These overseas mutual fund plans to open for new investment from January 1 | Jobs Vox


Motilal Oswal Asset Management will resume accepting new investments in its overseas funds from January 1, it has reported. Business line.

These funds are Nasdaq 100 ETF, Motilal Oswal S&P 500 Index Fund, Nasdaq 100 Fund of Funds, Nasdaq ‘Q’ 50 ETF and MSCI EAFE Top 100 Select Index.

Last January, market regulator SEBI had imposed a complete ban on mutual fund (MF) investment as the assets under management (AUM) of these schemes came close to the prescribed threshold of $7 billion.

There is a separate limit of $1 billion for foreign investment (exchange traded funds).

Amid a sharp fall in overseas markets, widespread redemptions and a devaluation of the rupee, SEBI reopened foreign investment in June.

“We will start accepting fresh subscriptions in these schemes for simultaneous and systematic investment options like SIPs, STPs without any restrictions,” Motilal Oswal AMC said in a statement on Tuesday.

He added that the previously paused strategic investment options will also continue and operate as per their records.

If the principal portion currently used to continue overseas investments is fully exhausted, all registrations will be stopped again and investors will be notified immediately without an update on this matter, he said.

Apart from this, the MF industry has also represented the Reserve Bank of India to increase the FDI limit for the industry.

AUM of foreign-flow funds increased by six per cent last month. 20,863 crores 22,128 crores in January. The flow in these plans has dried up 18 crore from 389 crores at the same time.

First published: December 21, 2022, 11:36 am IST


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