Reliance MF closed-ended equity fund gets record Rs 1K cr

In a record collection of funds, a closed-ended equity fund of Reliance Capital Asset Management has garnered Rs 1,000 crore from investors.

The money was collected under Reliance Capital Builder Fund II Series B scheme through a New Fund Offer (NFO) from January 9 till January 23, 2015. This is the highest collection ever till date in a pure closed-ended offering, not having the option of getting converted to an open-ended structure at a later stage.

The previous highest collection in a close-ended equity fund was by UTI focused Equity Fund Series II, which had mobilised around Rs 890 crore in December 2014. "We are encouraged by this response from investors and sincerely thank them for their continued faith and trust in us," RCAM CEO Sundeep Sikka said. The fund saw wide-spread participation from investors across the country with nearly 50,000 applications, with 50 percent of them coming from smaller cities.

As of now, RCAM which runs leading fund house Reliance Mutual Fund, has eight closed ended equity funds including the recently concluded NFO - Reliance Capital Builder Fund II's Series B.