DSPBR Mutual Fund has announced the launch of DSPBR Focus 25 Fund. It is an open-ended equity fund.
The fund will limit its universe to the top 200 companies by market capitalisation. Beyond this, the fund can at the most invest 20 per cent of its net asset value. The fund's portfolio will be composed of upto 25 companies.
The fund will invest up to 100 per cent in equity. The fund might also invest up to 35 per cent in debt. The fund may also invest upto 25 per cent in foreign securities.
According to the fund house, the fund will have a concentrated portfolio adopting a highly flexible investment approach. The concentrated portfolio will enable the fund manager to sharpen his focus with regard to stock selection and portfolio construction and hence benefit the investors.
The fund will be managed by Apoorva Shah. The fund will be benchmarked against BSE Sensex and offers both growth and dividend options. The minimum investment amount will be Rs 5,000. One per cent exit load will be applicable if exits within 12 months while there will be no exit load if one holds beyond 12 months.
The new fund offer (NFO) period opens on April 23, 2010.