A passive fund aims to mirror the performance of a specific index like the Nifty or Sensex Top 50. Investors have until May 16 to subscribe to the Angel One Nifty 50 Index Fund and Angel One Nifty 50 ETF.
Subscribers will get exposure to 50 blue-chip companies through the schemes. These companies include big names in 15 sectors such as healthcare, automobile, financial services, telecom and oil & gas. Both NFOs eliminate the need for active fund manager selection and stock picking.
Features of Angel One’s NFOs
The NFOs offer several investor-friendly features such as zero entry or exit load. Investors need to pay a minimum application amount of ₹1,000. After that, they can invest in multiples of ₹1.
The Angel One Nifty 50 ETF will be listed on the National Stock Exchange (NSE). The principal invested in both schemes has been classified as “very high risk.”
The Angel One Nifty 50 Index Fund offers flexible systematic investment plan (SIP) options with daily, weekly, fortnightly, monthly and quarterly. The minimum investment amount starts from ₹250 for daily, and ₹3,000 for quarterly. This provides subscribers with a wide range of options to choose from according to their financial goals.
According to the scheme information document (SID), the Angel One Nifty 50 Index Fund aims to replicate the Nifty 50 Index and provide returns, before expenses, that closely mirror the total return of the Nifty 50 Index.
Hemen Bhatia, Chief Executive Officer and Executive Director, Angel One Asset Management Company Limited, highlighted the benefits of the NFOs in a press release. “There are various ways to participate in large-cap equities by directly investing in stocks or through the mutual fund route, via active or passive schemes. If an investor wants to take exposure to the large-cap segment, then investing in an Index Fund or ETF tracking the Nifty 50 Index is a logical choice as it eliminates non-systemic risks such as stock selection and human discretion,” he stated.
Mehul Dama and Kewal Shah are the fund managers of both schemes.
(Edited by : Poonam Behura)
