HDFC Mutual Fund launches Nifty500 Multicap 50:25:25 Index Fund

HDFC Mutual Fund announces the launch of the HDFC Nifty500 Multicap 50:25:25 Index Fund, a passively managed fund aimed at tracking the Nifty500 Multicap 50:25:25 Total Returns Index.

The new fund offer or NFO of the scheme will open for subscription on August 6 and will close on August 20.

The scheme could be suitable for investors seeking long-term wealth creation from the growth potential of NIFTY 500 stocks, but with a differentiated weightage method.


It will be managed by Nirman Morakhia and Arun Agarwal. The minimum investment amount will be Rs 100 during both the NFO period and the continuous offer period. The scheme will be benchmarked against Nifty500 Multicap 50:25:25 Index.

It will be suitable for investors who are seeking returns that are commensurate (before fees and expenses) with the performance of the Nifty500 Multicap 50:25:25 Index TRI over long-term, subject to tracking error and want investment in equity securities covered by Nifty500 Multicap 50:25:25 Index (TRI). The principal invested in the scheme will be at “very high” risk according to the riskometer of the scheme.

“At HDFC Mutual Fund, our mission to be the wealth creator for every Indian continues to drive us to offer a wide range of investment solutions to meet the needs of investors. We remain committed to delivering excellence in Index Solutions, leveraging our 20+ years of expertise in this space. This scheme enables investors to participate in India's growth story comprehensively by offering exposure to Nifty 500 stocks with an allocation of 50% to largecaps, 25% to midcaps, and 25% to smallcaps. This differentiated approach aims to harness the stability of established companies while tapping into the growth potential of emerging ones,” said Navneet Munot, Managing Director and Chief Executive Officer, HDFC Mutual Fund.