Sundaram Overnight Fund – NFO, Dates, Benefits, Asset Allocation

sundaram overnight fund nfo 2019

Sundaram Mutual Fund is all set to launch its new fund named Sundaram Overnight Fund. This new fund will be launched in the NFO (New Fund Offer) from 15th March 2019 to 20th March 2019. During this offer, the units of the new fund will be offered to the investors at a price of Rs 1,000 per unit. The upcoming fund is an open-ended debt fund which will invest the assets in overnight securities. Sundaram Mutual Fund is sponsored by Sundaram Finance Limited, a subsidiary of Sundaram Finance Group, a Chennai based financial services company. The assets of this company are managed by Sundaram Asset Management Company Limited, a joint venture between Sundaram Finance Limited and Mauritius based Stewart Newton Holdings Limited. As on 31st December 2018, the Asset Under Management (AUM) of Sundaram Mutual Fund stands at Rs 30,800.31 crore.

Sundaram Overnight Fund – NFO Details
Type of Offer NFO (New Fund Offer)
Name of the Fund Sundaram Overnight Fund
Name of the Fund House Sundaram Mutual Fund
Type of Scheme Open-Ended
Category of Scheme Debt Fund
Offer Starts 15th March 2019
Offer Ends 20th March 2019
NFO Unit Price Rs 1,000 Per Unit
Minimum Investment Rs 5,000
Entry Load Nil
Exit Load Not Applicable
Investment Manager Sundaram Asset Management Company Limited
Fund Manager(s) Mr Siddharth Chaudhary and Mr Sandeep Agarwal
Sundaram Overnight Fund – Features of the Scheme

The upcoming fund, i.e., Sundaram Overnight Fund has the following notable features:-

  • This is an open-ended debt scheme which proposes to invest in the overnight securities, means the securities having maturity period of one business day.
  • The objective of this scheme is to generate an income by investing in debt, money market instruments, cash and cash related instruments having overnight maturity.
  • As a benchmark, this fund will follow the Nifty 1D Rate Index.
  • The scheme has both regular and direct plans with growth and dividend options.
Sundaram Overnight Fund – Asset Allocation Scheme

Sundaram Mutual Fund proposes that 100% asset of Sundaram Overnight Fund will be invested in debt, money market instruments, cash and cash equivalents with the maturity of one business day. It has a low risk associated. The scheme may invest in repo/reverse repo transactions in corporate debt securities. It may also invest in liquid schemes of mutual funds.

Sundaram Overnight Fund – Scheme Benefits

According to the Sundaram Mutual Fund, the following are the benefits to invest in the Sundaram Overnight Fund:-

  1. This mutual fund scheme is suitable for investors who want to invest money for a very short term period.
  2. It will generate income by investing in debt, money market instruments, cash and related securities with overnight maturity. 
  3. It is also suitable for investors who expect a return in line with overnight call or money market rates.
Sundaram Overnight Fund – Who can Invest?

The following persons are eligible to apply for NFO of Sundaram Overnight Fund:-

  1. Resident adult individuals,
  2. Minors through parents/guardians
  3. Companies/body corporates/PSUs
  4. Religious and charitable trusts (registered)
  5. Partnership firms/LLPs
  6. Karta of HUFs
  7. Banks, including co-operative banks, RRBs and financial institutions
  8. NRI and PIO (Subject to RBI approval)
  9. Please go through SID for more categories.
Sundaram Overnight Fund – Important Documents

Please click here to read the Scheme Information Document (SID) of Sundaram Overnight Fund.

Disclaimer: This post is just information about the scheme. It does not give any advice or recommendation. Mutual Fund investments are subject to market risk. Please read the offer document carefully before investing.


Tags: #NFO #Mutual Fund #Sundaram NFO #New Fund Offer #Sundaram Mutual Fund #Sundaram Overnight Fund

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