Investment in MFs: 4 New Mutual Funds Launched this week for Investors giving new Investment Opportunities
Mutual funds have been considered a risk-free investment vehicle that offers diversification along with professional management, which reduces the risk involved with individual securities. By pooling money from various investors, mutual funds make it easier for people to invest in an array of stocks, bonds, and other securities. Four new mutual funds have already made their market debut this week and offer fresh opportunities for investors to diversify portfolios.
Here in this article, we will talk about these 4 mutual funds that debuted this week in the market. Let’s have a look at these funds.
SBI Nifty India Consumption Index Fund
The SBI Nifty India Consumption Index Fund is a new open-ended fund that will replicate the Nifty India Consumption Index. Subscriptions of this fund opened on October 16 and will close on October 25, 2024, with allotments scheduled for October 30, 2024. The fund will be allowed to be sold and repurchased continuously within five working days from the allotment date. The strategy is designed to generate returns comparable to that of the benchmark index, but the tracking error is set as the only restriction. Anyone can invest an amount of Rs.5,000 or more in one go and subsequent investments are permitted in Re 1 multiples. An exit load of 0.25% applies for redemptions within 15 days of allotment, with no charge thereafter.
Baroda BNP Paribas Nifty Midcap 150 Index Fund
The Baroda BNP Paribas Nifty Midcap 150 Index Fund is an open-ended index fund that will mirror the Nifty Midcap 150 Total Returns Index which will be tracking mid-cap companies. The new fund offer is now open for investors from October 14 and remain open till October 28, 2024. An investor can subscribe to this fund with a minimum amount of Rs.1,000. Further investment can be made in multiple units of this amount. Units redeemed before seven working days from the allotment date will attract an exit load of 0.2%. Any units redeemed after seven working days from the allotment date, no exit load will be charged.
Bandhan Nifty 500 Value 50 Index Fund
Bandhan Nifty 500 Value 50 Index Fund replicates the Nifty 500 Value 50 index and focuses on undervalued companies, hence offering better risk-adjusted returns. The subscription period of this open-ended fund started on 14th October and will end on 24th October 2024. The minimum investment is Rs.1,000. After 15 days, the exit load is 0.25% for redemptions; the rest is free.
Bandhan Nifty 500 Momentum 50 Index Fund
Bandhan Nifty 500 Momentum 50 Index Fund is a new fund, open for subscription for investors this week. This fund tracks the Nifty 500 Momentum 50 Index, which tracks the performance of 50 stocks selected for their momentum within the Nifty 500 index. The NFO was open on October 14 and will open till October 24, 2024. The investment in this fund is of a minimum Rs.1,000. An exit load of 0.25% is applicable for redemption within 15 days from allotment; nothing thereafter.
Conclusion
This new set of mutual funds offers a diversified investment approach tailored to different investor objectives and goals, including capturing market momentum and focusing on under-valued companies.
