UTI Equity Savings Fund is an equity savings mutual fund scheme which invests in a hybrid portfolio of equity and debt securities with some exposure in arbitrage. The fund was launched in August 2018

As of April 30, 2022, the fund has Assets Under Management (AUM) of Rs. 251 crores with an expense ratio of 1.53% for Regular Plans and 0.70% for Direct Plans. This equity savings mutual funds have an exit load of 1% if the investments are redeemed before 12 months. However, 10% of the units can be redeemed without exit load.

The primary investment objective of this equity savings scheme is to provide investors with capital appreciation and regular income using arbitrage opportunities in equity and debt investments. The fund aims to deliver relatively stable returns with lower volatility and is suitable for investors with limited equity exposure and a conservative risk appetite.

The equity investments have a multi-cap approach with a large-cap bias, while the debt portion aims for quality credit with lower portfolio duration.

Invest in UTI Equity Savings Fund - Features and Benefits

• The fund diversifies across asset classes by investing across equity, debt, and arbitrage opportunities. It aims to invest at least 65% in equities (including arbitrage) and 10% in debt.
• One can conveniently invest in UTI Equity Savings Fund through the UTI Mutual Fund website and mobile app.
• Investment can be made in a lump sum or through Systematic Investment Plans (SIPs).
• Invest for an amount as low as Rs. 5,000 for the Growth option and Income Distribution cum Capital Withdrawal (ICDW) option.
• The gains from UTI Equity Savings Fund carry a special tax rate of 15% for Short-Term Capital Gains (STCG) and 10% for Long-Term Capital Gains (LTCG). Additionally, in aggregate, LTCG up to Rs. 1 lakh a year from equity shares and equity funds is exempt.

Investors are advised to consult their investment or tax advisor before making an investment