UTI MF launches Nifty50 Equal Weight and S&P BSE Housing index funds — NFOs open till June 5

The minimum application amount is Rs 5,000 and in multiples of Re 1 thereafter.

The net assets of the scheme will be invested in stocks constituting the underlying index. This would be done by investing in the stocks comprising the index. The scheme shall endeavour to maintain the same weightage they represent in the index or investing in derivatives on the said index. The scheme may take an exposure to equity derivatives of constituents of the underlying index for short duration when securities of the index are unavailable, insufficient or for rebalancing at the time of change in index or in case of corporate actions or for hedging purposes, as permitted subject to rebalancing within 7 days, the fund house said.

It will also invest in money market instruments rated not below investment grade and derivatives traded on recognized stock exchanges. It can also invest in units of liquid mutual fund. Pending deployment of funds, in short term deposits with scheduled commercial banks are also allowed.

Sharwan Kumar Goyal is the dedicated Fund Manager of UTI Nifty50 Equal Weight Index Fund.

This is an open-ended scheme replicating/tracking S&P BSE Housing TRI. The scheme offers following regular and direct plans. Both the plans offer only growth option. Ordinarily no IDCW will be made under this option. All income generated and profits booked will be ploughed back and returns will be reflected through the NAV in growth option, the fund house said.

Direct Plan is only for investors who purchase/subscribe units directly with the fund and is not available for investors who route their investments through a distributor. The direct plan will be a separate plan under the scheme and shall have a lower expense ratio excluding distribution expenses, commission etc. and will have a separate NAV, the fund house added.