ABN AMRO Mutual Fund has lined up its maiden schemes for SEBI clearance. The fund plans to launch an equity fund, a monthly income plan, a dynamic debt fund, a floating rate fund and a cash fund.
ABN AMRO Equity Fund would be an open-end diversified equity fund with S&P CNX Nifty as the benchmark index. The fund will normally invest 95 per cent of its corpus in equities. However, the allocation to debt can go up to 50 per cent if required.
ABN AMRO Monthly Income Plan would be an open-end MIP. It will invest 80-100 per cent in debt and money market instruments. The equity allocation would normally be restricted to 15 per cent but can go up to a maximum of 20 per cent.
ABN AMRO Dynamic Debt Fund will be an open-end debt fund typically investing 70 per cent in debt and 30 per cent in money market instruments. The allocation to money market instruments can go up to a maximum of 100 per cent, while the maximum debt allocation is restricted to 90 per cent.
ABN AMRO Floating Rate Fund would be an open-end floating rate debt fund investing 75 per cent of its assets in floating rate debt and money market instruments while the balance 25 per cent may be invested in fixed rate debt instruments.
ABN AMRO Cash Fund would be an open-end liquid fund and will invest 70-100 per cent of its assets in money market instruments, so as to ensure capital preservation.
All the three debt funds - Dynamic, Floating Rate and Cash will provide regular and institutional plans with different investment criteria.