Birla Sunlife Mutual Fund has launched a new FMP – Fixed Term Plan Series CK

Another FMP from Birla Sunlife Mutual Fund- Fixed Term Plan Series CK

Birla Sunlife Mutual Fund seems quite committed to launching new Fixed Maturity Plans of varied maturities. Fixed Term Plan Series CK is yet another FMP NFO in that category

Open and closing dates for Birla Sunlife Mutual Fund Fixed Term Plan Series CK

Birla Sunlife Mutual Fund Fixed Term Plan Series CK
• Open date of Fixed Term Plan Series CK NFO issue : 30 December 2010
• Close date of Fixed Term Plan Series CK NFO issue : 6 January 2011

Birla Sunlife Mutual Fund Fixed Term Plan Series CK – maturity period of this FMP

The maturity period of Fixed Term Plan Series CK is 368 days. This means that the FMP will qualify for single indexation tax benefits

The final review- Birla Sunlife Fixed Term Plan Series CK

While Fixed Term Plan Series CK qualifies for single year indexation benefits for taxes, some may like to wait for other FMPs to be launched particularly at the end of the calendar year, that may allow for double indexation tax benefits

Application form for Birla Sunlife Fixed Term Series CK

Fixed Maturity Plans (FMP MF) stage a comeback

Fixed Maturity Plans (FMP Mutual Funds) are the rage in the mutual fund NFO market

Just some time back, FMP new fund offers had virtually vanished. After the debacle in FMP mutual funds last year, fixed maturity plans had been shunned by high individuals (HNIs), retail and institutional investors in India

Fixed Maturity Plans (or FMP mutual funds) new fund offers have returned in huge numbers

New Fixed Maturity Plans (FMP new fund offers) have been launched by ICICI Prudential Mutual Fund, HDFC Mutual Fund, Fortis Investments, JM Financial and Tata Mutual Fund in the last month. Per sources, the response to these FMP MFs (fixed maturity plan mutual funds) has been excellent from institutional, corporate and retail investors

Recently launched FMP MFs (fixed maturity plan mutual fund offers) may offer lower returns than last year but the returns will be more secure

New FMP MF NFOs will probably offer lower return than the fixed maturity plans offered by mutual funds last year, but there is really no estimated return. However, the recent SEBI regulations regarding FMP Mutual Funds have ensured that the investments in fixed maturity plans are more secure. There seems to be little chance of the disaster that almost hit mutual funds that dealt with FMP products last year

Revived interest in FMP Fixed Maturity Plan New Fund Offers by India Mutual Funds – SEBI deserves a major portion of the credit

SEBI definitely took steps in the right direction with regulations to rein in rampant FMP NFOs that invested in risky debt portfolios in the search of the elusive higher yields. With SEBI ‘s new reforms, there are strict restrictions and disclosures needed from MFs in India launching Fixed Maturity Plan (FMP) new fund offers (NFOs).

Are FMP Fixed Maturity Plans from Indian Mutual Funds such as ICICI Prudential, HDFC,Fortis & Tata Mutual Fund liquid anymore?

Liquidity in FMP Fixed Maturity Plan Mutual Funds? Absolutely not! Though SEBI insists on having the FMP listed on the exchanges as a debt fund, not too many trades are taking place in FMP funds.

However, liquidity is not the only criteria for FMP investors- the improvement in the quality of investments by FMP MFs has drawn retail, institutional investors back to Fixed Maturity Plans

Tata Fixed Maturity Plan Series 25 – Scheme C – Retail Investment Plan

Tata Fixed Maturity Plan Series 25 – Scheme C- new FMP new fund offer from Tata Mutual Fund

Tata Mutual Fund launches a new Fixed Maturity Plan- Series 25 Scheme C, to cater to retail and institutional investors

Tata Fixed Maturity Plan Series 25- FMP Open and close dates

Open and close dates for Tata Fixed Maturity Plan Series 25

• Open date for Tata MF Fixed Maturity Plan Series 25- 21 October 2009
• Close date for Tata MF Fixed Maturity Plan Series 25 – 4 December 2009

Tata Mutual Fund Fixed Maturity Plan Series 25 FMP – Schemes

Tata Fixed Maturity Plan Series 25 FMP is offered in the following schemes

• Retail Investment FMP Option- Minimum investment Rs 10000


• High Investment FMP Option- Minimum investment Rs 25,00,000
• Super high Investment FMP Option- Minimum investment Rs 1,00,000,000

Entry, exit loads for Tata Fixed Maturity Plan Series 25

There are no entry and exit loads for Tata Fixed Maturity Plan Series 25- The FMP will be listed and tradeable on the exchange

ICICI Prudential Fixed Maturity Plan Series 49 – 3 Years Plan B

ICICI Prudential Mutal Fund has launched a new FMP-Fixed Maturity Plan Series 49 – 3 Years Plan B

New Fixed Maturity Plan – ICICI Prudential FMP Series 49 3 Years Plan B

ICICI Prudential Fixed Maturity Plan Series 49 – 3 Year Plan B FMP: Open and close dates

• Open date for ICICI FMP Series 49 Plan B: 20 October 2009
• Close date for ICICI FMP Series 49 Plan B: 5 November 2009

ICICI Prudential FMP Series 49 Plan B- Maturity period

Maturity Period for ICICI Prudential Series 49 Plan B is 3 years

Entry Exit loads for ICICI Prudential FMP Series 49 Plan B

Per recent SEBI guidelines, there is no entry/exit load for ICICI Prudential FMP Series 49 Plan B. However, this fixed maturity plan will be listed and be freely tradeable on the exchange

Fortis India Mutual Fund Investments launched new FMP- Fixed Term Fund – Series 16 B

Fortis Fixed Term Fund Series 16B – another fixed maturity plan (FMP) from Fortis India Mutual Fund Investments

New Fixed Term Fund Series 16B from Fortis Mutual Fund Investments

Fortis Fixed Term Fund – Series 16 B FMP: Open and close dates

• Open date for Fortis Fixed Term Fund – Series 16 B: 20 October 2009
• Close date for Fortis Fixed Term Fund – Series 16 B: 3 November 2009

Fortis Fixed Term Fund – Series 16 B: Maturity Period – Fixed Maturity Plan

Maturity Period for the FMP from Fortis Investments is 18 months

Entry Exit loads for Fortis Fixed Term Fund – Series 16 B

Per recent SEBI guidelines, there is no entry/exit load for Fortis Fixed Term Fund – Series 16 B FMP

HDFC 18M FMP October 2009

New FMP NFO from HDFC Mutual Fund- 18M Oct 09

Another fixed maturity plan from HDFC Mutual Fund. HDFC FMP October 2009 is targeted at retail investors interested in fixed income investment over a eighteen month horizon

HDFC 18M FMP Oct 09 – Options available in this fixed maturity plan

This FMP from HDFC Mutual Fund is meant for retail investors. The options available are

• Dividend- Quarterly- HDFC MF will declare a quaterly dividend for this FMP option
• Dividend – Annual-HDFC MF will declare an annual dividend for this FMP option
• Growth Option- No intermediate dividends,the dividends will be reinvested for this FMP option

HDFC 18M FMP – Maturity period

The maturity period will be 18 months- investments will be made in fixed income securities in line with this maturity period

Where will HDFC 18M FMP invest in?

HDFC 18M FMP will invest in

• Debt and Money Market Instruments (60-100% of HDFC FMP Oct 09 assets will be invested in these instruments

• Govt securities and bonds (0-40% of HDFC MF FMP Oct 09 assets will be invested in Government bonds

Contact Us for HDFC MF 18M Oct 09 FMP forms at fixedmaturityplans.com

Fortis FTP – Series 16 – Plan A RP(QD), RP(DOM), RP(AD), RP(G) Fixed Maturity Plan

Another fixed Maturity Plan from Fortis Investments – Fortis FTP – Series 16 – Plan A – Regular Plan

Fortis Investments has launched another Fixed Maturity Plan ( FMP ) , the Fortis FTP – Series 16 – Plan A - Regular Plan. This fixed maturity plan invests in fixed income securities maturing before the maturity date of the plan

Fortis FTP Series 16 – Plan A- Open and close dates

The Fortis FTP Series 16 – Plan A fixed maturity plan ( FMP ) has a open date of September 18 and a close date of October 15

Fortis FTP Series 16- Plan A- Maturity period

This fixed maturity plan (FMP) from Fortis Investments has a maturity period of 24 months

Variants of Fortis FTP Series 16-Plan A

Fortis FTP Series 16- Plan A fixed maturity plan from Fortis Investments comes in the following flavors

• Growth Option- No dividend will be declared under this option
• Dividend Option – This fixed maturity plan has the following flavors under the dividend category -Calendar Quarterly, Calendar Yearly and Dividend on Maturity

Forms for Fortis Investments Fixed Maturity Plan (FMP) FTP Series 16

Download Forms for Fortis Investments FTP Series 16 here

Fixed Maturity Plans (FMPs) out of favor with institutional investors?

Fixed maturity plans ( FMP mutual funds ) losing popularity with institutional investors in India

Fixed maturity plans , popularly known asFMP mutual funds, seem to be currently out of favor with institutional investors. The number of new FMP mutual funds launched in India has been dwindling since we had the scare with the perceived liquidity crisis in the mutual fund industry in India.

In fact,a check of new IPO open issues in India, suggests that almost no new FMP mutual fund IPOs (Fixed Maturity Plan IPOs) have been launched this month

The new SEBI regulations on fixed maturity plans could have had an impact on the launch of new FMP IPO s in India

The strict regulations that SEBI introduced for new FMP mutual fund IPO launches may have had an impact on the launch of new fixed maturity plans. One of the requirements from SEBI was to have to have compulsory listing of FMP mutual funds in India, and some mutual funds may be in the process of getting their infrastructure in place in order to comply with SEBI norms

In summary, fewer FMP mutual funds (fixed maturity plans) are being launched by Indian mutual funds, but it is not clear whether this is due to the newer SEBI FMP regulations or a temporary blip in confidence in fixed maturity plans

SEBI ‘s Fixed Maturity Plan (FMP) regulations controversial?

Is SEBI ‘s solution to the Fixed Maturity Plan problems against the interests of investors?

Sebi has recently announced a slew of regulatory measures to resolve the Fixed Maturity Plan induced Mutual Fund liquidity problem.

Given the run on FMPs and the resulting liquidity pressures on the Mutual Fund industry due to Fixed Maturity Plan scheme withdrawls, SEBI first offered a line of credit to the mutual fund industry

SEBI has also banned early withdrawls in new fixed maturity plans (FMPs). Now, investors in Fixed Maturity Plans cannot withdraw and liquidate their fixed maturity plan funds. So, even if investors want to get out of new FMPs at the cost of the high exit penalties, SEBI has ensured that the investors have almost no option but to wait till the fixed maturity plans finally mature, rather than getting an early redemption

Arguably, SEBI ‘s new regulation regarding Fixed Maturity Plan schemes will prevent FMP schemes and MFs from suffering from similar liquidity problems again and going bust, but SEBI has probably delivered a solution that principally benefits Mutual Funds – even those mutual funds with badly managed FMP schemes

SEBI has offered compulsory trading of fixed maturity plans in the stock exchanges as a sop to investors

Given that most of SEBI ‘s solutions to the liquidity problems of mutual funds seem to be focused on safeguarding the mutual fund industry rather than the investors, SEBI has introduced one small sop to investors in close-ended instruments such as fixed maturity plans

SEBI ‘s sop relates to compulsory trading of close-ended fund securities such as FMPs (fixed maturity plans) on the BSE,NSE stock exchanges. However, FMP investors may find that though the Fixed Maturity Plan schemes can be potentially liquidated in the stock market, these FMP schemes may end up be illiquid and not traded much in the markets

SEBI should realize that if a mutual fund does mismanage its FMP (fixed maturity plan) portfolio, investors in the FMP fund may not find many suckers who are willing to take the bad FMP debt paper from their hands at a reasonable price

In summary, SEBI seems to have made decisions regarding FMPs that are heavily loaded in favor of Mutual funds at the expense of investors

SEBI ‘s recent guidelines are great news for Mutual funds , but has SEBI done a good job of their primary role- safeguarding the interests of investors?