LIC MF Govt. Securities Fund - Direct Plan Growth Option is offered by LIC Mutual Fund. This was founded by LIC of India in 1989. LIC Mutual Fund has schemes that cater to different categories of investors. It has established a solid presence in India’s asset management industry through the use of innovative investment strategies, adherence to financial integrity, and commitment to corporate governance.
The LIC MF Govt. Securities Fund invests in securities that are issued by the Central or State Government. The growth option ensures a steady appreciation of capital over a period of time.
Investment Objective of LIC MF Govt. Securities Fund-Direct Plan Growth Option
The objective is to generate reasonable returns that are free of credit risk by investing in sovereign securities that are issued by the Central Government or State governments.
Key Features of LIC MF Govt. Securities Fund-Direct Plan Growth Option
Some of the significant features of the LIC MF Govt Securities Fund are as indicated in the table below:
|
Type of fund |
This is a debt scheme that is open-ended and invests in government securities. |
|
Plans available |
Regular Plan and Direct Plan options are available. |
|
Options under each plan |
Dividend, Growth, and PF options are available under both the plans. The Dividend option has both Dividend Payout and Dividend Reinvestment options available. |
|
Default Options |
Default option is Growth. Default facility under Dividend option is Reinvestment. |
|
Risk |
Moderate |
|
Systematic Investment Plan |
Available |
|
Systematic Transfer Plan |
Available |
|
Systematic Withdrawal Plan |
Available |
Investment Amount for LIC MF Govt. Securities Fund-Direct Plan Growth Option
|
Minimum application amount |
Rs.10,000 and multiples of Re.1 after |
|
Minimum additional investment |
Rs.500 and multiples of Re.1 after |
|
Minimum installment for Systematic Investment Plan (SIP) |
Monthly - Rs.1,000 and multiples of Re.1 after Quarterly - Rs.3,000 and multiples of Re.1 after |
|
Minimum installment for Systematic Withdrawal Plan (SWP) |
Rs.500 and multiples of Re.1 after |
|
Entry Load |
NA |
|
Exit Load |
If exited within 30 days of the allotment of units, exit load is 0.25%. |
Asset Allocation for LIC MF Govt. Securities Fund-Direct Plan Growth Option
|
Instruments |
Indicative Allocations (Percentage of total assets) |
Risk Profile |
|
|
Minimum |
Maximum |
||
|
Government security instruments |
80 |
100 |
Moderate |
|
Money market and debt instruments |
0 |
20 |
Low to Medium |
NAV Disclosure and Benchmark for LIC MF Govt. Securities Fund-Direct Plan Growth Option
NAV Calculation: The current assets are added to the market value of the investments from which the current provisions and liabilities are subtracted. This is then divided by the per unit number of outstanding units.
NAV Disclosure: The first NAV is disclosed within 5 business days of the first date of allotment of units. Subsequently, it will be calculated and disclosed at the end of every business day.
Fund liquidity: Units can be liquidated on any business day.
Benchmark Index: I-Sec Composite Index
LIC MF Govt. Securities Fund-Direct Plan Growth Option Fund Manager
This scheme is managed by Mr. Marzban Irani. He has been managing this scheme since 2016. He is the Fund Manager for Fixed Income of LIC Mutual Fund Asset Management Ltd. He has been working in the asset management field for approximately two decades.
Why you should Invest in LIC MF Govt. Securities Fund-Direct Plan Growth Option
Investments in government securities are risk-free. They generate good returns over the long term and can be easily liquidated. You get a portfolio with better diversification as well. The direct plan growth option offers a lesser expense ratio and higher savings because of that. The growth option means both your principal amount and notional profit are reinvested, leading to even greater appreciation of your capital over the long term.
Display of any trademarks, tradenames, logos and other subject matters of intellectual property belong to their respective intellectual property owners. Display of such IP along with the related product information does not imply BankBazaar’s partnership with the owner of the Intellectual Property or issuer/manufacturer of such products.
GST rate of 18% applicable for all financial services effective July 1, 2017.
