Bangalore: Securities and Exchange Board of India (SEBI) on July 17 gave clearance to Alliance Capital Asset Management (India) Pvt Ltd (ACAM) to launch "Alliance Frontline Equity Fund", (AFEF) an open-end equity scheme.

The scheme will invest in frontline stocks of leading sectors. Frontline stocks are stocks, which in the opinion of the fund manager provide superior growth opportunities. The scheme will invest in leading sectors of BSE-200 - its chosen benchmark.

AFEF will invest mainly in the stock markets. Its primary investment objective is to generate long term growth of capital and the secondary objective is income generation and distribution of dividend. The scheme will have Growth and Dividend plans.

Speaking on the occasion Nikhil Johri, CEO, ACAM, "The new fund is aimed at offering a more diversified investment avenue among equity funds by ensuring exposure to leading sectors but simultaneously retaining the stock selection skills that ACAM is well known for."

Alliance Capital is a leading mutual fund in the Indian industry. It has over Rs 3,600 crores in assets under management (18/7/02) across its family of 12 schemes.