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.
- Airports
- Banks, Financial Institutions and Term Lending institutions.
- Cement
- Coal
- Construction
- Electrical and Electric Component
- Engineering
- Energy
- Industry Capital Goods
- Metals and Minerals
- Ports
- Power and Power equipment
- Road and Railways
- Telecom
- Transportation
- Urban Infrastructure
- Mining
- 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:
- Growth Plan and
- 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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1.What is the minimum amount to be paid monthly.
2.Minimum term.
3.Return procedure.
@SK Verma,
This is for the SIP, which is what I think you are looking at.
1. The min monthly amount is Rs. 1000 for six months or Rs. 500 for 12.
2. Min term in 6 months for 1000 bucks and 12 months for 500
3. After that you could either sell it or switch to another fund.
@Roshan
If it’s not already allotted to you, I think you should call or email your broker and ask about it.
@Praveen,
To find out the NAV of the Reliance Infrastructure Mutual Fund, go to this link:
http://www.moneycontrol.com/india/mutualfunds/mfinfo/05/20/latestnav
In there you will see a drop-down; select “Reliance Mutual Fund” from that drop-down and click “GO”.
The page will refresh to show all Reliance Mutual Funds and their NAVs in alphabetical order. Scroll down and you will see the fund and its latest NAV.
this fund is income tax penifet please give me detail for my mail becausou all ready invester for your fund
RAVEEN KUMAR SHARMA
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
i wish to reliance group because mutual fund sheem is very good link for middle class people.
i want daily reliance infrastructure mutual fund price to my mail inbox
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
Dear Sir,
I am very much intrested in Relaince Infra mutual fund. I need clear info on same with unit prise.
I would apprciate for immediate reply.
regards
Ramesh Babu
Bangalore
Iam the investor in rel infracture,some one please clarify,how to check NAV of rel.infra MF and explain the benifits of this fund
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.
@Nikhil Pande
This is a fund that will invest in shares and because no one knows how shares will behave in the future it is not possible to say what you should expect in a three year period.
I am investing Rs.2000/- per month in Reliance power sector and the locking period is
three years. Can you advise how much return will I get after three years ?
hi,
i have invested lots in equity through Insurance, please let me know that investing in Mutual Funds Like wise infrastructure fund will be a better option then i did, as i have some term policy also
Please tell me current opening rate of reliance infra structure
Dear Sir,
From when the NAV rating of Relience Infrastructure will strat ,whose last date was 28th June.
I am Interested to Buy a Mutal Funds but I am not decided which funds is good for me Please Suggest me.I have knowedge about Funds and shares market but Iam confuse to selected the fund please give suggestion. (Please gige the information about the min. amount which I invest )
Thanking You
Akhilesh Patnaik
Guys, this page is only to discuss about Reliance infrastructure fund, and no way that nobody is concerned about all your personnel investment issues with Reliance.
So please do not ask questions like i have not received this document, i have not received NAV value all those questions. Because author of this website, is not responsible for neither Relainnce MF nor the money you have invested.
Cheers
i invest in reliance infrastructure fund but i not receive any bond and welcome later so please send me my documet.
hai, this is jhansi. i have invested 10000 rs in reliance infrstructure. but i did not get any papers from this.
I want to know that when will this unit price will rise.
Parul,
I don’t know what PDF they are asking for. Sorry can’t help you there, call them back and find out what they are looking for.
I had made an online transaction for taking this mutual fund for 10000.That time I dont have any info to send any document.
Now I’ve got a call that i have to send some pdf and self attested pan card copy to some address and the last date is over (30th June’09)
Kindly suggest me what pdf cause i only have the reference no not any pdf.