Navi Nifty 500 Multicap 50:25:25 Index Fund NFO review

Navi Nifty 500 Multicap 50:25:25 Index Fund NFO review

Published: 22nd July 2024

By: Value Research

NFO date

Navi Mutual Fund launched its latest NFO (new fund offer) – the Navi Nifty 500 Multicap 50:25:25 Index Fund. It opened for subscription on July 18, 2024, and will remain open until July 31, 2024.

What makes it unique?

Though there are currently 25 multi-cap funds in the market, Navi’s multi-cap offering is unique because it is India’s first multi-cap index fund.

Tax treatment

If units are sold within a year, capital gains will be taxed at 15 per cent. If units are sold after one year, capital gains are taxed at 10 per cent. However, gains of up to Rs 1 lakh are tax-exempt.

About the fund managers

The new Navi fund will be overseen by two fund managers. Aditya Mulki previously worked as an equity research analyst at Quantum Advisors for six years. Ashutosh Shirwaikar also worked for Quantum for over six years.

Fund benchmark

The new fund will aim to replicate the Nifty 500 Multicap 50:25:25 Index. Meaning, this fund will invest in companies that are present in the Nifty 500 Multicap 50:25:25 Index.

How has the index fared against active funds?

When it comes to performance, the active multi-cap funds have outperformed the Nifty 500 Multicap 50:25:25 Index by 2% across YTD (so far in 2024) as well as one- and three-year periods (as of July 18, 2024). Further, actively managed funds outperformed the index in 28 out of 42 months since January 2021.

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Should you consider investing in Navi’s multi-cap NFO?

To find out, we suggest clicking the link below.