ING Mutual Fund launches ING Latin America Equity Fund

ING Investment Management India has launched India’s first ING Latin America Equity Fund, an open ended Fund of Funds (FoF) Scheme for Indian investors. The scheme opens on June 19, 2008 and closes on July 10, 2008.(View - New Fund Offers open NOW)

The scheme will primarily invest in ING’s existing Luxembourg domiciled fund thereby seeking to provide an Indian investor long-term capital appreciation and exposure to countries which are amongst the fastest growing economies in the emerging market space. The Lux fund will try and achieve this by investing primarily in stocks of companies based out of Latin American countries or stocks of companies deriving a majority of their revenues from Latin American economies.

Vineet K Vohra, Managing Director and CEO, ING Investment Management India, said, “The emerging markets as a whole have held up fairly well considering that they are generally volatile than the US indices. All emerging countries have some political risk associated with them, some much higher than others. However, what makes Latin America so attractive is the stable government in place in the recent years and their pro-growth policies. This is one part of the backdrop that isn’t always visible to investors, but it plays an important role in medium & long term stability.”

Maarten-Jan Bakkum, Global Emerging Market Specialist, ING Investment Management Amsterdam, on the emerging opportunity commented, “We see good prospects for most Latin American currencies. Improved fiscal accounts and healthy current accounts have taken away most of the traditional risks associated with such economies. With foreign direct investment to the region strong for a while now and portfolio investments clearly on the rise, there is substantial upside potential for Latin American economies.”

The issue comprises units of Rs 10 per unit plus applicable entry load during the New Fund Offer and at applicable NAV based prices plus applicable entry load upon re-opening. The minimum application amount is Rs 5,000 and in multiples of Re 1 thereafter. The minimum additional purchases could be of value Rs 1000 and in multiples of Re 1 thereafter.

The fund is managed by ING Investment Management Luxembourg S.A. and sub managed by ING Asset Management BV.

The investors will have the choice of three options viz. Dividend Option, Bonus option and Growth Option. The load structure for applications received during NFO and on-going sales is as follows: For application below Rs. 5 crore --- Entry Load: 2.5%; Exit Load: Nil; and CDSC: 1% if redeemed within 180 days from the date of investments (date of allotment in case of NFO). For applications of Rs. 5 crore and above, there is no load. Systematic Investment Plans (SIP) is available during New Fund Offer periods well as in on going sales. The load structure for SIP would be the same as mentioned above. Each installment will be considered as a single application.

For more Mutual Fund News click here