scorecardresearchNFO Alert: TATA Multicap Fund opens today; here's all you need to know

NFO Alert: TATA Multicap Fund opens today; here's all you need to know

Updated: 16 Jan 2023, 10:08 AM IST
TL;DR.
The new fund offer (NFO) which will be launched on January 16, 2023, will remain open for subscription till January 30, 2023.
TATA Mutual Fund announces TATA Multicap Fund.

TATA Mutual Fund announces TATA Multicap Fund.

TATA Mutual Fund has announced that the TATA Multicap Fund, an open-ended equity scheme investing across large-cap, mid-cap and small-cap stocks, will open for subscription on January 16, 2023. The new fund offer (NFO) will remain open till January 30, 2023. The scheme will reopen for subscription on February 09, 2023.

The multi-cap option ensures that investors stay invested in multiple sectors, themes and market capitalisations. However, there is no assurance or guarantee that the investment objective of the Scheme will be achieved.

One must invest at least 5,000 in this scheme. Investors will be allotted units of the scheme at a face value of 10 per unit. Investors may park their money through either a lump sum or systematic investment plan (SIP) investment option. 

The scheme offers both regular and direct plans, both of which offer only the “Growth” option. This means that all the income generated and profits booked will be ploughed back and returns will be reflected through the fund’s net asset value (NAV).

This fund will track Nifty 500 Multicap 50:25:25 TRI as the benchmark. The scheme carries a very high risk as per details shared in the key information memorandum. 

This relatively risky investment option suits best those looking to generate long-term capital appreciation though investors must check with their financial advisors to know if the product befits their investment portfolio. 

There is no entry load to this scheme. However, the fund charges one percent exit load if the withdrawal amount or switched-out amount is more than 12 percent of the original cost of investment. However, free redemption/switch-out/SWP/STP on or before the expiry of 365 days from the date of allotment is allowed if the withdrawal or switched-out amount is not more than 12 percent of the original cost of investment. This also means that premature partial and complete redemption from this scheme are allowed. The minimum redemption amount will be Rs.500 or 50 units.

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First Published: 03 Jan 2023, 01:13 PM IST