Edelweiss MF Launches Open-ended Equity Scheme

Edelweiss Mutual Fund on Tuesday launched an open-ended equity scheme.

The fund - Edelweiss Arbitrage Fund - will open for subscription on June 12 and close on June 20, 2014.

It seeks to generate income by predominantly investing in arbitrage opportunities in the cash and derivative segments of the equity markets as well as the arbitrage opportunities available within the derivative segment and invest the balance in debt and money market instruments, the company said in a statement.

"As a group, we are known for our expertise in the field of arbitrage," Edelweiss MF chief executive Vikaas M Sachdeva said.

"Hence, it was only logical and timely for us to launch this fund at this time when there is immense positivity in sentiment."

He said the new fund is more tax-efficient than liquid and debt schemes, adding that the fund expects to garner sound interest from investors.