HDFC Asset Management Company, has announced launch of New Fund Offer – HDFC NIFTY Next 50 Index Fund (“the Fund”), for investors looking for returns that are commensurate with the performance of NIFTY Next 50 Index, subject to tracking error. NIFTY Next 50 Index represents 50 companies from NIFTY 100 after excluding the constituents of NIFTY 50 Index.
HDFC NIFTY Next 50 Fund is suitable for investors looking for simple yet cost effective way of investing in ‘Next Top 50’ companies on the listed universe of NSE. HDFC NIFTY Next 50 Index Fund is an open-ended scheme replicating/ tracking NIFTY Next 50 Index (TRI). TheNIFTY Next 50 Index is more diversified with top 3 sectors’ weightpegged at 58% as compared to 67% for NIFTY 50, and thereby may offer better risk adjusted returns in long term. Commenting onHDFC NIFTY Next 50 Index Fund, Navneet Munot, MD & CEO, HDFC AMC said, “Launch of HDFC NIFTY Next 50 Index Fund is a part of our endeavor to expand our product bouquet in the passive space. HDFC AMC has been one of the oldest players in the passive strategies with proven capability.”