Reliance Mutual Fund has introduced a PF plan under the Reliance Gilt Fund - Long-term Plan effective, March 10, 2004. The minimum investment is Rs. 1 lakh and in multiples of Rs. 1 thereafter. The fund would not charge any entry load but an exit load of 0.25 per cent for investments upto Rs. 10 lakhs if redeemed within 3 months and 0.10 per cent for investments above Rs. 10 lakhs if redeemed within 7 days.
There are three investment options available under this plan.
- Automatic Capital Appreciation Pay-Out Option
This is available with Monthly, Quarterly, Half-yearly and Annual Options. Under this facility the unit holders can redeem their capital appreciation if any, on a specified day, leaving behind their original subscription of units. The redemption of units representing the capital appreciation will be computed on the basis of the difference between the applicable NAV of the date of subscription and the applicable NAV of the specified day, without any exit load. In case the applicable NAV of the specified date is less than the purchase price then the mandate given by the unit holder becomes redundant.
- Defined Maturity Date Option
Under this facility the unit holders can predetermine the date of redemption (either partial or full) of their units at the time of subscription itself.
- Automatic Annual Reinvestment Option
Under this facility the unit holders can predetermine the date of redemption and also the subscription of the same amount on the same predetermined date of redemption.