Taurus Mutual Fund has announced the introduction of Dividend Sweep sub-option under dividend option of Taurus Liquid Fund, Taurus Ultra Short Term Bond Fund, Taurus Dynamic Income Fund, Taurus Starshare, Taurus Bonanza Fund, Taurus Discovery Fund, Taurus Ethical Fund, Taurus Infrastructure, Taurus Tax Shield, Taurus Nifty Index Fund, Taurus Short Term Income Fund and Taurus MIP Advantage, with effect from 14 March 2011:
1. Under Dividend Sweep Option, the investors may opt to automatically transfer (invest) the net dividend amount payable under the scheme (source scheme) into any other scheme (target scheme) of Taurus Mutual Fund on the ex-dividend date into the target scheme specified by the investor, at the applicable NAV of the target scheme and accordingly applicable number of units will be allotted in the target scheme.
2. The minimum amount of investment is not applicable for investment made through Dividend Sweep Option in the target scheme.
3. The units allotted in the target scheme against investment via Dividend Sweep Option will be subject to the applicable exit load of the target scheme.
4.Enrollment under the Dividend Sweep Option facility will automatically override any previous instructions of the unit holders for dividend payout or dividend reinvestment facility, as the case may be, in the source scheme and will also apply to additional units allotted in the source scheme subsequently on account of additional subscription/switch-in/SIP/STP etc.
The dividend sweep facility under Taurus Short Term Income Fund and Taurus MIP Advantage allows for dividend sweep to any other open ended equity schemes. Now this facility is extended to all the open ended schemes (excluding Taurus Gilt Fund) with effect from March 14, 2011.