Baroda BNP Paribas Mutual Fund launches NIFTY SDL December 2026 Index Fund

Baroda BNP Paribas Mutual Fund has launched the Baroda BNP Paribas NIFTY SDL December 2026 Index Fund, an open-ended Target Maturity Index Fund tracking the NIFTY SDL December 2026 Index. The fund will be managed by Mayank Prakash and will be benchmarked against the NIFTY SDL December 2026 Index. The fund has no entry or exit load. The NFO is open and it will close for subscription on January 23.

The scheme will have two Plans: Regular and Direct. Each Plan offers growth option and income distribution cum capital withdrawal (IDCW) option. The maturity of the scheme will be December 31, 2026.

According to the press release, the fund will invest in a trio of fixed maturity, easy liquidity, and high-quality funds. It is suitable for investors who are looking to generate income, their investment horizon matches with the maturity date of the fund and have a moderate risk appetite.


‘’Following the rapid hike in policy rates over last year, fixed income funds now offer attractive opportunities for investors. After peaking at 7.8% in April-22, CPI inflation has fallen to lowest level in the last 12 months at 5.7% in Dec. This reduces pressure for further hike in interest rates. We particularly like 3–5-year SDLs, where yields have risen by nearly 175-200 bps over last year and the yield curve is virtually flat beyond this maturity, said Suresh Soni, CEO, Baroda BNP Paribas Mutual Fund.

“In addition to attractive coupon accrual, investors can potentially gain from bond price appreciation as well,” Suresh Soni added.