Indiabulls Mutual Fund has introduced instant access facility in its Indiabulls Liquid Fund, which allows investors to redeem their investments instantly.

Investors in Indiabulls Liquid Fund will now have access to their funds through the day 365 days a year, said the fund house in a statement on Wednesday. Currently, this facility is available to individual investors and not to corporate and non-resident Indians, it added.

In April, SEBI allowed fund houses instant redemptions (through the online mode) of up to Rs 50,000 or 90 per cent of the folio value, whichever is lower, to resident individual investors in liquid schemes by applying the lower of the previous day's net asset value or prospective NAV. Instant redemption facility allows investors to get their money in their bank accounts within a few minutes.

Currently, Reliance Mutual Fund, DSP BlackRock Mutual Fund, Birla Sun Life Mutual Fund and SBI Mutual Fund offer instant redemption in their liquid funds.

Akshay Gupta, Group Executive Head & CEO, Indiabulls Asset Management Company, said investors holding money in bank accounts or fixed deposits for emergencies or unplanned exigencies can invest their money in the highly liquid and low-risk Indiabulls Liquid Fund and can have access to their funds whenever they need it.

With the launch of the Instant Access Facility, investors will not only have immediate access to their funds but also be able to earn more on their idle funds, he added.

The redemption happens through the IMPS system, which credits investors’ bank accounts within a few minutes of placing a valid redemption request, said Indiabulls Mutual Fund.

As on March 31, IBAMC manages 10 mutual fund schemes (Debt – 7; Equity – 3) with quarterly average assets under management of Rs 10,819 crore.