Chola Midcap Fund to declare 10 % maiden dividend

Mumbai: Chola MF to declare maiden dividend of 10 per cent (Re1 per unit on the face value of Rs10) under Chola Midcap Fund. The fund units were allotted on 9th August, 2004. The record date for tax free dividend is 24th November, 2004. Investors whose names appear in the register of unit holders as on 24 November, 2004 would be eligible for the dividend. The net asset value of the fund as on 10th November, 2004 stood at Rs12.36 per unit.

According Sashi Krishnan, chief executive, Chola Mutal Fund, "Investments in mid-caps should be done with a long term investment horizon. We are bullish on midcap stocks and that investors will be able to derive maximum value from such an investment if they stay invested over the long term. As per the study conducted by Chola AMC of the current top 50 stocks by market cap, about 20 of them were mid-cap stock a few years back, he added.

Chola Midcap Fund is an open ended equity scheme with the objective of generating capital appreciation by investing primarily in midcap stocks that have a market capitalization between Rs 300 crore to Rs 3000 cr.

The fund offers dividend & growth options. The minimum application amount is Rs 5000/- under both the options.