UTI Mutual Fund is launching another open-ended fund - UTI Liquid. The scheme offers two plans - UTI Liquid Cash Plan, which will provide liquidity and adequate return, and UTI Liquid Short Term Plan, which will aims to provide higher return with a higher average maturity of investment.
The minimum investment is Rs.1 lakh under UTI Liquid Cash and Rs. 30,000 under UTI Liquid Short Term Plan. The subsequent minimum additional investment under both the plans is Rs.10000. The minimum amount for repurchase is Rs.10000. The initial offer period will be for 2 days from June 23 to June 24, 2003. The sale of units will re-open from June 27, 2003. Both the plans will offer a Growth and a Dividend Option. The Dividend Option will offer both Reinvestment and Payout facilities, but the payout facility will be available only under the UTI-Liquid Short Term Plan under which income will be paid out, subject to the minimum outstanding investment value of Rs.1 lac on the record date.
The fund will charge no initial issue expenses and entry load under both the options. UTI Liquid Cash will attract no exit load while UTI Liquid Short-term will charge an exit load of 0.20 per cent for repurchases made within 15 days.