Sundaram Mutual Fund has launched yet another equity fund. Named as Sundaram Rural India, the fund will invest primarily in stocks of companies that focus on rural India. The fund will be available for subscription between March 20 and April 19, 2006.
As per the fund's stated asset allocation, it will invest 70-100 per cent of its assets in companies that focus on rural India, while up to 30 per cent of the assets can be invested in the stocks of other companies. The fund can also invest up to 15 per cent of its assets in money market instruments.
During the new fund offer period, the fund will not charge any entry load (applicable only to the first installment in case of an SIP investment), while an exit load of 3 per cent will be charged for redemption within six months from the date of allotment.
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