ITI Mutual Fund, the 41st entrant in the crowded mutual fund industry, has launched ITI Liquid Fund and ITI Multi-Cap Fund to generate consistent risk-adjusted returns for investors.
The new fund offer of liquid fund opens and closes on April 24 while the multi-cap fund will be open for investment between April 25 and May 9.
The fund house recently appointed former ICICI Prudential Asset Management Company veteran George Heber Joseph as Chief Executive Officer and Chief Investment Officer.
It has SEBI approval for launching equity-linked saving scheme (ELSS) and an arbitrage fund. ITI Mutual Fund targets to achieve assets under management (AUM) of ₹10,000 crore over the next five years and break into the list of top-10 players in the next 10 years.
ITI Mutual Fund plans to invest about ₹200 crore over five years in brand building and marketing exercises.
The fund house has managed to attract good talent with about 10-20 years experience from the top 10 mutual funds, said Joseph.
It has appointed Pradeep Gokhale, a key management personnel at Tata Asset Management for 15 years, as Senior Fund Manager and Head of Research.
With a focus on top-30 cities during the initial years of operations, ITI Mutual Fund plans to open 30 offices in the next one year. It currently has offices at Ahmedabad, Rajkot and Kochi.
Diversified financial services
The Investment Trust of India (ITI), promoted by Sudhir Valia, a director and brother-in-law of Sun Pharmaceutical’s founder Dilip Shanghvi, was formerly known as Fortune Financial Services India. It offers diversified financial services including equity and derivatives trading, equity and commodity market research, portfolio management services and investment banking.
It is also in the business of vehicle finance, SME finance, education and small loans. The ITI Group has also promoted two alternative investment funds — a long-short equity fund & growth venture fund.
On the launch of the multi-cap fund, Joseph said it is not the right time for investors to look into mid- and small-cap funds as their valuations have run up ahead of any meaningful turnaround in their profitability.
“For now, the multi-cap fund will invest majorly in large-caps and switch across segments as valuations become attractive,” he added.