Baroda Pioneer PSU Equity Fund files offer document with Sebi

Baroda Pioneer Mutual Fund has filed an offer document with Securities and Exchange Board of India (SEBI) to launch an open ended equity scheme- Baroda Pioneer PSU Equity Fund. The new fund offer (NFO) price for the scheme is Rs. 10 per unit. The scheme's primary investment objective will be to provide investors with opportunities for long-term growth in capital along with the liquidity of an open-ended scheme through an active management of investments in a diversified basket of equity stocks of domestic Public Sector Undertakings.

The scheme shall offer growth and dividend option. Further, the dividend option shall offers dividend payout and dividend re-investment as sub-options. The scheme may invest 65% to 100% of asset in equity and equity related securities, covered under the universe of Public Sector Undertakings that includes derivatives, with medium to high risk profile. Moreover, it would also invest 0-35% in debt and money market instruments with low to medium risk profile. The investment in securitized debt may be made upto 25% of the net assets of the scheme. The entry load charge will be nil. However, the exit load charge will be 1% if redeemed on or before 365 days from the allotment date of units and the exit load charge will be nil, if redeemed after 365 days from the allotment date of units.