The F.O.R.C.E. or Financial Opportunities, Retail Consumption and Entertainment Fund is the new fund offer (NFO) from Canara Robeco Mutual Fund.
The fund seeks to generate returns by primarily investing in companies engaged in financial, retail and entertainment sectors – banks, insurance companies, NBFCs, brokerages, investment banks, infrastructure finance, broadcasting, media, telecom, multiplexes etc.
The fund’s mandate will allow it to invest up to 35 per cent of its assets in cash & cash equivalents, fixed income instruments and companies other than those in its focus sectors.
Anand N. Shah will be managing the scheme. He holds PGDM (IIM – Lucknow) and has earlier worked with Kotak Mahindra AMC (as Vice President, Fund Manager) and ICICI Prudential AMC (as senior fund manager).
He is the fund manager for 4 other schemes of the fund house, viz. Canara Robeco Emerging Equities, Canara Robeco Balance, Canara Robeco Multicap and Canara Robeco Infrastructure.
Canara Robeco Mutual Fund was started in December 1987. It had Rs 7,835 crore of assets under management in July 2009 of which about 7 per cent is in its 6 equity schemes. Its equity fund lineup includes two highly rated funds, viz. Canara Robeco Infrastructure and Canara Robeco Equity Tax Saver. Of the other four, 2 are rated 3-star by Value Research, 1 as 2-star while one fund is unrated.
Type: Open-End Diversified Equity Fund
NFO Opens: July 23, 2009
NFO Closes: August 18, 2009
Plan / Options: Retail and Institutional Plans, both with Growth and Dividend (reinvestments and payout) options.
Minimum Application Amount: Rs 5,000/- (Retail Plan), Rs 5 crore (Institutional Plan)
Minimum Additional Purchases: Rs 500/- (Retail Plan), Rs 5 lakh (Institutional Plan)
SIP Facility: Available on quarterly (min. Rs 2,000/-) and monthly (min. Rs 1,000/-) basis.
Benchmark: S&P CNX Nifty
Load Structure (During NFO):
Entry Load: For investments of less than Rs 5 crore, 2.25 per cent. For all SIP / STP / SWP, 2.25 per cent.
Exit Load: 1 per cent for investment of less than Rs 5 crore if redeemed within 12 months.
No loads will apply to Institutional Plans.
Annual Recurring Expense (maximum): 2.50 per cent (Retail Plan) and 1.83 per cent (Institutional Plan). Investment Management fee will be charged at the rate of 1.25 per cent.