Tata Mutual Fund has launched a New Fund Offer (NFO) for Tata Overnight Fund. The NFO period begins and closes on March 25, 2019. The scheme will re-open for continuous purchases and redemptions not later than March 28, 2019. The open-ended scheme aims to generate reasonable returns in line with overnight rates and high liquidity over short term by investing in debt and money market instruments having a maturity of up to 1 business day.
Asset Allocation of Tata Overnight Fund
Under normal circumstances, Tata Overnight Fund will allocate its assets in the following manner:
| Asset Class | Asset Allocation | |
| Minimum | Maximum | |
| Debt and Money Market securities with
maturity of up to 1 business day |
0% | 100% |
This overnight scheme from Tata Mutual Fund will not invest in derivative instruments. However, it may participate in repo in corporate debt securities.
Benchmark of Tata Overnight Fund
The performance of Tata Overnight Fund will be benchmarked against CRISIL Overnight Index. The return details of the index are as follows:
| Index | 1 Year Return | 3 Year Return | 5 Year Return |
| CRISIL Overnight Index | 6.26% | 6.19% | 6.85% |
(Data as on February 28, 2019; Source: CRISIL)
Fund Manager of Tata Overnight Fund
This new overnight scheme will be managed by Mr. Amit Somani. Other schemes being managed by Mr. Somani are Tata Liquid Fund, Tata Corporate Bond Fund and Tata Money Market Fund. The return details of the three schemes are as follows:
| Fund | 1 Year Return | 3 Year Return | 5 Year Return |
| Tata Liquid Fund | 7.56% | 7.26% | 7.82% |
| Tata Corporate Bond Fund | -0.32% | 5.05% | 6.67% |
| Tata Money Market Fund | 0.55% | 4.85% | 6.34% |
(The above data is for the direct variant of the schemes as on March 22, 2019; Source: Value Research)
Key information about Tata Overnight Fund NFO
| NFO period | March 25, 2019 – March 25, 2019 |
| Minimum application amount | Rs. 5,000 |
| Exit load | Nil |
| Benchmark | CRISIL Overnight Index |
| Fund Manager | Amit Somani |
Other Funds by Tata Asset Management
| Scheme Name | 3Y Returns (%) | AUM (Rs. Cr.) | Category |
| Tata Digital India Fund | 21.92 | 111.56 | Sectoral/Thematic Fund |
| Tata Banking and Financial Services Fund | 18.01 | 253.91 | Sectoral/Thematic Fund |
| Tata India Consumer Fund | 17.4 | 973.5 | Sectoral/Thematic Fund |
| Tata Retirement Savings Fund Progressive Plan | 14.17 | 451.51 | Multi Cap Fund |
| Tata Index Sensex Direct | 14.14 | 5.04 | Large Cap Fund |
| Tata India Tax Savings Fund | 13.2 | 1398.27 | ELSS |
| Tata Index Nifty Direct | 12.23 | 11.08 | Large Cap Fund |
| Tata Retirement Savings Fund Moderate Plan | 12.09 | 659.89 | Aggressive Hybrid Fund |
| Tata Large & Mid Cap Fund | 11.46 | 1297.88 | Large & Mid Cap Fund |
| Tata Midcap Growth Direct Plan | 11.31 | 692.48 | Mid Cap Fund |
| Tata Large Cap Direct Plan | 10.75 | 799.42 | Large Cap Fund |
| Tata Ethical Direct Plan | 10.32 | 517.86 | Sectoral/Thematic Fund |
| Tata Equity PE Fund | 8.78 | 3519.81 | Value Fund |
| Tata Retirement Savings Fund Conservative Plan | 8.76 | 133.5 | Conservative Hybrid Fund |
| Tata Gilt Securities Fund | 8.01 | 117.76 | Gilt Fund |
| Tata Income Fund | 7.49 | 112.41 | Medium to Long Duration Fund |
| Tata Dynamic Bond Fund | 7.09 | 701.43 | Dynamic Bond Fund |
| Tata Hybrid Equity Fund | 6.91 | 5552.16 | Aggressive Hybrid Fund |
| Tata Liquid Fund | 6.9 | 15156.38 | Liquid Fund |
| Tata Equity Savings Fund | 6.24 | 214.93 | Equity Hybrid Saving Fund |
{Data as on Feb 20, 2020; Source: Value Research}
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