OFFER DOCUMENT:
An offer document of a mutual fund scheme is a prospectus issued by an Asset Management Company/ sponsor inviting public for subscription in units of the scheme disclosing information which is adequate to enable an investor to make informed investment decision.
This is the most important source of information for the prospective investor. When a new scheme is launched the AMC prepares and issues offer document on behalf of trustees and is responsible for the validity of the contents .The cover page contains details of the scheme and name of the of sponsor and description of schemes& investment objective. Terms of issue, historical statistics, Investor rights and services, open and closing date of the scheme and disclaimer .It gives investors idea about funds past performance. Expenses like load charges, Past 3 year’s condensed financial history of all schemes. Due diligence certificate should be signed by compliance officer before submitting to SEBI. SEBI does not approve or certify contents of offer document. Closed ended funds issue offer document only once.
Standard and Scheme specific risk factors will be mentioned in offer document. Contents of Open-ended mutual fund offer document can be reviewed every 2 years. A copy of that has to be submitted to SEBI.
An offer document of a mutual fund scheme is a prospectus issued by an Asset Management Company/ sponsor inviting public for subscription in units of the scheme disclosing information which is adequate to enable an investor to make informed investment decision.
This is the most important source of information for the prospective investor. When a new scheme is launched the AMC prepares and issues offer document on behalf of trustees and is responsible for the validity of the contents .The cover page contains details of the scheme and name of the of sponsor and description of schemes& investment objective. Terms of issue, historical statistics, Investor rights and services, open and closing date of the scheme and disclaimer .It gives investors idea about funds past performance. Expenses like load charges, Past 3 year’s condensed financial history of all schemes. Due diligence certificate should be signed by compliance officer before submitting to SEBI. SEBI does not approve or certify contents of offer document. Closed ended funds issue offer document only once.
Standard and Scheme specific risk factors will be mentioned in offer document. Contents of Open-ended mutual fund offer document can be reviewed every 2 years. A copy of that has to be submitted to SEBI.
Nice information about mutual funds. Looking for some notes on types of mutual funds in India for investments!
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