ICICI Prudential Mutual Fund has launched new fund offer (NFO) named 'ICICI Prudential Nifty 500 Index Fund', an open-ended index scheme replicating Nifty 500 Index, according to a statement today, December 6.

COMMERCIAL BREAK
SCROLL TO CONTINUE READING

"The NFO allows investors to participate in the growth story of India’s top 500 companies, representing nearly 94 per cent of the nation’s listed universe," the statement said.

ICICI Prudential Nifty 500 Index Fund: Subscription dates

The NFO will open on December 10, 2024, and will close on December 17, 2024.

What will be the minimum investment amount?

Investors can invest Rs 100 as minimum then in multiples of Rs 1.

"With the launch of the ICICI Prudential Nifty 500 Index Fund, we aim to provide investors with an opportunity to gain access to a well-diversified portfolio that mirrors the performance of the Indian equity market as a whole. This offering is designed to cater to those looking for a low-cost, passive investment strategy to participate in the long-term wealth creation potential of Indian equities," said Abhijit Shah, head of marketing, digital, and customer experience at ICICI Prudential AMC.

Here are some of the key features of this upcoming NFO

According to ICICI Prudential MF, investors should invest in Nifty 500 because:
- Broad Market Coverage: Access to the top 500 companies based on market capitalisation
- Robust Diversification: Offers robust sector-level diversification encompassing over 50 Industries.
- Dynamic Market Capital Exposure: Offers exposure to large, mid, and small-cap stocks, adapting to changing market trends.
- Cost-Efficiency: As a passive investment strategy, the scheme aims to deliver returns with minimal costs and tracking errors.
- Proxy to Indian Economy: Offers a broad coverage of 94 per cent of India’s listed universe

Early this week, State Bank of India (SBI) Mutual Fund has launched SBI Quant Fund, an open-ended equity scheme. The scheme aims to generate long-term capital appreciation by investing in equity and equity-related instruments selected based on an in-house quant model. However, there can be no assurance that the investment objective of the scheme will be realised. Read more