Reliance Infrastructure Mutual Fund NFO

by Manshu on June 8, 2009

in IPO/NFO

The Reliance Infrastructure Mutual Fund will primarily invest in shares of infrastructure companies in India. It will have at least 65% of its assets invested in shares of infrastructure companies and the balance in debt instruments. It will also invest in derivative instruments for hedging and rebalancing purposes.

The fund aims to capitalize on the fact that the infrastructure sector in India is lagging investments and is a focus area for the government to allow the economy to continue on its growth path and add momentum to the economic development.

The fund will invest in infrastructure and infrastructure related companies, but there is one thing that you need to be aware of.

Banks, financial institutions and such, which lend to this sector, also come under this category and the mutual fund may invest in such companies also. This is not a good or bad thing – just something to keep in mind. Most investors don’t equate a financing company with infrastructure and so are sometimes surprised when they hear that their infrastructure mutual fund holds State Bank of India or some other such bank or finance company.

Here is a list of sectors that the fund may invest in (from their prospectus): At first glance it may occur to you that the Reliance mutual fund will invest most of its assets in Airport, then Banks, then Cement and so on (which is what I felt), but this is not true. This is just a list of indicative sectors and is not in any particular order.

  1. Airports
  2. Banks, Financial Institutions and Term Lending institutions.
  3. Cement
  4. Coal
  5. Construction
  6. Electrical and Electric Component
  7. Engineering
  8. Energy
  9. Industry Capital Goods
  10. Metals and Minerals
  11. Ports
  12. Power and Power equipment
  13. Road and Railways
  14. Telecom
  15. Transportation
  16. Urban Infrastructure
  17. Mining
  18. Aluminum

Reliance Infrastructure Fund Manager

Mr. Sunil Singhania is the fund manager; he is a B.Com, CFA and has 11 years of experience in the capital markets. He also manages the Reliance Growth Fund, Reliance Equity Fund, Reliance Long Term Equity Fund, Reliance Diversified Power Sector Fund and Reliance Banking Fund.

Entry Load of Reliance Infrastructure Mutual Fund

  • Subscription below Rs. 2 Crores: 2.25%
  • Between Rs. 2 and 5 Crores: 1.25%
  • Above Rs. 5 Crores: Nil

Exit Load of Reliance Infrastructure Mutual Fund

  • 1% if redeemed within a year of allotment
  • Nil if redeemed after a year of allotment
  • Nil if subscription is more than Rs. 5 crores

Minimum Application Amount for Retail Investors

The minimum investment needed is Rs.5000 and if you want to invest additional money then you must invest a minimum of Rs.1000.

Plans offered by Reliance Infrastructure Mutual Fund

There are two types of plans in this fund:

  1. Growth Plan and
  2. Dividend Plan

The growth plan is meant for people who are not looking for regular dividend payouts from the mutual fund and the income from their funds will be reinvested in the fund. The Dividend plan on the other hand will give you dividend income (when the fund declares dividends). There is a dividend reinvestment plan also where the fund will reinvest your dividends to buy more units of the mutual fund.

How to Invest in the Reliance Infrastructure Mutual Fund NFO

If you have an online brokerage account like icicidirect.com, you can invest in this fund through them. You can also invest by filling out this form and submitting it in HDFC or Axis bank branches.

Tax Rates

The dividends are tax free in the hands of resident Indian investors. Similarly, there is no tax on long term capital gains. There is a 15% tax on short term capital gains of the scheme.

Disclosure: I will not be applying for this mutual fund. This is not a buy or sell recommendation for this fund, just a summary of it and my personal thoughts on it. If you are planning to buy or sell, please take advice specific to your financial situation and portfolio.

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{ 138 comments… read them below or add one }

k.srinivas December 30, 2009 at 11:40 pm

dis is srinivas…..
I have already invested in Reliance Infrastructure Fund. I want to know how I can get the daily information regarding the Unit Price of the same. If in any Website then please name it and that too from which date

Reply

Gaurang June 9, 2010 at 12:44 pm

You can view NAV information on http://www.amfiindia.com on which daily NAV is updated

Reply

k.srinivas December 30, 2009 at 11:54 pm

I have already invested in Reliance Infrastructure Fund. I want to know how I can get the daily information regarding the Unit Price of the same. If in any Website then please name it and that too from which date

Reply

Manshu December 31, 2009 at 5:53 am

Srinivas, you can set up a free portfolio at moneycontrol.com and add your mutual fund to it. This way you can get daily information in a convenient way.

Here is a post that explains how to do that:

http://www.onemint.com/2009/09/11/track-mutual-fund-navs-with-moneycontrol/

Reply

stock advisor January 6, 2010 at 6:32 am

http://www.buzzingstocks.com/in/analysis.pl?ref=hybin joseph
check this for any equity related info

Reply

vinay February 13, 2010 at 9:26 pm

i purchased reliance infracture fund through reliance money . my folio no 41196581246
i have not repeat not received any documents / status i/r of my account till date
i have also not received receipt of my deposite

Reply

Manshu February 14, 2010 at 10:11 am

You need to get in touch with the broker who sold you this. This site cant’ help you with this problem.

Reply

TabrezQamar March 8, 2010 at 10:06 pm

what is the current of Reliance Infrastructure NFO.

Reply

SANJIT MUKHERJEE May 14, 2010 at 3:05 am

Please tell me about investment methods for guarnted return with reliance infrastructure/mutual fund.

sanjit mukherjee

Reply

Gaurang June 9, 2010 at 12:45 pm

Feel free to call @ 78 71 00 78 72 for any kind of information or issues regarding Investments.

Reply

srinivas180 June 10, 2010 at 8:55 am

Any body pl.let me know,when we will get dividends on the above said scheme and on what base.

Reply

sanjay sahoo July 17, 2010 at 3:37 pm

when we will get the devidends, provide me the statement online.

Reply

Manshu July 20, 2010 at 3:53 pm

Who did you buy this from? You need to check with them for the statement.

Reply

mansoor ali July 7, 2010 at 11:13 pm

please provide the contact details of Registrar of Reliance infra mutual fund .have not recd any details on the allotment of the same . my transaction no is 492948 and application number is 2079 .

Reply

Basavraj July 13, 2010 at 9:27 pm

Where I can get NAV updates of reliance infrastructure

Reply

John Kulandai July 13, 2010 at 11:09 pm

Please inform me of the reliance infrasture mutual fund performance

Reply

Tapan Ghosh August 16, 2010 at 1:37 am

pleasm inform me the latest NAV of Relience infructure fund.

Reply

Ashish K R Saxena November 12, 2010 at 4:05 am

I had purchased reliance infrastructure NFO, Account # 405101678204
(Growth Option). I had purchased it directly from your outlet without any broker. I have not recieved any document till date. I wanted to have details of current fund value & its purformance etc on a daily basis. Pls connect to me on 9930468234.

Reply

AMARENDRA KUMAR February 14, 2011 at 9:42 pm

I HAD PURCHASED RELIANCE INFRASTRUCTURE- FUND -GROWTH PLAN NFO A/C NO.- 412103921526.I had purchased it directly from your outlet without any broker. I wanted to have details of current fund value & its performance etc on a daily basis. Pls connect to me on 9304416904 or on my email i.d.

Reply

Manshu February 15, 2011 at 4:42 pm

Make a portfolio on Moneycontrol or something – that’s the only way. No one is going to send you daily emails of your portfolio!!!

Reply

sawinder singh August 19, 2011 at 1:45 pm

sawinder singh my –deleted– –pan –deleted– Through broker code ARN-9992 Opening date 30-7-2019
ple. give imformation for my acounts

Reply

Manshu August 21, 2011 at 10:35 pm

This is not the mutual fund website so I can’t give that information. More importantly – please do NOT write your bank account number or PAN number on websites like this, or any other website – this is visible to anyone with an internet connection, and your details may be misused.

Reply

ashraf pandokal November 10, 2011 at 5:23 pm

please send a statement of my account in my mail address

Reply

ashraf pandokal November 10, 2011 at 5:26 pm

please send a statement of my account AC No. 404104774447

Reply

Manshu November 10, 2011 at 7:57 pm

Talk to your agent or the MF – this is like a news website – no one can send you anything from here.

Reply

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