BSE has notified members that UTI Mutual Fund will merge its UTI NIFTY SDL PLUS AAA PSU BOND APR 2026 75:25 INDEX FUND (Transferor Scheme) into UTI FLOATER FUND (Transferee Scheme). The merger becomes effective on April 30, 2026, after close of business hours. Investors unwilling to continue under the merged scheme are given a 30-day exit window without any exit load.

Key Points

• The Transferor Scheme is UTI NIFTY SDL PLUS AAA PSU BOND APR 2026 75:25 INDEX FUND; the Transferee Scheme is UTI FLOATER FUND.
• Merger effective date: April 30, 2026 (after close of business hours).
• Investors may redeem or switch to other UTI Mutual Fund schemes without exit load from April 1 to April 30, 2026 (both days inclusive) via BSE StAR MF Platform.
• Fresh subscriptions (lump sum, additional investments, Switch-in, AMC STP-in, SIP/XSIP) continue to be accepted in the Transferor Scheme during the exit load period.
• Existing SIP/XSIP/STP-In and SWP-In registrations under the Transferor Scheme will be automatically migrated to the corresponding Plan/Option of the Transferee Scheme after close of business on April 30, 2026.
• The Transferor Scheme will cease all transactions on the BSE StAR MF platform after close of business on April 30, 2026.

Regulatory Changes

No new regulatory framework is introduced. The merger is executed under existing SEBI guidelines for mutual fund scheme mergers, with UTI AMC issuing a Notice-cum-Addendum. BSE is acting as the exchange communication channel for its registered members on the StAR MF platform.

Compliance Requirements

• BSE Members: Inform clients invested in the Transferor Scheme about the merger, exit window, and transaction deadlines.
• Investors (via Members): Those not in favour of the merger must redeem or switch out by April 30, 2026.
• Members should refer to the attached Annexure and Notice-cum-Addendum for full scheme-level plan/option mapping details.

Important Dates

Impact Assessment

The merger primarily impacts investors in the UTI NIFTY SDL PLUS AAA PSU BOND APR 2026 75:25 INDEX FUND, which is a target maturity index fund approaching its April 2026 maturity horizon. The fund is being absorbed into UTI FLOATER FUND, a different risk-return profile product. Investors who hold this fund for its defined maturity strategy should evaluate whether the Floater Fund aligns with their objectives and use the no-load exit window if not. For BSE StAR MF platform operations, members must ensure client communication and handle any redemption/switch requests within the stipulated timeline. Systematic registrations will migrate automatically, reducing manual intervention but requiring investor awareness of the change in underlying scheme.