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UTI - Services Industries Fund and UTI - Contra Fund merges into UTI Multicap Fund


UTI Mutual Fund announced the merger of UTI Services Industries Fund and UTI Contra Fund merges into UTI Multicap Fund.

The proposed investment objective of UTI Multicap Fund is to generate long term capital appreciation by investing in equity and equity related instruments across market capitalization, fixed income securities and money market instruments.

The fund house also proposed new asset allocation pattern for UTI Multicap Fund. The Fund will allocate minimum 65 per cent of the assets in equity and equity related instruments, 60 per cent to 85 per cent in Large Cap, 10 per cent to 30 per cent in Mid Cap and 5 per cent to 10 per cent in Small Cap.

Post merger, the plan and options under UTI Services Industries Fund and UTI Contra Fund will remain same. The existing unit holders, who do not approve of the above merger, have an option to exit the scheme anytime between July 24, 2014 to August 23, 2014 without paying any exit load.

The change will be effective from August 25, 2014.