Product Snapshot

 
Fund Name
IDBI EQUITY SAVINGS FUND  (Previously known as IDBI Monthly Income Plan)
 
NatureAn open-ended equity scheme investing in equity, arbitrage and debt.
Investment Objective The investment objective of the Scheme is to generate regular income by investing in Debt and money market instruments and using arbitrage and other derivative strategies. The Scheme also intends to generate long capital appreciation through unhedged exposure to equity and equity related instruments. However, there can be no assurance or guarantee that the investment objective of the scheme will be achieved.
Asset Allocation The asset allocation pattern for the scheme is detailed in the table below:
Instrument Indicative allocation
(% of total Assets)
Risk Profile
  Minimum Maximum  
Equity and equity related instruments including derivatives out of which 65% 90% Medium to High
Cash future arbitrage opportunities*$ 20% 70% Low to Medium
Net Long Equity exposure** 20% 45% High
Debt & Money market Instruments (including margin for derivatives) 10% 35% Low
Units issued by Real Estate Investment Trusts (REITs) and Investment & Infrastructure Investment Trusts (InvITs) 0% 10% Medium to High
* This denotes equity exposure completely hedged with corresponding equity derivatives.
**Net long Equity means exposure to equity shares alone without a corresponding equity derivative exposure. It aims to gain from potential capital appreciation and thus is a directional equity exposure which will not be hedged.
$ The exposure to derivative shown in the above asset allocation table would normally be the exposure taken against the underlying equity investments and in such case, exposure to derivative will not be considered for calculating the gross exposure.
Fund Manager Mr. Raju Sharma (Debt Portion) & Mrs. Uma Venkatraman (Equity Portion).
Benchmark40% of CRISIL Liquid Fund Index + 30% CRISIL Short term Bond Fund Index + 30% of Nifty 50 Index.
Face ValueRs. 10/- per unit.
Entry Load Not Applicable
Exit Load 1% for exit (for new/additional purchases SIP/STP/SWP)up to 12 months from the date of allotment& in case of SIP, on or before 1 year from the date of allotment of each installment.
Plans & Options
The Scheme offers following plans for investment :-
  1. Regular Plan
  2. Direct Plan

Within each Plan there are two Options:
  1. Dividend Option **
  2. Growth Option*

*The Growth Option under both Plans offers the Growth and "Growth with Regular Cash Flow Plan (RCFP)" options.

The Dividend option under both Plans offers Monthly and quarterly sub-options.
Sub-Option Record date/day Mode of dividend
Monthly 25th of every month Payout / Reinvestment / Dividend Sweep
Quarterly As may be decided by the Trustees Payout / Reinvestment / Dividend Sweep
**All dividend distribution is subject to the availability of distributable surplus on the record date and will be at the discretion of IDBI Asset Management Ltd. and IDBI MF Trustee Company Ltd.
Minimum Investment Rs. 5000 and in multiples of Re. 1 thereafter.
Additional Purchase Rs.1000 and in multiples of Re. 1 thereafter.
Systematic Investment Plan (SIP)
Monthly option -
Rs. 500 and in multiples of Re. 1/- thereafter per month, for at least 12 months
or Rs. 1000 and in multiples of Re. 1/- thereafter per month, for a minimum period of 6 months.

Quarterly option -
Rs. 1500 and in multiples of Re. 1/- per quarter thereafter for a minimum period of 4 quarters.
Investments above the minimum amount mentioned, shall be made in multiples of Re. 1 for all SIP
irrespective of frequency of SIP or the Option.
Systematic Transfer Plan (STP)
Minimum balance in the Scheme should be Rs.25,000/- at the time of enrollment.
Sub-options for STP Eligible dates for effect Minimum amount per transfer* Minimum term / duration applicable
Weekly 1st Business day of the week Rs. 1,000/- 12 Installments
Monthly 1st, 5th, 10th, 15th, 20th and 25th day of the month Rs. 1,000/- 12 Installments
Quarterly 1st, 5th, 10th, 15th, 20th and 25th day of the first month of each quarter Rs. 2,500/- 4 Installments
(*Multiples of Re.1/- thereafter except under IEAF where STP will be made at a minimum of Rs.500/- and in multiples of Rs.500/- thereafter.)
Systematic Withdrawal Plan (SWP)Minimum amount for each withdrawal is Rs.1000/- and in multiples of Re.1/- thereafter for a minimum period of 6 months. Withdrawal on 25th of each month or, if 25th is a holiday, then the next effective business day.
Taxation
IDBI MONTHLY INCOME PLAN Resident Investor** Mutual Fund**
Tax on Dividend (Dividend Distribution Tax) NIL Individual Investors – 25%(plus applicable surcharge and cess) -Others – 30% (plus applicable surcharge and cess)
Capital Gain    
Long Term
(for Units held for more than 36 months)
20% p.a. with indexation (plus applicable surcharge & cess) NIL
Short Term Rates applicable to Unitholders as per their income slabs
(plus applicable surcharge & cess)
NIL

**For further details on taxation please refer to the Section on Taxation in the SAI and also independently refer to your tax advisor and to the latest Tax Reckoner. Investors should be aware that the fiscal rules/ tax laws may change and there can be no guarantee that the current tax position may continue indefinitely. In view of the individual nature of the tax consequences, each investor is advised to consult his/ her own professional tax advisor.
Riskometer
This product is suitable for investors who are seeking*:
  • Regular income & Capital appreciation over Medium to Long term
  • Investment in equity and equity related instruments including equity derivatives, arbitrage and debt and money market instruments
*Investors should consult their financial advisors if in doubt about whether the product is suitable for them.
Mutual Fund investments are subject to market risks, read all scheme related documents carefully.