Bandhan Mutual Fund Files Draft for Bandhan Fixed Maturity Plan (FMP) – Series 210 (93 Days)

Bandhan Fixed Maturity Plan (FMP) – Series 210 is a close-ended debt scheme with a 93-day tenure. It aims to generate income by investing in debt and money market instruments that mature on or before the scheme’s maturity date. The scheme carries a relatively low interest rate risk and moderate credit risk.

NFO and Subscription Details

The scheme is available during the New Fund Offer (NFO  period, with units priced at ₹10 each. After the NFO closes, no further subscriptions are allowed. However, the scheme is proposed to be listed on the BSE, allowing investors to trade their units on the exchange.

Investment Plans and Options

There are two plans available: Regular and Direct. Both plans offer Growth and Income Distribution cum Capital Withdrawal (IDCW) options. If no option is selected, the default is the Growth option under the Direct Plan.

Benchmark and NAV Disclosure

The scheme’s performance will be compared to the Nifty Ultra Short Duration Debt Index A-I. The first Net Asset Value (NAV) will be published within five business days after allotment and subsequently updated daily on the websites of AMFI and Bandhan Mutual Fund.

Asset Allocation and Risk

The fund invests primarily in debt and money market instruments, with up to 40% allocated to securitized debt. It will not invest in high-risk instruments such as equity derivatives or foreign securities. The portfolio is to balance low interest rate risk with moderate credit risk.

Who Can Consider This Scheme?

This scheme is suitable for investors looking for fixed income over a short period, especially those who prefer low-risk investments. It may appeal to individuals seeking predictable returns without exposure to equity markets.

The scheme will not charge an exit load, and recurring expenses are capped at 1% of the daily net assets. 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions. 

Mutual Fund investments in the securities market are subject to market risks, read all the related documents carefully before investing.