Fund houses rush to launch Rajiv Gandhi Equity Scheme
In order to encourage flow of savings in the financial instruments and improve the depth of the domestic capital market, Sebi last month announced the framework for RGESS.
Under the scheme, new investors can avail of tax benefits who invest up to Rs 50,000 in the stock market and whose gross total annual income is less than or equal to Rs 10 lakh.
There would be a lock-in period of one year on investments made under the scheme.
At the end of December, the mutual fund industry's overall assets under management (AUM) stood at Rs 7.6 lakh crore while the equity portion contributed Rs 1.91 lakh crore.