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Religare PSU NFO Raises Rs 229 cr

The collections impressed in a sluggish equity fund environment

The new fund offer (NFO), Religare PSU Fund, has raised Rs 229 crore from 37,000 investors.

This is an impressive amount in an otherwise sluggish weather for equity funds. Indian investors have, on an aggregate, redeemed nearly Rs 2,123 crore more than their new investments in equity funds.

The fund was open for initial subscription till on October 28.

Religare PSU Fund will be the only thematic fund catering to the limited universe of public sector companies.

However, the fund has a provision wherein it can invest up to 20 per cent of its net assets in other companies including former PSUs.

This is the third NFO after the market regulator Securities and Exchange Board of India (SEBI) abolished entry loads in July, 2009, which came into effect from August 1.

The other two NFOs were also unique offerings - Mirae Asset China Advantage and Edelweiss - The Absolute Returns Equity Fund.