Confirming the move, managing director of Canbank Investment Management Services K V Hegde explained that the board is likely to clear these schemes during the next board meeting scheduled for the first week of February. He further explained that unlike the previous schemes like Cancigo, these schemes would be NAV linked and 100 per cent debt oriented.

According to senior officials of the fund, the draft prospectuses for the two new schemes are already in place and would be forwarded to Sebi for its clearances after the board approval.

``Since these schemes would be linked to the debt market instruments like the money market liquid instruments, the investors would be able to encash their units even within 5-6 days,'' said Hegde.

Interestingly, the fund has always pegged its portfolio in favour of debt with theratio at 75:25 with equity held at a low of 25 per cent.

``This sort of a portfolio has enabled us give a stability to our schemes,'' added Hegde. During the second quarter of 1997, the fund further made a strategic move to sell off the dud non specified group stocks and concentrate their equity holding in bluechips.

Canbank has so far launched nineteen schemes and fully redeemed four of its schemes. In September 1998 the total corpus of the fund was Rs 1,483 crore, while the total net asset was Rs 1,654 crore. The fund has also planned to open the income schemes namely Cancigo and Cangilt for fresh subscription.

``We also have plans to convert one of out tax saving schemes to an open ended one which is in line with the recent policy changes announced by the Central board of direct taxes,'' said Hegde.

Further, an independent study conducted by Credence Research highlights that the NAV of Canpremium, the open ended scheme of Canbank Mutual fund, has been consistently higher over the two other schemesnamely Birla Income Plus A and Alliance Liquid Income. While the latest NAV of Canpremium was at a high of Rs 10.63, that of Birla Income and Alliance was pegged at Rs 9.78 and Rs 10.36 respectively.