Banking Funds Outperform The Market

There was a sigh of relief on Dalal Street with the bulls coming out in hordes on Friday. For the week ended April 25, the Sensex gained 3.91% and the Nifty 3.09%. The market shrugged off negative sentiments, like rising inflation and average to below-average results; and defying all odds the Sensex surpassed the psychological level of 17,000 and 5,000 level for the Nifty.
The banking funds category gained the most this week with a category average of 5.03%. However, it was lower than the BSE Bankex index gain of 6.9%. For the one-year period ended on April 25, the banking category too topped the chart with 37.13%. Ironically, the Gold ETF category followed with a gain of 24.68% making it the second-best one-year performer but the worst performer for the week.
Coming back to the week's performance, tax-saving funds followed the banking category's average with a return of 2.79%. In the Equity: Index category, Banking BeES gained 6.28 per cent, followed by 4.54 per cent of Nifty Junior BeEs. The best funds were LICMF Tax Plan (4.48%), Franklin India Taxshield (4.06%) and Principal Tax Savings (4.04%).
Diversified equity funds followed closely behind the tax-saving funds with a category average of 2.77%. In the equity diversified category, the best performers were ICICI Prudential Infrastructure (4.84%), Franklin India Flexi cap (4.80%) and Taurus Starshare (4.63%).
The main highlight of the week was the announcement of much-awaited real estate mutual fund guidelines. SEBI has given a go-ahead to existing mutual funds and new mutual funds for launching real estate branded schemes Guidelines on Real Estate MFs.
On Monday, the RBI will announce the annual monetary policy. Taking the cue from RBI Governor - Mr. Y.V. Reddy's assessment of the economy, the markets will then decide whether to swing with the bulls or with the bears.

Birla Mutual Fund Revises Load Structure of few debt & equity schemes

Birla Mutual Fund has revised the load structure of Birla Dynamic Bond Fund, an open ended income scheme. With effect from 28 April 2008, the scheme will charge an exit load of 0.20% of applicable NAV for units redeemed/switched out within 30 days from the date of allotment. Earlier the scheme charged an exit load of 2.00% of applicable NAV for units redeemed/switched out within 180 days from the date of allotment.

However there is no change in entry load. As earlier the entry load in the scheme is nil.

They do not charge entry load for purchase made through SIP in few equity schemes.

ICICI Pru In Outsourcing Deal

In a unique deal, ICICI Prudential AMC has outsourced its fund administration for over 100 schemes to HSBC Securities Services. With an AUM of Rs 54321.87 crore as of 31 March 2008, this is the largest and most complex third party outsourcing project ever undertaken in Indian fund industry.

HSBC Named Fund Administrator For ICICI Pru AMC

MUMBAI: ICICI Prudential Asset Management Company has outsourced its fund administration for over 100 schemes to HSBC Securities Services. With assets under management of Rs 54,321.87 crore as of March 31, this is the largest and most complex third party outsourcing project ever undertaken in the Indian funds industry. The successful implementation of this initiative demonstrates our ability to infuse in customisation of global solutions for the Indian market.