I have invested in UTI Regular Savings Fund- (segregated) regular growth plan. Now the NAV is less than Rs 2. Is this a loss? Will it change in future? What should I do?
UTI Regular Savings Fund Segregated Portfolio is related to Vodafone Idea investment. The segregated portfolio is due to side pocketing done by UTI AMC last year after downgrading of Vodafone Idea’s debt instruments. You have to hold on to these units as you will not be able to redeem it at the moment. Whenever the money is recovered from Vodafone Idea in the segregated portfolio, it will be distributed to you and other investors in proportion to your holding. Unfortunately, you will have to wait and watch as AMCs are following the necessary process at their end to recover the money.
— Meenakumari Sadasivam
Harshad Chetanwala, Co-Founder of MyWealthGrowth a mutual fund advisory firm, based out of Mumbai responds:
UTI Regular Savings Fund Segregated Portfolio is related to Vodafone Idea investment. The segregated portfolio is due to side pocketing done by UTI AMC last year after downgrading of Vodafone Idea’s debt instruments. You have to hold on to these units as you will not be able to redeem it at the moment. Whenever the money is recovered from Vodafone Idea in the segregated portfolio, it will be distributed to you and other investors in proportion to your holding. Unfortunately, you will have to wait and watch as AMCs are following the necessary process at their end to recover the money.
