PGIM India Launches Equity Fund for Retirement Planning

Mar 26, 2024

PGIM India Mutual Fund launches – PGIM India Retirement Fund

It is an open-ended retirement solution oriented scheme having a lock-in of 5 years or till retirement age (whichever is earlier).

Accordingly, investment objective of the scheme is to provide capital appreciation and income to investors in line with their retirement goals by investing in a mix of securities comprising of equity, equity related instruments, REITs and InvITs, and fixed income securities. However, there is no assurance that the investment objective of the scheme will be achieved. The Scheme does not guarantee/ indicate any returns

Under normal circumstances, PGIM India Retirement Fund will hold an allocation of 75% to 100% in Equity & equity related instruments, 0% to 25% in Debt Securities and Money Market Instruments, including cash, Triparty Repo and equivalent and units of mutual funds and 0% to 10% in Units issued by REITs and InVITs.

[Read: Best Mutual Funds for Retirement Planning]

As per the Scheme Information Document, PGIM India Retirement Fund will be invested primarily in equity and equity related instruments. The portfolio will be diversified across sectors. The portfolio is expected to have minimum 25% allocation towards large cap, midcap and small cap segments of the market respectively under normal circumstances.

The Scheme shall primarily use a bottom-up approach to identify companies with sound management and good growth prospects and a top-down approach for macro and thematic analysis. The fund manager(s) would select companies with stable or high growth with due consideration to valuation. The scheme may also invest in turn-around companies based on Fund manager’s view. All investments would be subject to regulatory limits for stock and sector weightages.

PGIM India Retirement Fund’s performance will be benchmarked against S&P BSE 500 TRI

The scheme will be managed by Mr Vinay Paharia and Mr Puneet Pal

The NFO opens for subscription on March 26, 2024 and closes on April 09, 2024. The schemes will reopen for continuous sale and repurchase within 5 business days from the date of allotment.

The minimum subscription amount is Rs 5,000/- and in multiples of Re.1/- thereof.

The scheme offers Regular Plan and Direct Plan each plan offers Growth option and Income Distribution cum capital withdrawal  option (IDCW).