JM Multi Strategy Fund NFO

JM Financial Mutual Fund house has come out with a new fund offer or NFO for their newly launched fune called JM Multi Strategy Fund. In this article, let's discuss some basic details about the JM Multi Strategy Fund.

What is the JM Multi Strategy Fund all about?
The name of the fund is JM Multi STRATEGY Fund, so they claim that there will be some special strategies to invest the investors money and produce profitable returns based upon those strategies of investments. The investment objective of the Scheme is to provide capital appreciation by investing in equity and equity related securities using a combination of strategies. Though the JM Financial Mutual Fund house has not revealed any such strategies - it is left to the skill set of the fund managers.

What are the options available for investment in JM Multi Strategy Fund
The Scheme offers investors two investment Options (i) Growth Option (ii) Dividend Option.
Dividend Option will offer investors the facilities of: (a) Dividend Payout and (b) Dividend Reinvestment. The Options will have a common portfolio.

What are the opening dates of JM Multi Strategy Fund NFO date?
The JM Multi Strategy Fund NFO will open on date 31st Juy 2008 to 29th August 2008. The scheme will re-open for continous sales and purchase on 28th September 2008.

What is the offer price for JM Multi Strategy Fund Units?
The JM Multi Strategy Fund units during the NFO period will be offered at a price of Rs. 10 per unit. Following the scheme re-opening, the units will be available at the applicable NAV values or net asset values.

How will the assets be allocated in the JM Multi Strategy Fund
The investors money will be allocated in the following way in the JM Multi Strategy Fund:

Equity & equity related instruments: 65% - 100%
Money market instruments / debt securities (including securitised debt* to the extent of 20%): 0% - 35%

Some amount may also be put in derivatives instruments following the requirements and the SEBI regulations.

Related: JP Morgan India Alpha Fund

What is the minimum investment amount in the JM Multi Strategy Fund?
Minimum amount of Rs. 5,000/- per Plan / Option and in multiples of any amount thereafter during the New Fund Offer period of JM Multi Strategy Fund, and in case of first time investments. For ongoing investments in an existing folio the investment would be Rs. 1,000/- and in multiples of any amount thereafter.

What is the entry load & exit load for JM Multi Strategy Fund?
Entry Load for JM Multi Strategy Fund:
During NFO, 2.25% for less than 5 Crores, Nil for higher amount. Systematic Investment Plan (SIP) Investment - NIL exit load

NO ENTRY LOAD for the following:
-direct applications received by the AMC (i.e applications not routed through any distributor/agent/broker)
-applications received through internet on the AMCfs website
-submitted to the AMC or its ISCs or its Collection Centers

Exit Load for JM Multi Strategy Fund:
1% if redeeemed before 6 months of investment for amount less than 5 Crores.
0.5% if redeeemed before 6 months of investment for amount equal to or higher than 5 Crores.
2.25% for SIP investments, if exit within 1 year of investment.