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Bandhan Nifty Midcap 150 Index Fund - Direct Plan

An open-ended scheme tracking Nifty Midcap150 Index

ETF/IndexInception Date:19/09/2024
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What Is a Nifty Midcap 150 Index Fund?

Bandhan Nifty Midcap 150 index fund is an open-ended index scheme that tracks and replicates the Nifty Midcap 150 index. This index encompasses the stocks from 150 midcap companies in India. These companies are identified based on their market capitalisation; mid-cap companies have a market capitalisation between ₹5,000 crore and ₹20,000 crore.

According to the mandate, Nifty Midcap 150 index funds are mandated to invest a minimum of 95% in stocks and index derivatives of companies present in the Nifty Midcap 150 index. Up to 5% of the fund may be invested in debt and money market instruments. This fund allows investors to potentially benefit from the performance of companies in the Nifty Midcap 150 index.

Bandhan Nifty Midcap 150 Index fund may invest in companies across different sectors, allowing investors to diversify their investment portfolio. However, as this fund invests primarily in equities of midcap companies, it is not diversified across market capitalisation or asset classes.

Nifty Midcap 150 index mutual funds are mandated to invest in stocks of companies present in the index. The scheme aims to track the index and replicate its returns. While the fund may be subject to certain risks such as tracking errors and market risks, it has several potential benefits. Nifty Midcap 150 Index Funds may be relatively less vulnerable to biases. Moreover, midcap companies may have greater growth potential as compared to large-cap companies but may have lower risk than small cap companies. As a result, the potential Nifty midcap 150 index fund’s returns may be beneficial for investors in the long run.

Taxes on Nifty Midcap 150 index funds are levied on capital gains and dividends. Capital gains tax may vary based on the holding period. Units held for less than 1 year are taxed at 15%. Gains over ₹1,00,000 held for over a year are taxed as LTCG at 10%. Dividends earned from this index fund are included in the income of the investors and taxed based on the income tax slab.

  • Min Investment 1,000
  • Min SIP Amount 100
  • Exit Load
    0.25%

    0.25% if redeemed on or before 15 days from the allotment date. 
    Nil if redeemed after 15 days from allotment date.

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This scheme has not completed one year.

NAV 9.5684 as on 20/12/20241 Day Change: -0.24(-2.45%)

Tier 1 Benchmark : Nifty Midcap 150 TRIAlternate Benchmark :

This is a new scheme and required performance data is not yet available.

This fund is managed by Mr. Nemish Sheth (w.e.f 19/09/2024)

View fund performance of other funds managed by Mr. Nemish Sheth

Past performance may or may not be sustained in future.
Regular and Direct Plans have different expense structure. Direct Plan shall have a lower expense ratio excluding distribution expenses, commission expenses etc.

Taxation:

For taxation, please refer the link :  https://bit.ly/46xQzi1

Bandhan Nifty Midcap 150 Index Fund

(Scheme Risk-o-meter)

Investors understand that their principal will be at Very High Risk.

Nifty Midcap 150 TRI

(Tier 1 Benchmark Risk-o-meter)

The scheme is suitable for investors who are seeking
1. To create wealth over a long term
2.  Investment in equity and equity

Who Should Invest in a Nifty Midcap 150 Index Fund?

As index funds follow a passive investment strategy by tracking a particular market index they generally have a lower expense ratio. Consequently, investors seeking to passively track the Nifty Midcap 150 Index and benefit from a lower expense ratio may be suitable for this scheme.

Bandhan Nifty Midcap 150 Index Fund invests primarily in stocks and index derivatives of mid-cap companies. Stocks of these companies may be vulnerable to market volatility and fluctuations, consequently making this a very high-risk investment. Investors with a high-risk tolerance and long-term investment horizon may potentially benefit from investing in this scheme.

Nifty Midcap 150 index mutual funds aim to potentially create wealth in the long term. Midcap companies generally have greater potential to grow; however, they may be vulnerable to market volatility. By staying invested in them for a longer time, investors may potentially ride out volatility.

FAQs on Nifty Midcap 150 Index Fund

What does a Nifty Midcap 150 Index Fund invest in?

A Nifty Midcap 150 Index Fund is mandated to invest at least 95% of its corpus in stocks and index derivatives of companies present in the Nifty Midcap 150 index. The fund may invest 5% of its corpus in debt and money market instruments.

What is the eligibility criteria for Nifty Midcap 150 index?

The companies present in the Nifty Midcap 150 index are mid-cap companies. These companies have a market capitalisation between ₹5,000 crore and ₹20,000 crore and are ranked from 101-250 on the NSE.

Are Nifty Midcap 150 Index mutual funds risky investments?

Yes, Nifty Midcap 150 Index funds are a very high-risk investment as they primarily invest in stocks of midcap companies. These stocks may be vulnerable to market volatility and fluctuations. Moreover, as an index fund, this scheme may be subject to tracking errors.

Are Nifty Midcap 150 index mutual fund’s returns high?

Nifty Midcap 150 index funds aim to potentially create wealth in the long-run. Midcap companies may have greater growth potential as compared to large-cap companies, however, they may be affected by market fluctuations. Returns on mutual funds can never be guaranteed, all mutual fund investments are subject to market risk.

Is Bandhan Nifty Midcap 150 index fund suitable for diversification?

Bandhan Nifty Midcap 150 index fund invests in companies present in the underlying index. This may allow investors to diversify their portfolios across sectors. However, all stocks in this index are midcap; investors cannot gain the potential benefits of diversification across market capitalisation.

How to invest in Bandhan Nifty Midcap 150 Index Fund?

To invest in Bandhan Nifty Midcap 150 Index fund click the “Invest Now” button. Fill in the required information and complete the KYC.

*Investors should consult their financial advisers if in doubt about whether the product is suitable for them.