Mumbai, Wednesday, February 27th, 2008:
The Quantum Gold Fund (An open ended Exchange Traded Fund), India’s first gold fund without any entry loads during the NFO period will list on the National Stock Exchange on February 28th 2008. The NSE code is QGOLDHALF. The fund will be the only listed Gold ETF in India to have approximately half gm of gold as underlying for every unit.
Arvind Chari, Fund Manager of the scheme said, “The unique feature of the Quantum Gold Fund is that each unit is approximately equal to half (½) gram of gold. Thus, even at gold prices of around Rs. 12,000 per 10 grams, investors can buy a unit on exchange for as little as Rs. 600 or so.”
Added Devendra Nevgi, CEO and CIO of Quantum AMC Pvt. Ltd., “The Quantum Gold Fund has been only our 3rd scheme, keeping in line with our philosophy of providing simple and low cost investment solutions. We launched the scheme as we believe that gold is an ideal portfolio diversifying asset and ETFs are one of the best possible options to take exposure to gold and avoid the concerns of physical storage and purity. Gold works as insurance in uncertain times.”
The Quantum Gold Fund garnered Rs. 3.4 crores during the NFO period. Mr Devendra Nevgi added “We managed to get applications from more than 25 cities and with more than 300 investors. This is very heartening for us since we did not spend investor’s money on expensive advertisement or commissions”. This is encouraging for a fund house that defied the traditional distributor led asset gathering approach. The direct- to-investor philosophy enables the fund house to avoid entry loads and trail commissions, leading to lower costs of operation which can benefit the investors in the long run. Investors in the NFO of Quantum Gold Fund have been allotted units at a price of Rs. 592.8748.
After the listing, investors can buy and sell the Quantum Gold Fund units on the NSE through any member-broker, just like an equity share. Quantum Mutual Fund will endeavor to keep the costs lower for the investors by continuing to offer schemes with no entry loads in order to maximize their benefit.
Devendra Nevgi
CEO & CIO
Quantum Asset Management Company Pvt. Ltd.
To know more about the Quantum Mutual Fund and the Quantum Gold Fund, please contact us at
Disclaimer:
Mutual fund investments are subject to market risks, fluctuation in NAV and uncertainty of dividend distributions. Please read the offer document carefully before investing.