SBI MF rolls out Innovative Opportunities fund; key dates, minimum investment, benchmark, who should invest, other essential details to know

The NFO opened on July 29 and will close on August 12.

August 20 is the tentative allotment date. 

SBI Mutual Fund will invest 80-100 per cent of its assets in equity and equity-related instruments (including equity derivatives) of companies seeking to benefit from adoption of innovative strategies and themes with the following criteria: 

0-20 per cent in equity and equity-related instruments of companies other than above 

0-20 per cent in debt and related instruments 

0-10 per cent in units issued by REITs and InvITs

Fund may seek investment opportunities in foreign securities including ADR, GDR, foreign equity, overseas ETFs or debt securities subject to regulations (such investment may not exceed 35 per cent of net assets) 

The fund aims to provide investors with an opportunity for long-term capital appreciation by investing in companies focused on innovative strategies and themes.

 

 

"However, there is no assurance that the investment objective of the scheme will be achieved," according to SBI MF. 

The fund will be benchmarked to Nifty 500 TRI.

The fund will be managed by Prasad Padala and Pradeep Kesavan (dedicated fund manager for overseas securities).

“Today our country is amongst the fastest growing economies in the world and innovation remains a central piece for a Viksit Bharat (Developed India). The government, through initiatives like Start Up India, the Atal Innovation Mission and India stack, is aiming to create a culture of innovation from school to industry. A thriving startup and funding ecosystem, strong digital infrastructure along with a large consumer market provide favourable tailwinds for our country to become the next big leader on the innovation horizon,” said Shamsher Singh, Managing Director & Chief Executive Officer, SBI Funds Management. 

The Innovative Opportunities fund is a good opportunity for investors looking to invest in companies that are “innovating to gain a competitive edge and changing the way we do things to enhance value in their offerings”, Singh added. 

 

The fund provides “an opportunity for investors to benefit from a strong innovation theme which is set to define next-gen India”, said DP Singh, Deputy MD and Joint CEO, SBI Funds Management.

 

The fund is classified under the 'very high risk' category.