Tata Overnight Fund – NFO Dates, Scheme Benefits, Asset Allocation

tata overnight fund

Tata Mutual Fund is all set to launch its new fund named Tata Overnight Fund. This new fund will be launched in the NFO (New Fund Offer) on 25th March 2019, one day only. 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, i.e., the instruments with the maturity of 1 business day. Tata Mutual Fund is sponsored by Tata Sons Limited and Tata Investment Corporation Limited. As on 31st December 2018, the total Asset Under Management (AUM) of Tata Mutual Fund stands at Rs 49,293.32 crore. 

Tata Overnight Fund – NFO Details
Offer Type NFO (New Fund Offer)
Fund Name Tata Overnight Fund
Fund House Tata Mutual Fund
Scheme Type Open-Ended
Scheme Category Debt Fund
Offer Opens 25th March 2019
Offer Closes 25th March 2019
Plans Regular, Direct
Options Growth, Daily Dividend
NFO Unit Price Rs 1,000
Minimum Investment Rs 5,000
Entry Load No
Exit Load Nil
Investment Manager Tata Asset Management Limited
Fund Manager(s) Mr Amit Somani
Tata Overnight Fund – Features of the Scheme

The scheme has the following notable features:-

  1. Tata Overnight Fund is an open-ended debt scheme which will invest in overnight securities, means the instruments with the maturity of one business day. 
  2. As a benchmark, it will follow the CRISIL Overnight Index.
  3. The scheme offers both regular and direct plans each with growth and dividend options.
  4. The objective of this scheme is to generate a reasonable return with a low risk associated.
Tata Overnight Fund – Asset Allocation Pattern

The following is the asset allocation pattern followed by this upcoming fund:-

  • A minimum of 0% to a maximum of 100% of the total asset of this fund will be invested in debt and money market securities with maturity up to 1 business day.
  • Low risk is associated with this approach.
  • The above-mentioned instruments will include money market instruments, tri-party repo/reverse repo etc.
Tata Overnight Fund – Scheme Benefits

There are following key benefits of this fund:-

  1. This fund aims to generate reasonable returns in line with overnight rates and high liquidity over the short-term.
  2. The scheme will invest in debt and money market instruments where a low risk is associated with the return.
Tata Overnight Fund – Who can Invest?

The following persons are eligible to apply for NFO of Tata Mutual 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.
Tata Overnight Fund – Important Documents

Click here to read the SID (Scheme Information Document) of this upcoming NFO Issue.

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.

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

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