Publish Date:
UTI Mutual Fund has launched an open-ended equity index scheme - UTI Nifty200 Momentum 30 Index Fund, that will be replicating/tracking Nifty200 Momentum 30 Index.
Notably, UTI Nifty200 Momentum 30 Index Fund is the first index fund in India that will mirror the Nifty200 Momentum 30 Index. The Nifty200 Momentum 30 Index aims to track the performance of 30 high momentum stocks across large and mid-cap stocks. The Momentum Score for each stock is based on recent 6-month and 12-month price return, adjusted for volatility. Stock weights are based on a combination of the stock’s Normalised Momentum Score and its free-float market capitalization.
The investment objective of the scheme is to provide returns that, before expenses, closely correspond to the total returns of the securities as represented by the underlying index, subject to tracking error. However, there is no guarantee or assurance that the investment objective of the scheme will be achieved.
UTI Nifty200 Momentum 30 Index Fund is mandated to invest 95% to 100% of its total assets in Securities covered by Nifty200 Momentum 30 Index. The scheme may also hold 0% to 5% of its assets in Debt/ Money Market instruments including Triparty Repo and units of Liquid Mutual Fund.
UTI Nifty200 Momentum 30 Index Fund is a low-cost index Fund that will passively track the Nifty200 Momentum 30 Index. The scheme endeavors to achieve return equivalent to underlying index while minimizing tracking error.
UTI Nifty200 Momentum 30 Index Fund’s performance will be benchmarked against Nifty200 Momentum 30 Index TRI (Total Return Index).
The fund will be managed by Mr Sharwan Kumar Goyal.
The NFO opens for subscription on February 18, 2021 and closes on March 04, 2021. The scheme will reopen for continuous sale and repurchase on or March 12, 2021.
The minimum subscription amount is Rs 5,000 and in multiples of Re 1 thereafter.
The scheme offers Regular Plan and Direct Plan having only Growth Option.