Wednesday, June 08, 2011 10:20 Hrs IST

DSP BlackRock MF Unveils Two Fixed Maturity Plan

NFO Period from 10 June to 14 June 2011

DSP BlackRock Mutual Fund has unveiled two new schemes named as DSP BlackRock FMP – 3M – Series 38 and DSP BlackRock FMP – 12M – Series 22, close-ended income schemes, with maturity profile of 3 months and 12 months respectively from the date of allotment. The New Fund Offer (NFO) price for the schemes is Rs 10 per unit. The new issue will be open for subscription from 10 June and close on 14 June 2011.

The primary investment objective of the schemes is to seek capital appreciation by investing in a portfolio of debt and money market securities. The schemes will invest only in such securities which mature on or before the date of maturity of the schemes. DSP BlackRock FMP – 3M – Series 38 may also use fixed income derivatives for hedging and portfolio balancing.

The schemes offer a choice of two options, growth option and dividend payout option.

The schemes would allocate up to 100% of assets in debt securities and money market securities with low to medium risk profile. Debt securities investment for DSP BlackRock FMP – 3M – Series 38 may include fixed income derivatives (only for hedging and portfolio re-balancing) upto 50% of the net assets.

The minimum application amount is Rs 5000 and in multiples of Rs 10 thereafter.

Entry and exit load charge will be nil for the schemes. Units of DSP BlackRock FMP – 3M – Series 38 are proposed to be listed on the National Stock Exchange of India and for DSP BlackRock FMP – 12M – Series 22 on Bombay Stock Exchange.

Benchmark Index for DSP BlackRock FMP – 3M – Series 38 is CRISIL Liquid Fund Index and CRISIL Short Term Bond Fund Index for DSP BlackRock FMP – 12M – Series 22.