India: MIP options in the market.

TWO mutual funds are in the market now with Monthly Income Plans.

They are Kothari Pioneer and Unit Trust of India. Investors also have the option of choosing existing open-end MIPs available from Alliance, Templeton, Reliance and Sun F&C, among others. While the UTI is launching the latest in the series of MIPs, Kothari Pioneer Mutual Fund is entering the fray for the first time.

Kothari Pioneer is launching its Monthly Income Plan, an open-end scheme which would invest 90 per cent of the corpus in debt and the rest in equities. The equity exposure would be ramped up to 20 per cent at appropriate times. The fund would have an exit load of one per cent if …