Tata Asset Management Company(AMC) launched six index funds on Monday (8 April) to give investors exposure to top-growth sectors in today’s environment, said Tata AMC in a statement.
Investors can subscribe to these schemes’ new fund offers (NFO) until April 22, 2024.
An investment of at least ₹5,000 is required during the NFO period.
These include Tata Nifty 500 Multicap 50:30:20 Infrastructure Index Fund, Tata Nifty MidSmall Healthcare Index Fund, Tata Nifty Realty Index Fund, Tata Nifty Financial Services Index Fund, Tata Nifty Auto Index Fund and Tata Nifty 500 Multicap Index Fund.
Anand Vardarajan, Chief Commercial Officer, Tata Asset Management, said: “There is a saying ‘put the record where it goes, not where it has been’. It is instructive for an investor to see where money is being spent. Mainly where the rich are spending today, the middle class can spend tomorrow. In this context, we have suggested six index funds that could play a role in India’s overall growth story.
“The decision to introduce these index funds is supported by rising income levels and attractive consumer trends. All index funds follow a precise methodology to ensure optimal performance and representation of each sector,” he added.
He also said the construction of the indices involve careful selection criteria, including market capitalisation, sectoral representation and periodic reviews.
Details of the six funds
Tata Nifty 500 Multicap 50:30:20 Infrastructure Index Fund – This scheme aims to replicate the Nifty 500 Multicap Infrastructure Index with a 50:30:20 allocation to large, mid and small cap companies. cap companies.
Tata Nifty MidSmall Healthcare Index Fund mirrors the Nifty MidSmall Healthcare Index by leveraging the favorable factors driving the healthcare industry, including strong margins, stable price pressures in international markets and growing consumer health awareness.
Tata Nifty Realty Index Fund has exposure to the real estate sector. This fund tracks the Nifty Realty Index and has the potential to benefit from factors such as rising demand for housing, fast sales velocity and a solid balance sheet. Implementation of RERA, said Tata AMC.
Tata Nifty Financial Services Index fund aims to track the NIFTY Financial Services Index (TRI) and provide investment in various financial services companies with growth potential.
Tata Nifty Auto Index fund seeks to track the Nifty Auto Index and is designed to reflect the behavior and performance of the automotive industry, which includes manufacturers of cars, motorcycles, heavy trucks and auto accessories.
