Mutual Funds News - MFs announce attractive dividends to retain investors

MFs announce attractive dividends to retain investors

The mutual fund (MF) industry is all set to meet the redemption pressures in a volatile securities market. Mutual funds have more and more started announcing higher dividends to retain the retail investors in various schemes. The fund houses are announcing dividends ranging from 40% to 80% at the close of the current financial year on March 31, 2008. Principal PNB Mutual Fund has decided to pay 80-pc dividend on the Principal Tax Saving Fund, an open-ended equity linked tax saving scheme. The Net Asset Value (NAV) of the scheme as on date is Rs 64.23. The record date for the declaration of the dividend has been kept March 31, 2008. Likewise, Birla Sun Life Mutual Fund has announced to offer a dividend of 60% on its Birla Equity Fund. The NAV of the scheme is Rs 91.29. Commenting on the MF industry's decision to offer an attractive dividend, a senior fund manager from a domestic fund house said that a majority of MF schemes have witnessed a big dip in their Net Asset Value (NAV) due to the recent meltdown in the equity market. The market capitalisation (M-Cap) was hit due to the volatility in the market which was caused due to the sub-prime factor in the global market. Obviously, MF industry offering attractive incentives in form of dividends will certainly help the fund houses in retaining the retail investors in different schemes, he said. Among other fund houses, Kotak Mahindra Mutual Fund has offered a tax free dividend of 40% on its balanced fund. The NAV of the scheme is presently Rs 22.15.

Comments

Post a Comment

Popular posts from this blog

Buy Mutual Fund Offline - Invest with Investorline

Invest with Investorline Investorline Investment Center To Invest Online Click here Important As per the new SEBI guidelines, all new purchases of mutual funds have to be supported by a copy of your PAN Card. If you have not submitted a copy of your PAN Card to Investorline , please do so now. We will not be able to process your purchase request without the same. Click here to know more. Seek advice from the experts Call us on 09213326572 , or email us at indiainsured@aol.com for assistance from our AMFI certified Relationship Managers. They will gladly assist you with all your investment requirements. Invest in 3 easy steps- Download the Common Application From of the fund house you are interested in and fill in your details against the specific fund you are interested in. If you are interested in making investments though SIP, please also download and fill the relevant SIP form. Attach a cheque of the amount you wish
Read more

Strong rally at Wall Street

29 Jan 2009 | 10:04 Strong rally at Wall Street Stocks at Wall Street managed a strong end with good gains on Wednesday, 28 January, 2009. Financials led the way today as Wells Fargo decided that it will keep its dividend intact and will not ask for additional TRP funds. Stocks also rose today after Federal Reserve's latest policy statement. The Dow Jones Industrial Average ended higher by 200 points at 8,375, the Nasdaq closed higher by 53 points at 1,558 and the S&P 500 closed higher by 28 points at 874. Citigroup, Wells Fargo and Bank Of America were the main Dow winners today. In the earning arena today, Boeing and AT&T reported unimpressive quarterly results. WellPoint's latest earnings were in-line with expectations. Yahoo! and ConocoPhillips both topped earnings estimates. Today, The Federal Open Market Committee kept its interest rate target in a range of zero to 0.25%, as expected. It
Read more

Asian Market Support Stimulus With Surge

03 Feb 2009 | 16:28 Asian Market Support Stimulus With Surge Stock markets in Asian region closed mostly higher on Tuesday 3 February 2009, despiteof lackluster performance on Wall Street overnight and stimulus measures in Japan andAustralia to stabilize markets and support their economies. The Bank of Japan announced tobuy about 1 trillion yen ($11.2 billion) in corporate shares held by banks, while theReserve Bank of Australia announced a $ 26 billion fresh spending to help the country'sresources-based economy accompanied by 100 basis point rate cut from Reserve Bank ofAustralia taking the interest rate to 3.25%. Stocks at Wall Street ended on a mixed note trimming some of its early losses after datashowed a smaller-than-expected contraction in the manufacturing sector. The Dow JonesIndustrial Average finished down 64.11 points, or 0.8%, to 7,936.75. The S&P 500gained half of a point to stand at 825.43,
Read more