Friday, November 20, 2009 11:23 Hrs IST

DSP BlackRock Mutual Fund Launches World Mining Fund

NFO Period from 23 November to 18 December 2009

DSP BlackRock Mutual Fund has launched a new fund named as DSP BlackRock World Mining Fund, an open ended fund of funds scheme investing in international fund. The New Fund Offer (NFO) price for the scheme is Rs 10 per unit. The new issue will commence on 23 November 2009 and close on 18 December 2009.

The primary investment objective of the scheme is to seek capital appreciation by investing predominantly in the units of BlackRock Global Funds – World Mining Fund (BGF – WMF). The scheme may, at the discretion of the Investment Manager, also invest in the units of other similar overseas mutual fund schemes, which may constitute a significant part of its corpus. The scheme may also invest a certain portion of its corpus in money market securities and/or money market/liquid schemes of DSP BlackRock Mutual Fund, in order to meet liquidity requirements from time to time.

The scheme offers regular and institutional plan with sub-options of growth and dividend under each plan. The dividend Option offers dividend payout and dividend re-investment facilities.

The scheme will invest 80% to 100% of assets in units of BGF – WMF or other similar overseas mutual fund scheme(s) with high risk profile. It would invest upto 20% of assets in money market securities and/or units of money market/liquid schemes of DSP BlackRock Mutual Fund, with low to medium risk profile.

The minimum application amount for first purchase during NFO and continuous/ongoing offer is Rs 5000 and in multiples of Re 1 thereafter for regular plan and Rs 5 crore and in multiples of Re 1 thereafter for institutional plan. The minimum application amount for subsequent purchase is Rs 1000 and in multiples of Re 1 thereafter for both plans.

The fund seeks to collect a minimum subscription (minimum target) amount of Rs 1 crore under the scheme during the NFO period.

Entry load for the scheme is nil. Exit load charge for regular and SIP purchase is 1%, if holding period is less than 12 months from the date of allotment and nil for holding period equal or above 12 months from the date of allotment.

Benchmark Index for the scheme is HSBC Global Mining (cap) (in Rs terms).

The fund manager of the scheme will be Vinit Sambre.