DSP Merill Lynch Natural Resources and New energy Fund

DSP Merill Lynch has come out with a new open ended fund called "DSP Merill Lynch Natural Resources and New energy Fund". The primary investment objective of the Scheme is to seek to generate capital appreciation and provide long term growth opportunities by investing in equity and equity related securities of companies domiciled in India whose predominant economic activity is in the (a) discovery, development, production, or distribution of natural resources, viz., energy, mining etc; (b) alternative energy and energy technology sectors, with emphasis given to renewable energy, automotive and on-site power generation, energy storage and enabling energy technologies. The Scheme will also invest a certain portion of its corpus in the equity and equity related securities of companies domiciled overseas, which are principally engaged in the discovery, development, production or distribution of natural resources and alternative energy and/or the units/shares of Merrill Lynch International Investment Funds – New Energy Fund, Merrill Lynch International Investment Funds – World Energy Fund and similar other overseas mutual fund schemes. The secondary objective is to generate consistent returns by investing in debt and money market securities.

Asset Allocation:
1. Equity and Equity related Securities of companies domiciled in India, and principally engaged in the discovery, development, production or distribution of Natural Resources and Alternative Energy: 65% - 100%;

2. (a) Equity and Equity related Securities of companies domiciled overseas, and principally engaged in the discovery, development, production or distribution of Natural Resources and Alternative Energy (b) Units/Shares of (i) Merrill Lynch International Investment Funds – New Energy Fund (ii) Merrill Lynch International Investment Funds – World Energy Fund and (iii) Similar other overseas mutual fund schemes: 0% - 35%;

3. Debt and Money Market Securities: 0% - 20%

Scheme details
NFO Opens : March 3rd
NFO Closes : March 27th
Type of Fund : Open ended
Minimum Investment : Rs 5000 and subsequently additional purchase is Rs 1000
Options : Growth, Dividend and Dividend investment
Entry Load :
For investments less than Rs 5 Crore : 2.25%
For investments greater than Rs 5 crore : Nil
Exit Load
For holding period less than 6 months : 1%
For holding period between 6 and 12 months : 0.5%
For holding period greater than 12 months :NIL

Note : No entry load on direct applications, i.e. applications not routed through an agent/distributor.
No Entry Load / Exit Load will be charged on investments (including SIP transactions) by Fund of Funds Schemes