UTI Mutual Fund has launched a new index fund, UTI Nifty 500 Value 50 Index Fund, that seeks to track the Nifty 500 Value 50 Index closely and aims to achieve returns of the index, subject to tracking errors.
The New Fund Offer (NFO) period for the UTI Nifty 500 Value 50 Index Fund is from 26th April 2023 to 8th May 2023. The scheme re-opens for continuous repurchase and sale from 12th May 2023.
Investment Objective: To provide returns that, before expenses, correspond to the total return 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 Nifty 500 Value 50 Index Fund
|Fund Name||UTI Nifty 500 Value 50 Index Fund|
|NFO Opening Date||26th April 2023|
|NFO Closing Date||8th May 2023|
|Re-open Date||12th May 2023|
|Type of Fund||Index Fund|
|Fund Manager||Mr Sharwan Kumar Goyal|
|Minimum Investment Amount||INR 5,000|
|Minimum Additional Purchase Amount||INR 1,000|
|Suitability||Very High Risk|
|Benchmark||Nifty 500 Value 50 TRI|
|Plans and Options||Direct and Regular PlanGrowth and Income Distribution cum Capital Withdrawal (IDCW) Option|
- All additional investment amounts should be multiple of INR 1/-
- Minimum SIP/SWP/STP for monthly frequency is INR 500/-
Who Can Invest in UTI Nifty 500 Value 50 Index Fund NFO?
UTI Nifty 500 Value 50 Index Fund is an index fund that invests in companies that form part of the Nifty 500 Value 50 index. The index comprises 50 companies from the Nifty 500 index. The stocks are selected based on their ‘value scores’. The value score for every company is established by taking into account its Earnings to Price ratio (E/P), Book Value to Price ratio (B/P), Sales to Price ratio (S/P), and Dividend Yield. To determine the weight of each stock in the index, a combination of the stock’s composite value score and its free float market capitalization is considered.
Therefore, investors seeking exposure to an equity scheme and having high-risk tolerance levels can consider investing in the scheme. Also, investors must be well aware of the associated risks. This index fund requires a minimum investment horizon of 5 years or more.
Mr Sharwan Kumar Goyal
Mr Sharwan Goyal is Fund Manager and Head of the Passive, Arbitrage and Quant strategies at UTI AMC. He has more than 16 years of experience in Risk Management, Equity Research, Portfolio Analysis and Fund Management at the fund house. He holds the CFA Charter from CFA Institute, USA and also holds a Masters in Management Studies (MMS) from Welingkar Institute of Management, Mumbai.
Popular Funds by UTI Mutual Fund
- UTI Nifty 50 Index Fund
- UTI Equity Savings Fund
- UTI Flexi Cap Fund
- UTI Value Opportunities Fund
- UTI Hybrid Equity Fund
|Types of Instruments||Minimum Allocation||Maximum Allocation||Risk Profile|
|Securities covered by Nifty 500 Value 50 Index||95%||100%||Medium to High|
|Debt / Money Market instruments including Triparty Repo on Government Securities or treasury bill and units of Liquid Mutual Fund||0%||5%||Low|
Other Index Mutual Funds
- SBI Nifty Smallcap 250 Index Fund
- Navi Nifty 50 Index Fund
- Aditya Birla Sun Life Nifty 50 Equal Weight Index Fund
- ICICI Prudential Nifty Midcap 150 Index Fund
Frequently Asked Questions
You can invest in the UTI Nifty 500 Value 50 Index Fund through any of the following methods:
Offline: By filling out the UTI NFO application and submitting it along with all documents and cheques to the nearest Investor Service Centre of CAMS or UTI mutual fund office.
UTI Mutual Fund Website
Online FinTech platforms and mutual fund platforms
Through Demat account
Through a mutual fund distributor or agent
Yes, it is a very high-risk investment based on the riskometer. UTI Nifty 500 Value 50 Index Fund is an index fund that closely tracks the Nifty 500 Value 50 Index. The Value 50 index comprises 50 companies from the Nifty 500 index. The stocks are selected based on their ‘value scores’ which are determined based on the Earnings to Price ratio (E/P), Book Value to Price ratio (B/P), Sales to Price ratio (S/P), and Dividend Yield.
No, the UTI Nifty 500 Value 50 Index Fund has no lock-in period.
The UTI Nifty 500 Value 50 Index Fund scheme re-opens for ongoing subscriptions, switches and redemptions from 12th May 2023.