Baroda BNP Paribas The mutual fund has launched its new fund offer (NFO), Baroda BNP Paribas Nifty Midcap 150 Index Fund. This NFO is opening for subscription on 14 October 2024 and investments can be made till 28 October 2024. This passively managed, low cost equity fund offers investors the opportunity to invest in potentially high growth midcap stocks. This scheme provides investors with a better diversified portfolio across different sectors compared to the NSE Nifty 50 index. With this strategy, the risk associated with investing in a single sector is reduced.
This fund will work like this
Baroda BNP Paribas Nifty Midcap 150 Index Fund aims to track the performance of the Nifty Midcap 150 Total Return Index, which comprises midcap companies that have the potential to move into the large cap category in future. By investing in this fund, investors can gain exposure to sectors like capital goods, chemicals, real estate and textiles, which are either under-represented in the Nifty 50 index or are not present in the index at all.
Even better option for SIP
This fund is also a better option to start a Systematic Investment Plan (SIP). In the last 15 years, the value of a monthly SIP of Rs 10,000 in Nifty Midcap 150 TRI has now grown to more than Rs 1 crore, showing the potential for wealth creation through regular investments. Investors looking for diversification, exposure to emerging growth sectors and high return potential over the long term can consider this fund.
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