IDFC Floating Rate Fund Details

IDFC Floating Rate Fund Details

IDFC Floating Rate Fund Details

IDFC is also known as Infrastructure Development Finance Company. The IDFC Mutual Fund remains plans to launch a new fund offer. The NFO will open for subscription on Feb 10th, 2021. The name of the NFO is IDFC Floating Rate Fund The scheme is suitable for investors who seek to generate short-term optimal returns.

Further, the scheme will close for subscription on 16th February 2021. It is an open-ended debt scheme. Moreover, the scheme will reopen for subscription on 21st Feb 2021.

During the NFO, the units will be offered at a price of Rs. 1,000 per Unit and the continuous purchases will be at Applicable NAV.

Basic Details of NFO:

 NFO Name  IDFC Floating Rate Fund
 Subscription Period  Feb 10th, 2021 – Feb 21st, 2021
 NFO Type  Open-ended debt scheme
 Benchmark  Crisil Liquid Fund Index
 Riskometer  Moderate

The scheme offers regular and direct plans under the dividend and growth option.

The object of the scheme:

The fund aims to generate returns by creating a portfolio that is substantially invested in floating rate instruments, fixed-rate instruments swapped for floating returns, fixed-rate instruments, and money market instruments.

Minimum Investment:

The minimum investment for fresh purchase (including switch-in) is Rs. 5,000/- and any amount thereafter. Moreover, additional purchases (including switch-in) stood at Rs. 1,000/- and any amount thereafter.

Redemption: Rs. 500/- and any amount thereafter. If the balance in the Folio/Account available for redemption is less than the minimum amount prescribed above, the entire balance available for redemption will be redeemed.

    • SIP: Rs. 1,000/- and in multiples of Re.1 thereafter [minimum 6 installments]
    • STP (in): Rs. 1,000/- and any amount thereafter
    • SWP: Rs. 500/- and in multiples of Re.1 thereafter

Moreover, the entry load is not applicable to the scheme. But, the exit load stood at 0.25% if redeemed/switched out within 1 month.

Investment Pattern:

 Instruments  Indicative Allocation (as % of total assets)  Risk Profile
 Minimum  Maximum
Floating rate debt instruments, fixed-rate debt instruments converted to floating exposures using swaps/ derivatives, and money market instruments  65%  100%  Low to Medium
Fixed-rate debt instruments, including floating rate debt instruments swapped for fixed-rate returns and Units issued by REITs & InvITs, within which  0%  35%  Low to Medium
Units issued by REITs & InvITs  0%  10%  Medium to High

Disclaimer: This post is just information about the scheme. It does not give any advice or recommendation. Please read the offer document carefully and consult your investment adviser before investing.

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