The Hindu Business Line : Chola Mutual launches Multi-Cap Fund

(From left) Mr Vineet Potnis, Chief Marketing Officer, Cholamandalam AMC Ltd, with Mr Sashi Krishnan, Chief Executive, and Mr Tridib Pathak, Chief Investment Officer, at a press conference held in Mumbai on Tuesday. - Paul Noronha

Mumbai , Dec. 14

CHOLA Mutual Fund on Tuesday launched Chola Multi-Cap Fund, a fund that will invest equity and equity-related instruments across all ranges of market capitalisation.

Chola Multi-Cap Fund would provide added diversification by investing in a mix of large-, mid- and small-cap stocks, according to company officials.

The large- and mid-cap exposure will be maintained between 25-75 per cent and exposure to small-cap stocks will not exceed 15 per cent.

The initial public offering of the fund is open from December 14 to January 10, 2005.

Speaking at the launch, Mr Sashi Krishnan, Chief Executive, Chola Mutual Fund, said: "Through the Multi-Cap Fund we will be able to provide investors with `added' diversification. The fund will have an optimal blend of large-, mid- and small-cap stocks. This will allow tactical shifts across market caps depending on the market conditions, which may not be possible with existing diversified equity funds."

Units will be offered at Rs 10 per unit plus applicable entry load. The minimum application amount during the initial offer period is Rs 5,000 and in multiples of Re 1. The scheme will have both cumulative and dividend options.