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UTI may advance NAV-based trading for US-64 by 2 months

The Unit Trust of India is likely to commence net asset value-based trading for units of its flagship US-64 scheme in November, two months before the set limit of January 2002.

"I have every intention to commence NAV-based trading a good two months before January 2002 and will disclose US-64's entire portfolio with the same, UTI chairman M Damodaran said at an investors' meet organised by Forum for Free Enterprise in Bombay on Monday.

On July 2, while announcing the limited repurchase window for the small investors of US-64, UTI had said that the pricing for the scheme would be made NAV-based on or before January 2002.

Damodaran said that investors used to administered price for sales and repurchases, cannot make sudden transition to NAV-based pricing and 'have to get used to such market-based pricing'.

India's largest fund manager would disclose the entire portfolio of US-64 along with the NAV-based trading, he said, adding that UTI would abide by guidelines set by the Securities and Exchange Board of India for frequency of disclosures.

On the raising the repurchase limit for limited window from 3,000 units, he said: "We are looking at such a proposal, but, average application size for repurchase was about 1,500 till date."

Since August 1, the day the special repurchase window opened, UTI has received applications aggregating Rs 630 million, Damodaran added.

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