JP Morgan Mutual Fund India Private, the trustee company of JP Morgan Mutual Fund in India, has launched a new closed ended income scheme that aims to generate income through money market instruments.

JP Morgan Mutual Fund India Private, the trustee company of JP Morgan Mutual Fund in India, has launched a new closed ended income scheme that aims to generate income through money market instruments. 

The JP Morgan India Fixed Maturity Plan - Series 302 is a three-year scheme that will focus on debt securites and money market products, as well as government of India securities maturing on or before the pre-determined maturity date of the scheme. 

The three-year lock is necessary to leverage existing rates with good quality portfolios, said JP Morgan Mutual Fund India Private in a statement. 

"Long-term bonds are available at higher spreads where an ideal lock in period is for the next three to five years. Needless to say, investors have turned risk averse with increasing equity market volatility." 

The fund is open for subscription from 29 August to 12 September 2012.