Companies

LIC Mutual Fund gets ₹200 crore from IL&FS Sec

Mumbai | Updated on September 16, 2018 Published on September 16, 2018

LIC Mutual Fund said that it has received the first tranche of ₹200 crore from IL&FS Securities Services on September 11.

“The balance amount is expected on the respective maturity dates in September,” it said, adding that the amount is less than 2 per cent of its liquid fund portfolio as of August 31, 2018.

“LIC Mutual Fund Liquid fund does not have any exposure to IL&FS Financial Services,” the company further said, adding that it only has exposure to IL&FS Securities Services. The company has been acquired by IndusInd Bank, and has already received approval from the RBI for the same recently. Mutual funds had invested about ₹2,800 crore into the debt securities of ailing Infrastructure Leasing & Financial Services and its group companies, which were downgraded recently. However, experts have said that the overall investments by mutual funds compared to the total assets under management are very small, and the impact on NAV would be minimal.

Other fund houses have also said they have received full repayment for investments that have matured in the parent company or in one of the subsidiaries.

Published on September 16, 2018
This article is closed for comments.
Please Email the Editor