Invest in Tata Dividend Yield Fund : An Open Ended Equity Scheme

by khalid on 23/02/2011 · 1 comment

Tata Mutual Fund is the top mutual funds investment companies in India offers wide portfolio of the best mutual funds. The company has several funds to invest in and one of them is Tata Dividend Yield Fund. This is an open ended equity scheme launched in September 2004.

The investment objective of the scheme is to provide income distribution and / or medium to long term capital gains by investing predominantly in high dividend yield stocks.

Tata Dividend Yield Fund (TDYF) aims to invest at least 70% of its assets in shares with high dividend yields. Other selection criteria for investment will only come into force once the initial dividend yield criterion is fulfilled. The fund can also invest in equity shares of companies other than those with high dividend yield, to the extent of 30% of the net assets.TDYF may also invest upto 30% of the assets in debt and money market instruments to provide continuous liquidity and preservation of capital, particularly in bearish markets.

Options Available : Dividend & Growth

Minimum Application Amount : Under each option minimum investment Rs. 5000 and in multiples of Rs.1 thereafter.

Investment in stocks with high dividend yields is traditionally a “Defensive Investment Strategy”. High dividend payouts in general imply that there is strong cash generation by the business. Normally cash accretive businesses get higher valuation in the market. An investment in these stocks could unlock significant value over a period of time.

So, whether it is a bull or a bear market, if you are looking at benefiting from opportunities and adding value to your investments, consider investing in Tata Dividend Yield Fund.

Related Posts Plugin for WordPress, Blogger...

Leave a Comment

{ 1 trackback }

Previous post:

Next post: