‘Mahindra Credit Risk Yojana’ is going to allocate 65-100 per cent asset in AA and below rated corporate bonds, 0-35 per cent asset in debt and money market instruments, and 0-10 per cent in the units issued by REITs and InvITs.
Mahindra AMC has launched a short-term debt mutual fund named ‘Mahindra Credit Risk Yojana’, an open-ended scheme, which will invest in various corporate and government debt instruments. The scheme seeks to provide reasonable income and capital appreciation over the medium to long-term. The new fund offer will open on July 27, 2018, and will close on August 10, 2018. The scheme will reopen for sale and repurchase within five days from the date of allotment.
Mahindra Credit Risk yojana will invest in AA and below rated corporate bonds (excluding AA+ rated corporate bonds), debt, government securities and money market instruments. Mahindra AMC said that the fund will maintain an optimum balance of yield, safety and liquidity.
It is specifically being offered to investors with a moderate risk appetite. It is going to allocate 65-100 per cent asset in AA and below rated corporate bonds, 0-35 per cent asset in debt and money market instruments, and 0-10 per cent in the units issued by REITs and InvITs.
Mahindra AMC is eyeing to tap the customers in rural and semi-urban areas for the new fund, the firm said, adding that the fund house has a presence across 50 cities in India.
“Mahindra Credit Risk Yojana aims to invest in quality instruments of moderate to high safety investment grade, and generate optimum returns with less volatility at the lowest quantum of risk. The selection of securities is based on Risk guard process- an in-house research and process framework. This yojana provides investors with an opportunity to participate in India growth story by investing in well-diversified debt portfolio of fundamentally strong, highly liquid and well- known companies,” said Ashutosh Bishnoi, MD and CEO, Mahindra Mutual.
Mahindra Asset Management Company Private Limited is a wholly owned subsidiary of Mahindra and Mahindra Financial Services Limited. Mahindra Finance has over 5.3 million customers and has Assets Under Management of over USD 8.49 billion.