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Nifty 50 Index mutual funds have a portfolio that matches the NIFTY 50 index of the market. In other words, the returns from these mutual funds match the benchmark returns. Also, nifty 50 index funds have low portfolio turnover, broad market exposure, and low expense ratio.  Furthermore, the objective of Nifty 50 index funds is to replicate the portfolio of the benchmark, and hence these are also known as passive funds.

Best Nifty 50 Index Fund to Invest in 2022

Fund NameCategoryRisk Level3 Year CAGRAUM as on (31/1/2022)
UTI Nifty Index FundEquityVery High15.1%6134.46 Cr
HDFC Index Nifty 50 FundEquityVery High14.9%4627.51 Cr
IDBI Nifty Index FundEquityVery High14.1%212.68 Cr
Tata Index Fund NiftyEquityVery High14.6%232 Cr
Nippon India Index Fund Nifty PlanEquityVery High14%449.49 Cr

1. UTI Nifty Index Fund

UTI Nifty Index Fund is an open-ended mutual fund scheme. Therefore. this fund replicates and tracks the Nifty 50 Index in the same proportion as they exist in the Nifty 50 Index. Also, the scheme does not opt for exposure in any other active sector or stock that is different from the index. Moreover, the composition of the index comprises the largest companies across different sectors. 

Investment Objective: The investment objective of the fund is to invest in stocks of companies comprising the Nifty 50 Index. Also, it endeavours to achieve a return equivalent to the Nifty 50 Index by ‘passive’ investment. However, there can be no assurance or guarantee that the investment objective of the scheme will be achieved.

Investment details 

AUMRs. 6134.46 Cr
Minimum SIP AmountRs. 1000
Minimum Lump Sum amountRs. 5000
NAV (as on 14/3/2022)Rs. 112.43

Should You Invest in UTI Nifty Index Fund?

The UTI Nifty Index Fund is suitable for investors with an investment horizon of a minimum of 5 years. Hence, an investor who is looking for market exposure in the equity asset class at a relatively cheaper cost should consider investing in this scheme. Also, the fund aims to achieve its objective by investing in stocks of companies comprising the Nifty 50 Index by adopting the passive investment strategy. Furthermore, the fund provides capital appreciation and wealth creation over the long term.

2. HDFC Index Nifty 50 Fund

HDFC Index Nifty 50 Fund is an open-ended index mutual fund scheme. This index mutual fund scheme replicates the Nifty 50 Index. It replicates by investing in the stocks of companies in the same proportion that is listed under the Nifty 50 Index.  Also, this fund is not biassed towards any specific sector or industry that’s different from the chosen index. Furthermore, the index’s composition comprises companies across different sectors, market capitalization, and growth potential. 

Investment Objective

The investment objective of the Scheme is to generate returns that are also in line with the performance of the NIFTY 50 Index, subject to tracking errors. However, there is no assurance that the investment objective of the scheme will be realised.

Investment details 

AUMRs. 4627.51 Cr
Minimum SIP amountRs. 1000
Minimum Lump Sum amountRs. 5000
NAV (as on 14/3/2022)Rs. 155.62

Should You Invest in HDFC Index Nifty 50 Fund?

HDFC Index Nifty 50 Fund is suitable for a long-term investment duration of a minimum of 5 years. Therefore, an investor who is looking for market exposure in the equity asset class at a relatively cheaper cost can consider investing in the scheme. Also, the fund aims to achieve its objective by investing in stocks of companies comprising the Nifty 50 Index by adopting a passive investment strategy. Furthermore, the fund provides inflation-beating growth over the long term. 

3. IDBI Nifty Index Fund

IDBI Nifty Index Fund is an open-ended index mutual fund scheme that replicates the Nifty 50 Index. It replicates by investing in the stocks of companies in the similar proportion that is listed under the Nifty 50 Index.  Also, this fund does not focus on any other sector or industry that is different from the chosen index. Furthermore, the index’s composition comprises top companies across different sectors and market capitalization.

Investment Objective

The investment objective of the Scheme is to generate returns that are in line with the performance of the NIFTY 50 Index, subject to tracking errors. Also, the scheme may invest in derivatives instruments such as Futures and Options linked to stocks comprising the Index or linked to the Nifty 50 Index. However, there is no assurance that the investment objective of the scheme will be realised.

Investment details 

AUMRs. 212.68 Cr
Minimum SIP amountRs. 1000
Minimum Lump Sum amountRs. 5000
NAV (as on 14/3/2022)Rs. 30.93

Should You Invest in IDBI Nifty Index Fund?

IDBI Nifty Index Fund is suitable for a long-term investment duration of a minimum of 5 years. Therefore, any investor who is looking for market exposure in the equity asset class at a relatively cheaper cost can consider investing in the scheme. Also, the fund aims to achieve its objective by investing in stocks and derivatives of companies comprising the Nifty 50 Index by adopting a passive investment strategy. Furthermore, the fund aims to provide capital appreciation and wealth creation in the long term. 

4. Tata Index Fund Nifty

Tata Index Fund Nifty is an open-ended mutual fund scheme reflecting the Nifty 50 Index. Therefore, this fund replicates and tracks the Nifty 50 Index in the same proportion as they exist in the Nifty 50 Index.  Also, this fund does not opt for any other active sector or stock that’s different from the chosen index. Furthermore, the index’s composition comprises the largest companies across different sectors, market capitalization, and growth potential. 

Investment Objective

The investment objective of the scheme is to reflect and also mirror the market returns with a minimum tracking error. However, this scheme does not assure or guarantee any returns.

Investment details 

AUMRs. 232 Cr
Minimum SIP amountRs. 1000
Minimum Lump Sum amountRs. 5000
NAV (as on 14/3/2022)Rs. 102.64

Should You Invest in Tata Index Fund Nifty?

Tata Index Fund Nifty is suitable for a long-term investment duration of a minimum of 5 years. Therefore, an investor who prefers to have market exposure in the equity asset class at a relatively cheaper cost can consider investing in the scheme. Also, the objective of the fund is to invest in stocks of companies comprising the Nifty 50 Index by adopting a passive investment strategy. Furthermore, the fund aims to deliver capital appreciation and wealth creation in the long term. 

5. Nippon India Index Fund Nifty Plan

Nippon India Index Fund Nifty Plan is an open-ended index mutual fund scheme that mirrors the Nifty 50 Index. Thus, the objective of the fund is to replicate and track the Nifty 50 Index in the same proportion as they exist in the chosen Index.  Also, this fund does not opt for any other active sector or stock that’s different from that particular index. Furthermore, the composition of the index comprises the largest companies across different sectors and market capitalization.

Investment Objective

The primary investment objective of the scheme is to replicate the composition of the Nifty 50, also with a view to generating returns that are commensurate with the performance of the Nifty 50, subject to tracking errors. However, this scheme does not assure or guarantee any returns.

Investment details 

AUM449.49 Cr
Minimum SIP amountRs. 1000
Minimum Lump Sum amountRs. 5000
NAV (as on 14/3/2022)28.06

Should You Invest in Nippon India Index Fund Nifty Plan?

Nippon India Index Fund Nifty Plan is suitable for a long-term investment duration of a minimum of 5 years. Therefore, an investor who prefers to have market exposure in the equity asset class at a relatively cheaper cost can consider investing in the scheme. Also, the investment objective of the fund is to invest in stocks of companies comprising the Nifty 50 Index by adopting a passive investment strategy. Furthermore, the fund aims to deliver inflation-beating returns in the long term.

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