing interest in a pool assets including receivables
- Such other securities / assets may be permitted by the SEBI from time to time.
- Derivative instruments like Interest Rate Futures (IRF), Interest Rate Swaps (IRS) etc. and any other debt instruments permitted by SEBI. (including Forward Rate Agreements).
UTI Balanced Advantage Fund NFO – SID (Scheme Information Document)
Please click here to read the SID (Scheme Information Document) of this upcoming NFO scheme.
How to Invest?
Visit this page on the AMC website for further detail and investment.
Disclaimer: This post is just information about the scheme. It does not give any advice or recommendation. Mutual Fund investments are subject to market risk. Please read the offer document carefully before investing.
