Axis Mutual Fund looks to garner Rs 50 crore from maiden fund offer post ban

Axis Mutual Fund is targeting to garner Rs 50 crore from the silver ETF and the silver fund of fund announced on Friday -- its maiden launch after the Sebi lifted its three month ban on NFOs from July.

The fund house said the silver fund of fund (FoF) will invest in the units of Axis silver ETF (exchange traded fund).

Raghav Iyengar, CBO Axis AMC, said that they have set an internal target of garnering Rs 50 crore for Axis Silver ETF and FoF.

Both the funds will be open for subscription from September 2 through September 15, the fund house said in a statement.

While the silver ETF will have no exit load, the silver fund of fund will attract an exit load of 0.25 per cent if redeemed/switched out within seven days from the date of allotment but will have no such charges if redeemed/switched out after sever days of allotment.

The silver ETF will invest in industry standard 30 kg physical silver bullion of 999 parts per 1,000 fineness and storage, transport and insurance will be taken care by Axis AMC.