Zerodha files with Sebi to launch two MF schemes

Mumbai: Zerodha MF, which got a regulatory approval last month to start a fund management business, has filed papers with markets regulator Sebi to launch two passive mutual fund schemes.One scheme is a regular index fund that would be based on the Nifty large midcap 250 benchmark, while the other would be a tax-saver fund based on the same index. Christened Zerodha Tax Saver (ELSS) Nifty Large Midcap 250 Index Fund, it would offer people the option to invest up to Rs 1.5 lakh per annum to save taxes.Zerodha MF belongs to the group that runs the largest broking house in India in terms of retail customers and daily turnover. It is the pioneer of discount broking in India. The fund house plans to launch only passive schemes. Sebi has been working to change the rules for tech-driven fund houses that want to launch only passive funds. The thinking within the regulatory body is that most of the rules relating to assets management business in India are aimed at active fund management. However, of late, low-cost, passive funds in India have been mobilising large sums of money.
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