Tata MF to launch rural India fund
The Hindu Business Line — May 26, 2006

Tata Mutual Fund has lined up an 18-month close-ended equity fund that will seek to invest mainly in equity and equity-related instruments of companies that are focused on 'rural India'. Christened Tata Rural India Fund, the scheme will be automatically converted into an open-ended fund on completion of the 18-month period. During its close-ended avatar, the net asset value will be determined normally once every week.

Later, on conversion, it will be ascertained on all business days as in the case of other normal open-ended funds. Post-conversion, there will be an entry load of 2.25 per cent for each investment (other than by way of systematic investment plan) of less than Rs 2 crore. The fund will aim at generating "consistent long-term returns", the offer document filed with SEBI has mentioned, adding that the Government has been increasingly attending to rural development and earmarking large outlays for the sector towards agriculture, employment and infrastructure.