Bangalore: Tata Mutual Fund has launched a new fund named Tata Fixed Maturity Plan Series - 37 Scheme A. This is a close-ended debt scheme with the duration of 369 days from the date of allotment. The New Fund Offer (NFO) for the scheme costs 10 per unit. The subscription date of the new issue will be 12 September and closes on 20 September 2011. With this the scheme aims to generate income and capital appreciation by investing in wide range of debt and money market instruments having maturity in line with the maturity of the scheme. The scheme offers growth option and periodic dividend option (payout). The scheme plans to allocate 100% of assets in debt and money market instruments with low to medium risk profile. Not more than 25% of the net assets of the scheme shall be deployed in securities lending. The scheme would limit its exposure, with regards to securities lending, for a single intermediary, to the extent of 5% of the total net assets of the scheme at the time of lending. Also, the scheme will have maximum derivative gross notional position of 50% of the net assets of the scheme. Investment in derivative instrument may be done for hedging and portfolio balancing. The minimum application amount is Rs 10,000. The fund seeks to collect a minimum subscription amount of Rs 40 crore under the scheme during the NFO period. Entry and exit load charge for the scheme will be nil. Benchmark Index for the scheme is Crisil Short Term Bond Fund Index. The fund manager for the scheme will be Murthy Nagarajan.