NFO Alert: HDFC Nifty LargeMidcap 250 Index Fund:The country’s retail investors are always looking for new opportunities to invest in the equity market. HDFC Mutual Fund’s new fund offer (NFO) is promising to provide one such new opportunity. HDFC Nifty Large Midcap 250 Index Fund is an open-ended equity scheme that tracks the Nifty LargeMidcap 250 Index. This fund gives investors an opportunity to invest in shares of large and midcap companies related to India’s growth story. We will talk later on which investors this fund can be the right choice, but first let’s see the main points of this NFO.
Highlights of HDFC MF’s new NFO
- Name of the Fund:HDFC Nifty LargeMidcap 250 Index Fund
- Category: Equity – Index
- Benchmarks: Nifty LargeMidcap 250 Index (TRI)
- Opening date: September 20, 2024
- Closing Date: October 4, 2024
- Minimum Investment : Rs 100
- Risk Level: Very High
- Fund Manager: Nirmaan Morakhia and Arun Agarwal
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Objective of HDFC MF NFO
HDFC Nifty Large Midcap 250 Index Fund aims to track the performance of the Nifty LargeMidcap 250 Index, offering investors a balanced portfolio of large and midcap companies. The index will include the top 100 largecap and 150 midcap companies listed on the NSE. By investing in both large and midcap companies, this fund will provide investors with a balance of stability and growth. This index fund covers 250 leading Indian companies from various sectors, allowing investors to participate in all parts of the Indian economy and benefit from the country’s economic growth.
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Why can you invest in this fund
1.Diversification: Through this fund, investors can invest in 250 large and midcap companies, which not only helps in reducing the risk but also provides an opportunity for growth.
2.Broad Market Representation: By investing in HDFC Nifty Large Midcap 250 Index Fund, investors can take exposure to all the major and emerging sectors of the Indian economy.
3.Cost Efficiency: This is an index fund, due to which its expense ratio is expected to be quite low. Due to which investing in it will be economical for investors compared to other actively managed funds.
4. Ease of Investment: Being an index fund, it is easy to invest in this scheme and track its performance. It does not require frequent monitoring or active management.
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Who should invest in this fundInvestment,
Investors who:
- Want long term growth on your investment and for this are interested in making balanced investments in large and midcap companies.
- This is the right option for investors who rely on low-cost passive investment strategies that do not require active involvement of a fund manager.
- Investors who wish to invest in a diversified portfolio that benefits from both the stability of large-cap companies and the growth of mid-cap companies.
Also read: SBI Contra Fund gave more than 32% annual return in 5 years, how is the portfolio, for whom is this scheme right?
Take the decision keeping the risk in mind
HDFC Nifty LargeMidcap 250 Index Fund can be a good option for those investors who want to take advantage of India’s growth story. Due to investment in a balanced portfolio of large and midcap companies, this scheme can give good returns in the long term. But it should not be forgotten that this fund has been placed in the very high risk category. Therefore, only those investors should invest in it who are willing to take this risk for long-term growth. That is, before investing in this fund, investors should keep in mind their financial goals as well as their risk tolerance.
(Disclaimer: The purpose of this article is only to provide information, not to recommend investment in any scheme. Take any investment decision only after getting complete information about the scheme and taking the advice of your investment advisor.)
