Publish Date:
Nippon India Mutual Fund has Introduced a new scheme – Nippon India Nifty G-Sec Sep 2027 Maturity Index Fund
It is an open-ended equity scheme replicating Nifty G-Sec Sep 2027 Maturity Index Fund.
Accordingly, the investment objective of the scheme is to provide investment returns corresponding to the total returns of the securities as represented by the Nifty G-Sec Sep 2027 Index before expenses, subject to tracking errors. However, there can be no assurance or guarantee that the investment objective of the Scheme will be achieved.
Under normal circumstances, Nippon India Nifty G-Sec Sep 2027 Maturity Index Fund will hold an allocation of 95% to 100% of its assets in Government Securities representing the G-Sec portion of Nifty G-Sec Sep 2027 Index and 0% to 5% in Money Market instruments & Cash and Cash Equivalents.
As per the Scheme Information Document, Nippon India Nifty G-Sec Sep 2027 Maturity Index Fund will employ an investment approach designed to track the performance of Nifty G-Sec Sep 2027 Index.
The Scheme will follow Buy and Hold investment strategy in which existing G-Secs will be held till maturity unless sold for meeting redemptions requirement. During normal circumstances, the Scheme’s exposure to money market instruments will be in line with the asset allocation table. However, in case of maturity of G-Secs in the Scheme portfolio, the reinvestment will be in line with the index methodology.
Nippon India Nifty G-Sec Sep 2027 Maturity Index Fund’s performance will be benchmarked against Nifty G-Sec Sep 2027 Index.
The scheme will be managed by Mr Vivek Sharma and Mr Siddharth Deb
The NFO opens for subscription on November 21, 2022 and closes on November 30, 2022. The scheme will reopen for continuous sale and repurchase on or before December 12, 2022.
The fund’s NAV is priced at Rs 10/- per unit during the NFO period. The minimum subscription amount is Rs 1,000 and in multiples of any amount thereafter.
The scheme offers Regular Plan and Direct Plan each plan offers Growth and Income Distribution cum capital withdrawal option (IDCW) option.