January 19, 2022
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Edelweiss MF restricts inflows in IPO Fund
Edelweiss Mutual Fund has decided to limit inflows in its Recently Listed IPO Fund. The decision comes after the scheme recently amassed assets with Rs 1,000 crore.
Edelweiss Mutual Fund has decided to limit inflows in its Recently Listed IPO Fund. The decision comes after the scheme recently accumulated assets of Rs 1,000 crore however this will not impact retail SIP and STP investors. The limit on subscription is mainly on lumpsum investment or SIPs of above Rs 1 lakh per day.
Launched in Feb 2018, Edelweiss Recently Listed IPO Fund invests in recently listed companies or companies foraying to enter the capital markets via Initial Public Offering. The scheme was launched as a closed ended fund and was converted into an open ended fund for new investors to enter and participate in IPO market.
The scheme has offered a return of 22.12% since inception and manages an AUM of Rs 1,091 crore.
The fund house had earlier said that when it reaches an AUM of around Rs 1,000 crore, it will stop flows in the scheme. The decision is largely to maintain portfolio liquidity and also looking at IPO pipeline in coming months. If there are some large ones coming and liquidity improves, we may reopen it for lumpsum. Till then Rs 1 lakh per day is the limit to encourage SIP and STP in the scheme,” informed Niranjan Avasthi, Head – Product, Marketing and Digital Business, Edelweiss Mutual Fund.
Important Statistics :
Launched on 22 Feb 20218
Return since launch 22.12%
Current NAV Rs. 21.36
AUM Rs. 1091 Cr.
1 Lakh Investment Grown to Rs 2.57 Lakh in 3 years.