Description
BSE notifies members of the merger of Edelweiss NIFTY PSU Bond Plus SDL Apr 2026 50:50 Index Fund (Transferor) with Edelweiss Banking and PSU Debt Fund (Transferee), effective April 30, 2026. Investors have an exit window until April 27, 2026, and existing SIP/XSIP/STP registrations will be cancelled.
Summary
BSE has informed members of the merger of Edelweiss NIFTY PSU Bond Plus SDL Apr 2026 50:50 Index Fund (Transferor Scheme) into Edelweiss Banking and PSU Debt Fund (Transferee Scheme), as communicated by Edelweiss Mutual Fund. The merger becomes effective on April 30, 2026, after close of business hours. Investors unwilling to participate in the merger have an exit window through April 27, 2026, without exit load. All existing SIP/XSIP/STP registrations in the Transferor Scheme will be cancelled and will not be migrated to the Transferee Scheme.
Key Points
- Merger effective date: April 30, 2026 (after close of business hours)
- Exit window for dissenting investors: March 27, 2026 to April 27, 2026 (both days inclusive), without exit load
- Redemptions, switches, and fresh subscriptions (lump sum, SIP, XSIP, STP-in, Switch-in) continue to be accepted during the exit load period
- Demat and Non-Demat transactions on BSE StAR MF Platform accepted up to April 27, 2026, till 3:00 PM
- All transactions in the Transferor Scheme cease after close of business hours on April 27, 2026
- Existing SIP/XSIP/STP In/ASTP/SWP In registrations under the Transferor Scheme will not be migrated and will be cancelled by the Exchange
Regulatory Changes
This is a scheme merger under SEBI mutual fund regulations. The Transferor Scheme (Edelweiss NIFTY PSU Bond Plus SDL Apr 2026 50:50 Index Fund) will cease to exist post-merger, with all assets being transferred to the Transferee Scheme (Edelweiss Banking and PSU Debt Fund). The merger follows the Notice-cum-Addendum issued by Edelweiss AMC.
Compliance Requirements
- BSE Members: Must inform their clients/investors about the merger, exit window, and transaction deadlines on the BSE StAR MF Platform
- Investors: Must redeem or switch out of the Transferor Scheme by April 27, 2026 (3:00 PM) if they do not wish to participate in the merger
- Members: Must cancel and re-register any SIP/XSIP/STP/ASTP/SWP mandates under the Transferee Scheme if investors wish to continue such registrations post-merger
- Refer to the attached Annexure and Notice-cum-Addendum for complete merger details
Important Dates
| Date | Event |
|---|---|
| March 27, 2026 | Exit window opens (no exit load) |
| April 27, 2026 (3:00 PM) | Last date/time for Demat and Non-Demat transactions on BSE StAR MF Platform |
| April 27, 2026 (Close of Business) | Transferor Scheme ceases for all transaction execution on BSE StAR MF |
| April 30, 2026 (Close of Business) | Merger effective date |
Impact Assessment
This merger has a high impact on existing investors and BSE members dealing in Edelweiss mutual fund schemes on the BSE StAR MF Platform:
- Investors holding units in the Transferor Scheme will be automatically transitioned to the Transferee Scheme unless they redeem/switch before April 27, 2026
- SIP/XSIP/STP/ASTP/SWP registrations will be cancelled without migration, requiring investors to create new mandates in the Transferee Scheme if they wish to continue systematic investments
- The shift from a 50:50 PSU Bond + SDL Index Fund (passive) to Banking and PSU Debt Fund (active/different mandate) represents a change in investment strategy and risk profile for investors
- Members need to proactively communicate these changes to their clients to avoid disruption of ongoing investment plans
Impact Justification
Scheme merger directly affects existing investors with mandatory exit window, SIP/XSIP/STP cancellations, and a hard deadline for transactions on BSE StAR MF platform. Immediate action required by investors and members.