GILT FUND

PRESENTED BY
GROUP NO-07

VARUN RAJASEKARAN
SHASHI BHUSHAN
PARAS GANDHI
GANGADHAR KALESHE
KOMAL MANE
SANDHYA RAWAT
SHEETAL DHORE
INTRODUCTION
 These are mutual fund schemes.
 Invest in medium and long term
government securities and money market
instrument.
 Originated in Britain
 Stick to high quality low risk debt.
 First Gilt fund – December 1998
 RBI provides liquidity and other support
Facilities Provided To Gilt
Funds
 Liquidity support: to support short-term
liquidity requirements of such mutual funds
 SGL and current accounts: opens one SGL
account and one current account
 Funds transfer facility :transfer of funds from
one center to another under
 Access to call market: the call money market
as lenders
 Ready forwards: undertake ready forward
transactions in Government securities market.
Eligibility for Liquidity
support
 All gilt funds – public and private sector,
open-ended or close-ended
 Have the approval of SEBI
Conditions
 Re-purchase agreements
 Price of securities
 Securities in multiples of Rs. 10 lakh
 Maximum period of 14 days at a time
 The repo rate
 Remittance facility scheme
 Cannot be used for on-lending in the call/notice
money market
 Right to partially accept/reject any application
 Can call for all relevant information w.r.t their
operations
Requirement for Drawl
1. Application to chief general manager,
internal Debt management cell, Reserve
Bank of India ,central office.
2. Submission to internal Debt
management cell.
3. Return of duplicate copy and lodge SGL
transfer form to security department RBI
4. Current account Debit authority to RBI
5. Arrangement for repurchase of securities
6. Receive the liquidity amount
 ICICI
Pruden tia DBS Te mp leto Birla Sun
Sn ap sho t o n 18 th jan 2 00 8. HDF C l Cho la n I ndia Lif e
Debt-short Debt-short Debt-short Debt-short Debt-short
Sche me Obj ective term term term term term

Sche me Sub- Obj ective Gilt Gilt Gilt Gilt Gilt

Sche me Typ e Open Open Open Open Open

Lates t NA V (Rs/Uni t) 10.61 11.61 10.88 10.53 10.17

Min imum Inves tment (R s) 500 25000 10000 5000 25000

Lau nch D ate 16-Jul-01 21-Jul-99 28-Mar-00 11-Feb-02 15-Oct-99

Entry Lo ad No Load No Load No Load No Load No Load

Exit Lo ad No Load No Load No Load No Load No Load

Abs olute R eturns as o n
J an- 18 -200 8

1 w eek 0.10% 0.40% 0.08% 0.08% 0.10%

3 Mo nt hs 2.24% 7.04% 2.18% 1.89% 1.41%

6 Mo nt hs 3.14% 8.01% 3.34% 3.01% 2.60%

1 Ye ar 6.31% 13.52% 5.92% 6.38% 5.52%

3 Ye ars 4.98% 8.09% 3.50% 5.53% 5.32%

NAV of short term gilt funds

ICICI PRUDENTIAL BIRLA SUN LIFE TEMPLETON INDIA

DBS CHOLA
HDFC
 ICICI
Sn ap sho t o n 18 th jan 2 00 8. HDF C Pruden tial DBS Cho la DSP-Merrill
Debt-long Debt-long Debt-long Debt-long
Sche me Ob jective term term term term
Sche me Sub- Ob jective Gilt Gilt Gilt Gilt
Sche me Typ e Open Open Open Open
Lates t NA V (Rs/Uni t) 10.69 11.6 10.87 11.8
Min imum Inves tment (R s) 5000 5000 10000 5000
Lau nch D ate Jul-25-2001 Aug-09-1999 Mar-29-2000 Sep-23-1999
Entry Lo ad No Load No Load No Load No Load
Exit L oad No Load No Load No Load No Load
Abs olu te Returns as o n Jan -
18 -200 8        
3 Mont hs 2.20% 7.00% 2.20% 4.30%
6 Mont hs 3.10% 8.20% 3.40% 5.20%
1 Year 6.30% 13.40% 5.90% 9.00%
2 Years 11.00% 20.50% 6.80% 12.80%
3 Years 15.80% 13.40% 11.10% 20.80%
5 Years 25.80% 26.40% 24.50% 29.60%
BIBLIOGRAPHY
 WWW.MYIRIS.COM
 WWW.RBI.COM
 WWW.MUTUALFUNDINDIA.COM
 WWW.MONEYCONTROL.COM