Baroda Mutual Fund has launched a New Fund Offer (NFO) for Baroda Money Market Fund which aims to provide its investors reasonable returns, commensurate with low risk while providing a high level of liquidity through investments made in money market instruments. The NFO period begins from January 16, 2019 and will end on January 22, 2019. The open-ended debt scheme will re-open for continuous sale and repurchase on or before January 24, 2019.
Baroda Money Market Fund will invest up to 100% of its assets in money market instruments of varying ratings including unrated debt securities. The scheme will not have any exposure to debt derivatives, securitized debt, REITs and INViTs and foreign securities.
The scheme will be benchmarked against CRISIL Money Market index. The index tracks the performance of a money market portfolio comprising of a blend of commercial papers (CP), certificates of deposits (CD) and treasury bills (T-Bill).
| Index Name | 1 Year Return | 3 Year Return | 5 Year Return |
| CRISIL Money Market index | 7.86% | 7.44% | 8.01% |
(Returns data as on December 31, 2018)
The scheme will be jointly managed by Mr. Alok Sahoo and Mr. Karn Kumar. Baroda Credit Risk Fund is another scheme which is being jointly managed by the duo. Baroda Credit Risk Fund has generated a return of 7.11% and 9.79% over a period of 1 year and 3 year respectively.
Key information about the Baroda Mutual Fund NFO:
| NFO Period | January 16, 2019 – January 22, 2019 |
| Minimum Application Amount | Rs. 5,000 |
| Exit Load | Nil |
| Benchmark | CRISIL Money Market index |
| Fund Managers | Alok Sahoo, Karn Kumar |