After a gap of one year, JM Mutual Fund has come out with a new debt fund. Christened as JM Floater, it is a floating rate bond fund. The fund is initially open for subscription from June 23, 2003 to June 25, 2003. It will invest 35-100 per cent of its net assets in floating rate debt instruments and the balance in fixed rate debt instruments.
The fund offers two plans Long-term and Short-term plans, with each having a Growth and a Dividend options. In the short-term plan, both entry and exit is without load. However, under the Long-term plan, while there is no entry load an exit load of 0.5 per cent would be charged if redeemed before 3 months for investment up to 5 lakh. For investments above Rs 5 lakh, the fund would charge an exit load of 0.25 per cent if redeemed before 3 months.
Short-term plan Rs 25 lakh
Long-term Plan Rs 5,000