Description

Edelweiss Asset Management Limited has approved fundamental attribute changes to the Edelweiss Income Plus Arbitrage Active Fund of Funds, effective March 16, 2026, including a scheme name change.

Summary

Edelweiss Asset Management Limited, Investment Manager to Edelweiss Mutual Fund, along with Edelweiss Trusteeship Company Limited, has approved changes to the features of the Edelweiss Income Plus Arbitrage Active Fund of Funds. These changes, effective March 16, 2026, include a scheme name change and are classified as Fundamental Attribute Changes (FAC) under Regulation 18(15A) of the SEBI (Mutual Funds) Regulations, 1996.

Key Points

  • The scheme affected is Edelweiss Income Plus Arbitrage Active Fund of Funds
  • Changes are classified as Fundamental Attribute Changes (FAC) under SEBI MF Regulations
  • Effective date of changes: March 16, 2026
  • Changes include modifications to scheme features including instrument type and exposure percentages
  • Tri-party Repo allocations are part of the revised scheme features
  • The notice is issued as a Notice cum Addendum to the Scheme Information Document (SID) and Key Information Memorandum (KIM)

Regulatory Changes

The proposed changes are governed by Regulation 18(15A) of the SEBI (Mutual Funds) Regulations, 1996, which mandates a formal process for changes in fundamental attributes of a mutual fund scheme. This includes investor notification and a mandatory exit window for unit holders who do not wish to continue under the revised scheme features.

Compliance Requirements

  • Edelweiss Asset Management Limited must implement the formal process for change in fundamental attributes as prescribed by SEBI
  • Unit holders must be notified of the changes through this Notice cum Addendum
  • Unit holders who object to the changes are entitled to exit (redemption) without exit load during the notice period
  • The changes must be reflected on the BSE StAR MF Platform effective March 16, 2026

Important Dates

  • Notice Date: March 13, 2026
  • Effective Date of Changes: March 16, 2026

Impact Assessment

Unit holders of Edelweiss Income Plus Arbitrage Active Fund of Funds are directly impacted by this fundamental attribute change. As per SEBI regulations, existing investors have the right to exit the scheme without any exit load during the notice period if they do not agree with the revised features. The scheme name change and revised asset allocation (including Tri-party Repo exposure) may alter the risk-return profile of the fund. Investors should review the updated SID and KIM to assess alignment with their investment objectives. The change is operational in nature for BSE StAR MF Platform participants, who will need to update scheme references accordingly.

Impact Justification

Fundamental attribute change under SEBI MF Regulations affecting existing unit holders of Edelweiss Income Plus Arbitrage Active Fund of Funds; requires investor notification and exit option but limited to a specific scheme.