Birla Sun Life Mutual Fund is launching Birla Long Term Advantage Fund, a five year closed-end equity scheme which will be converted to an open-ended scheme on maturity. The scheme will be initially open for subscription between August 7 and September 8, 2006.
It would invest in a diversified portfolio of equity and equity related securities, and benchmark its performance against BSE Sensex. The scheme will offer redemption facility intermittently for a period of 5 business days every month commencing from the first business day of each month after the date of allotment. The unamortised portion of the NFO expenses will be recovered from the investor in case of redemption or switch-out before the expiry of 5 years from the date of allotment.
This will be the second closed-end equity scheme from the fund family. It presently has a closed-end tax saving fund, Birla Taxplan '98. With the launch of this fund the number of equity funds managed by Birla Sun Life Mutual Fund would move up to nineteen. The fund would be managed by Mr. Ajay Argal, who is an IIT graduate and an MBA from IIM, Bangalore. He is presently managing two funds- Birla Advantage and Birla Top 100.