NFO Alert: Nippon India Mutual Fund Introduces New Index Funds
Nippon India Mutual Fund has launched two new index funds: the first is Nippon India Nifty Auto Index Fund, and the second is Nippon India Nifty Realty Index Fund.
This scheme is open for subscription from November 14, 2024, and will be closed on November 28, 2024. This scheme will reopen for repurchase and continuous subscription on December 10, 2024.
The minimum application fee for these two schemes will be Rs. 1,000, and in multiples of Re. 1 thereafter, these two schemes will be managed by Himanshu Mange, Fund Manager at Nippon India Mutual Fund.
Both schemes are designed for those investors who are looking for long-term appreciation by investing in equity and equity-related securities. They mainly focus on portfolios that replicate the composition of the underlying index, with the potential for minor tracking errors.
Here these two schemes are described:
Nippon India Nifty Auto Index Fund
The Nippon India Nifty Auto Index Fund is an open-ended scheme; with this, we can track or replicate the performance of the Nifty Auto index.
This scheme primarily focuses on generating a return on investments that closely aligns with the total returns on securities represented by the Nifty Auto Index, before expenses, subject to tracking errors.
This scheme will be benchmarked against the Nifty Auto TRI. It will grant 95-100% of its assets to securities comprising the Nifty Auto Index, with 0-5% in cash, cash equivalents, money market instruments, or schemes predominantly investing in money market or liquid securities.
Nippon India Nifty Realty Index Fund
The Nippon India Nifty Realty Index Fund is an open-ended scheme that tracks the performance of the Nifty Reality index.
The scheme aims to deliver returns on investments that are aligned with the total returns of securities represented by the Nifty Realty Index, before expenses and subject to tracking errors.
The Nippon India Nifty Realty Index Fund is benchmarked against the Nifty Realty TRI and grants 95-100% of its assets to securities constituting the Nifty Realty Index. Additionally, 0-5% will be allocated to cash, cash equivalents, money market instruments, or schemes primarily investing in liquid schemes or money market securities.
