Birla Sun Life plans index-linked MF

Hyderabad, Feb 2 | Updated: Feb 3 2006, 05:30am hrs
Birla Sun Life Mutual Fund is in the process of launching Index Enhancer, an index-linked mutual fund, said Raghvendra Nath, vice president of the fund.

Mr Nath is in Hyderabad as part of the roadshow being organised for its Birla Infrastructure Fund aiming to collect over Rs 600 crore. There are about two products with the SEBI for its approval and some more in the drawing board, Mr Nath said, adding the company is expected to launch the next product in a month or two.

Explaining the market for mutual funds, Mr Nath said that the group is slowly increasing its presence among the financial planners. We are getting about 15% to 20% of our fund collection through financial planners, he said.

Going by the present trend in the financial markets, he predicted that the mutual fund market will grow by about 15 times in the next two to three years. As of now, the size of the industry is about Rs 2,00,000 crore.