Description
Canara Robeco Mutual Fund reduces minimum application amounts for Large Cap Fund from Rs. 5,000 to Rs. 100 effective July 28, 2025.
Summary
Canara Robeco Mutual Fund has announced substantial reductions in minimum application amounts for its Large Cap Fund (formerly Blue Chip Equity Fund). The minimum lump sum investment has been reduced from Rs. 5,000 to Rs. 100, and similar reductions apply to STP, SWP, additional purchases, and redemptions, effective July 28, 2025.
Key Points
- Minimum lump sum investment reduced from Rs. 5,000 to Rs. 100
- Additional purchase amount reduced from Rs. 1,000 to Rs. 100
- Minimum redemption/switch-out amount reduced from Rs. 1,000 to Rs. 100
- STP minimum reduced from Rs. 1,000-2,000 to Rs. 100 across all frequencies
- SWP minimum standardized to Rs. 100 for all frequencies (monthly/quarterly/annual)
- Changes apply to Canara Robeco Large Cap Fund only
Regulatory Changes
This is a scheme-specific operational change rather than a regulatory mandate. The fund house has voluntarily reduced minimum investment thresholds to enhance retail investor accessibility.
Compliance Requirements
- Fund distributors and platforms must update their systems to reflect new minimum amounts
- Existing investors can benefit from lower top-up and withdrawal thresholds
- BSE StAR MF platform will implement these changes from the effective date
Important Dates
- Effective Date: July 28, 2025
- Notice issued: July 28, 2025
Impact Assessment
This change significantly lowers the barrier to entry for retail investors, making mutual fund investments more accessible. The 95% reduction in minimum investment amounts (from Rs. 5,000 to Rs. 100) is particularly beneficial for small investors and those starting their investment journey. The standardization of STP and SWP minimums across different frequencies also simplifies the investment process.
Impact Justification
Significant reduction in minimum investment amounts will improve retail investor accessibility to mutual fund schemes