SBI Retirement Benefit Fund NFO

SBI Mutual Fund has announced the launch of the SBI Retirement Benefit Fund. It is a retirement solution-oriented scheme. The scheme would be investing in equity securities and debt & money market instruments based on the sub-plan of the fund. The scheme has a lock-in period of 5 years or till retirement age, whichever is earlier.

The New Fund Offer (NFO) starts on 20th January 2021 and will end on 3rd February 2021.

Different plans available under the scheme are:

1. Aggressive Plan
2. Aggressive Hybrid Plan
3. Conservative Hybrid Plan
4. Conservative Plan

Features

• The Fund will be investing its assets in instruments in the equity and debt asset classes based on the different plans available under this scheme. Each scheme has a different asset allocation pattern & risk profile as per the investment objective of the scheme.
• The scheme also has the auto-transfer facility in which the invested assets will be automatically switched to other plans based on the age of the investor.
• The fund provides insurance benefits in SIPs with a tenure of 3 years or more. In case of the unfortunate event of death of the units holder, the nominee will get the death benefits as mentioned below:
• 20 times the monthly SIP installment in Year 1.
• 50 times the monthly SIP installment in Year 2.
• 100 times the monthly SIP installment in Year 3.
• 100 times the monthly SIP in Year 4 onwards.
• The fund also offers the facility to systematically withdraw the funds from the scheme on a quarterly basis. All the systematic withdrawals will be treated as redemption.

How to opt for the best suitable plan?

The suitability of the plan will depend upon the age, investment horizon, and risk capability of the investors.

SBI Retirement Benefit Fund offers two facilities to its investors which are:

1. My Choice: In this facility, the investor will choose one of the plans at the time of investment and that plan will continue even if the investor moves to the next age bracket or the risk appetite reduces. However, the investors always have the option to make switches anytime between these 4 plans as per their requirements. There are no fees or loads in case of such switches.
2. Auto Transfer: In the Auto transfer option, the plan will be selected automatically on the basis of the age of the investor. And during the period, when the investor moves to the next age bracket, then automatically a switch will be made to the corresponding low-risk plan in their age bracket.

The plans corresponding to different age brackets is presented as follows:

Asset Allocation Pattern-

About the scheme-

SIP Details