Bandhan Nifty Total Market Index Fund - Direct Plan
An open-ended scheme tracking Nifty Total Market Index
What is a Nifty Total Market Index Fund?
A Nifty Total Market Index Fund is an index scheme that tracks the Nifty Total Market Index. This index tracks the performance of 750 stocks across large, mid, small, and microcap segments. All stocks that are a part of the Nifty 500 Index and Nifty Microcap 250 Index are a part of the Nifty Total Market Index. The weight of each stock is based on its free-float market capitalization.
According to the mandate, Bandhan Nifty Total Market Index Fund is mandated to invest at least 95% of its corpus in stocks and index derivatives of companies present in the Nifty Total Market Index. Up to 5% of the fund’s corpus can be invested in debt and money market instruments.
Nifty Total Market Index funds in India invest in all 750 stocks present in the market; as a result, investors may diversify their investments across companies belonging to different sectors and market caps. Nevertheless, majority of the fund’s corpus is invested in equities, reducing the potential benefits of diversification across asset classes.
A Nifty Total Market Index fund’s returns are dependent on the performance of the stocks in the index. As the fund invests predominantly in equities, it is a high-risk investment and may be subject to certain risks including market risk and liquidity risk. Additionally, index funds may be subject to tracking errors.
Taxes on Nifty Total Market Index funds are levied on capital gains and dividends. Capital gains tax is levied 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 investor and taxed based on the income tax slab.
- Min Investment 1,000
- Min SIP Amount 100
- Exit Load
• 0.25% if redeemed on or before 15 days from the allotment date.
• Nil if redeemed after 15 days from allotment date.
This scheme has not completed one year.
Tier 1 Benchmark : Nifty Total Market TRIAlternate Benchmark :
- Performance
- Portfolio
- Download
- Details
This fund is managed by Mr. Nemish Sheth (w.e.f 10/07/2024)
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 Total Market Index Fund
(Scheme Risk-o-meter)
Nifty Total Market 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 related instruments belonging to Nifty Total Market Index.
Who Should Invest in a Nifty Total Market Index Fund?
Bandhan Nifty Total Market Index fund is a very high-risk investment option as it invests predominantly in equities. The fund may be vulnerable to market volatility, liquidity risk, tracking errors, etc. In order to ride out volatility, investors may remain invested in this fund for a longer time. As a result, this fund may be suitable for investors with a high-risk appetite and long-term investment horizon.
Index funds are a passive investment scheme. They track an underlying market index and aim to replicate the returns. As a result, these schemes may potentially have a lower expense ratio. Investors seeking to passively track the Nifty Total Market Index may be suitable for this scheme. Moreover, investors seeking to invest in funds with a low expense ratio may potentially benefit from this investment.
Bandhan Nifty Total Market Index fund may be suitable for investors seeking portfolio diversification as it invests in 750 stocks across large cap, mid cap, small cap, and microcap segments. Investors may potentially gain the benefits of diversification across market capitalisation and sectors.
FAQs on Nifty Total Market Index Fund
What does a Nifty Total Market Index fund in India invest in?
Nifty Total Market Index funds in India invest in 750 stocks from large, mid, small, and microcap segments of the market. All stocks that are a part of the Nifty 500 Index and Nifty Microcap 250 Index are included in the Nifty Total Market Index.
Is Bandhan Nifty Total Market Index fund a safe investment?
Bandhan Nifty Total Market Index fund is categorised as a high-risk investment. This fund is mandated to invest at least 95% of its corpus in equities present in the Nifty Total Market Index, making it vulnerable to market volatility and other market risks. No mutual fund investment offers guaranteed returns. Investors must analyse the fund’s performance, their risk appetite and goals before investing.
Is Bandhan Nifty Total Market Index fund suitable for diversification?
Yes, Bandhan Nifty Total Market index fund may be suitable for investors seeking diversification in their portfolio. This scheme invests in equities of companies across large cap, mid cap, small cap, and micro cap segments. Thus, the fund’s corpus may be spread across market caps and sectors. However, investors seeking diversification across asset classes may not benefit from this scheme.
How to invest in Bandhan Nifty Total Market Index Fund?
To invest in Bandhan Nifty Total Market Index fund click the “Invest Now” button. Fill in the required information and complete the KYC.
Are there any lock-in periods for the Nifty Total Market Index Fund?
No, Bandhan Nifty Total Market Index Fund does not have any lock-in period.
Can I set up a systematic investment plan (SIP) for the Nifty Total Market Index Fund?
Yes, you can set up a SIP for Bandhan Nifty Total Market Index fund. The minimum SIP amount is ₹100.
What is the Nifty Total Return Index?
The Nifty Total Return Index (Nifty TRI) measures the performance of the Nifty index. It provides a comprehensive view of the overall return on investment in the index.