Tata Mutual Fund introduces PSU and banking debt fund

Tata Banking and PSU Debt fund, an open-ended debt scheme which will invest in debt instruments of banks, public sector undertakings, public financial institutions and municipal bonds, has been launched by Tata Mutual Fund.

Till October 3, the subscription for the scheme will be open till October 3. According to a press release, there is no entry and exit load in the scheme. The fund will be managed by Amit Somani, Senior Fund Manager – Fixed Income at Tata Mutual Fund.

“In the current market scenario, investors may wish to have an extended allocation to safer fixed income portfolio. Tata Banking and PSU debt fund will be less actively traded portfolio of high quality and liquid bonds. Our aim is to optimize returns while remaining focused on safety and liquidity. This portfolio is suitable for regular savings in a debt fund for an investment horizon of more than 2 years,” Amit Somani, Senior Fund Manager, Tata Mutual Fund, said.