Edelweiss Mutual Fund has introduced a new debt index fund, Edelweiss CRISIL IBX AAA Financial Services – Jan 2028 Index Fund. The New Fund Offer (NFO) opens on Thursday (November 21 and closes on November 26, 2024.

The scheme aims to replicate the CRISIL IBX AAA Financial Services – Jan 2028 Index. It will invest primarily in AAA-rated corporate bonds issued by financial services entities maturing by January 2028.

This open-ended target maturity fund focuses on providing investors with a relatively low credit risk profile and predictable returns, subject to tracking errors.

Investors will incur an exit load of 0.10% if they redeem units within 30 days. Redemptions after 30 days are free of any charges.

The minimum subscription amount is set at ₹100, making the fund accessible to a broad spectrum of investors.

The fund offers daily liquidity. Investors can purchase, switch, or redeem units at NAV-based prices on business days. Redemption proceeds will be dispatched within three working days.

The fund carries relatively high-interest rate risk but maintains low credit risk due to its exclusive focus on AAA-rated securities.

The fund offers:

• Regular Plan
• Direct Plan (for investments made directly with the fund house)

Both plans provide two options:

• Growth option
• Income Distribution cum Capital Withdrawal (IDCW) with reinvestment, payout, and transfer facilities.

The units are priced at ₹10 during the NFO period.

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