DSP Liquidity Fund(G)-Direct Plan

Performance

DSP BlackRock Mutual Fund is a partnership between the DSP Group and BlackRock. The DSP Group is one of the country’s oldest financial company while BlackRock is the largest asset management firm in the world. DSP BlackRock Mutual Fund is one of India’s biggest fund houses and offers around 32 schemes in the categories of equity, hybrid, debt, Fund of Funds (FoFs), etc.

The DSP BlackRock Liquidity Fund-Direct Plan-Growth is an open-ended liquid scheme that invests in money market and debt instruments with maturity of up to 91 days. The direct plan allows investors to invest directly with the fund house and the growth option entitles investors to achieve capital appreciation at the end of the investment period.

Investment Objective:

To produce optimal returns with low risk and high liquidity through investments in a portfolio comprising debt and money market securities of high quality.

Key Features:

The DSP BlackRock Liquidity Fund is ideal for investors who wish to receive regular income over a short-term horizon and exhibits the below features:

Investment amount for DSP BlackRock Liquidity Fund:

Asset Allocation for DSP BlackRock Liquidity Fund:

Who can invest in DSP BlackRock Liquidity Fund?

Investments in DSP BlackRock Liquidity Fund can be made by the below-mentioned persons/entities:

• Resident Indians aged above 18, either singly or jointly (cannot exceed 3 individuals)
• Hindu Undivided Families through Karta
• Minors through a legal guardian or parent
• Persons of Indian Origin (PIO)/Non-Resident Indians (NRIs), on repatriation or non-repatriation basis
• Regional Rural Banks, co-operative Banks, other banks, and financial institutions
• Scientific and Industrial Research Organisations
• Corporate bodies and companies registered in India
• Limited Liability Partnerships and Partnership firms
• Association of Persons or Body of Individuals
• Religious and Charitable Trusts, Wakfs or endowments of private trusts
• Air Force, Army, Navy, and other paramilitary funds
• Proprietorship in the name of the sole proprietor
• SEBI registered Foreign Portfolio Investor
• Universities and educational institutions
• RBI and Government of India approved International Multilateral Agencies
• SEBI (Securities and Exchange Board of India) registered mutual fund schemes
• Pensions/Gratuity/Provident Fund to a permissible extent
• AMC/Trustee or Sponsor or their associates

NAV Disclosure and Benchmark for DSP BlackRock Liquidity Fund:

The Net Asset Value (NAV) for the DSP BlackRock Liquidity Fund is calculated by dividing the net assets of the scheme by the number of units that are outstanding on the date of valuation. The fund house will calculate the NAV of the scheme at the end of every business day and will round it off to 4 decimal places.

The details of the portfolio will be sent for publication to newspapers before 1 month of each half-year. The website of the DSP BlackRock Mutual Fund (www.dspblackrock.com) will also display the full portfolio of the scheme. The monthly portfolio can also be downloaded from the same site on or before the tenth day of the succeeding month.

Liquidity: Redemption proceeds will be dispatched within 1 business day from the redemption request acceptance date.

Benchmark: CRISIL Liquid Fund Index

Fund Manager:

Mr. Kedar Karnik and Mr. Rahul Vekaria

The DSP BlackRock Liquidity Fund is managed by Mr. Kedar Karnik and Mr. Rahul Vekaria. Mr. Kedar Karnik has more than 10 years of experience in managing investments and prior to joining DSP BlackRock, he worked for Axis Asset Management, HSBC Asset Management, and CRISIL Ltd. Apart from the DSP BlackRock Liquid Fund, he also manages the DSP BlackRock Low Duration Fund, DSP BlackRock Savings Fund, DSP BlackRock Global Allocation Fund, etc.

Mr. Rahul Vekaria is the other fund manager for the DSP BlackRock Liquidity Fund. He joined DSP BlackRock in August 2017 and has over 7 years of experience in the financial services domain. The other funds managed by him include DSP BlackRock Money Manager Fund, DSP BlackRock Arbitrage Fund, DSP BlackRock Low Duration Fund, etc.

Investment Restrictions on DSP BlackRock Liquidity Fund:

The Securities and Exchange Board of India (SEBI) has laid down the below-given investment restrictions on subscription to the units of the DSP BlackRock Liquidity Fund:

• The scheme cannot invest above 10% of its NAV in equity and its related securities of any firm or listed securities or venture capital fund units.
• The scheme is not allowed to make investments in - any unlisted security of a group company or associate of the sponsor, any security issued by private placement, and any listed securities of sponsor’s group company which is more than 25% of the net assets.
• The mutual fund cannot own above 10% of any firm’s paid-up capital carrying voting rights.
• The scheme is not allowed to invest above 10% of its NAV in debt securities that have been issued by a single issuer and rated above the investment grade by a credit rating agency. This limitation will not be applicable to investments in treasury bills, government securities, and CBLO (Collateralised Borrowing and Lending Obligation).
• The cumulative gross exposure of the scheme cannot exceed 100% of the net assets through debt, equity, and derivatives position.
• The scheme is not permitted to invest in any Fund of Funds (FoF) scheme.
• No scheme is allowed to invest above 5% of its NAV in unlisted securities/equity shares/venture capital fund units/equity related securities.
• All the investment restrictions shall apply at the time of making investments.

Dividend Policy of DSP BlackRock Liquidity Fund:

Investors who have opted for the dividend option will be entitled to receive dividends and the distribution of the dividends will be at the discretion of the Trustee. The declared dividends will comprise realised profits and net income. Under the dividend option, the DSP BlackRock Liquidity Fund has 2 sub-options - Payout Dividend and Reinvest Dividend.

The Payout Dividend option entitles the investors to receive regular income. The dividend warrants will be dispatched by the mutual fund before 30 days from dividend declaration date. Eligible investors will receive the payout either through a cheque or directly into their bank account.

Under the Reinvest Dividend option, the declared dividends will be reinvested to acquire additional units of the scheme. The reinvestments will be at the prevailing NAV on the next business day, after the record date. Entry and exit load will not apply to the dividends reinvested.

Both the Payout Dividend and Reinvest Dividend are available in weekly and monthly options.

Other Facilities offered by the DSP BlackRock Liquidity Fund:

The DSP BlackRock Liquidity Fund offers the below facilities for the benefit of its unitholders:

• Systematic Investment Plan (SIP)
• Systematic Withdrawal Plan (SWP)
• Systematic Transfer Plan (STP)
• Switching
• Personal Identification Number (PIN)
• Pledge of Units for Loans
• Dividend Transfer Plan
• My Target Value Savings Account Facility
• One Time Mandate (OTM) facility

Why you should invest in DSP BlackRock Liquidity Fund:

• For an amount as low as Rs.1,000, investors can invest in the units of the DSP BlackRock Liquidity Fund and get an opportunity to grow their capital.
• The DSP BlackRock Liquidity Fund is an ideal way to park your cash and give it an opportunity to grow. The money invested can be kept aside for emergencies.
• The DSP BlackRock Liquidity Fund comes with instant redemption facility which means you can redeem it anytime you want while also enjoying better interest rates.
• You can park your funds in the DSP BlackRock Liquidity Fund and take advantage of rupee cost averaging to grow your capital over a long term.
• The ‘My Target Value Savings Account Facility’ offered by the DSP BlackRock Liquidity Fund allows investors to define a Target Value and invest in a different scheme of the same mutual fund either through lump sum or SIP in a unique account known as the ‘My Target Value Savings Account Facility’ that has been created for the purpose.

GST rate of 18% applicable for all financial services effective July 1, 2017.