Nippon India Mutual Fund, one of the top five fund houses in India, is all set to launch two new fund schemes that are expected to create a buzz in the market. The fund house has recently announced the launch of NFOs (New Fund Offerings) for Nifty 500 Low Volatility 50 index and Nifty 500 Quality 50 index. This move by Nippon India MF is seen as a strategic step towards expanding its product portfolio and catering to the diverse investment needs of its investors.
The Nifty 500 Low Volatility 50 index and Nifty 500 Quality 50 index are two of the most sought-after indices in the Indian stock market. These indices are designed to provide investors with a well-diversified portfolio of high-quality stocks, with a focus on low volatility and strong fundamentals. By launching NFOs for these indices, Nippon India MF aims to tap into the growing demand for low-risk and high-quality investment options among retail and institutional investors.
The Nifty 500 Low Volatility 50 index comprises the top 50 companies from the Nifty 500 index that have exhibited the lowest volatility in the past one year. This index is ideal for investors who are looking for stable returns over a longer period of time. On the other hand, the Nifty 500 Quality 50 index includes the top 50 companies from the Nifty 500 index that have a strong track record of profitability, efficient use of capital, and stable earnings growth. This index is suitable for investors who are seeking a balance of growth and stability in their investment portfolio.
The NFOs for these two indices will be open for subscription from [Date] to [Date]. The minimum investment amount for both schemes is Rs. 5,000, with an additional option of a systematic investment plan (SIP). The fund house has also announced a special offer of 2.5% discount on the NFO price for all applications received during the initial offer period.
Mr. Aashish Somaiyaa, MD and CEO of Nippon India MF, stated, “We are excited to introduce these two new funds to our investors. The Nifty 500 Low Volatility 50 index and Nifty 500 Quality 50 index have shown strong performance in the past and we believe they have the potential to deliver stable and consistent returns in the future as well. These funds will provide an opportunity for investors to diversify their portfolio and mitigate risk while also benefiting from the growth potential of high-quality companies.”
The launch of these NFOs by Nippon India MF comes at a time when the Indian stock market is witnessing high volatility due to the ongoing pandemic and global economic uncertainty. With the Nifty 500 Low Volatility 50 index and Nifty 500 Quality 50 index, investors can gain exposure to a well-diversified basket of stocks with a focus on quality and stability. This can help investors to navigate through the current market conditions and potentially earn attractive returns in the long run.
Moreover, these NFOs are also in line with the government’s recent initiatives to promote low-risk and high-quality investments in the country. By investing in these funds, investors can contribute towards building a stronger and more resilient economy.
In conclusion, the launch of NFOs for Nifty 500 Low Volatility 50 index and Nifty 500 Quality 50 index by Nippon India MF is a positive development for the Indian mutual fund industry. These funds offer a unique opportunity for investors to diversify their portfolio and potentially earn stable and consistent returns. With the backing of a reputed and trusted fund house like Nippon India MF, these NFOs are expected to attract a lot of interest from investors. It is indeed a great opportunity for investors to be a part of these NFOs and take a step towards building a strong and profitable investment portfolio.
