Axis AMC eyes Rs 100 cr from new Nifty midcap 50 index fund

Axis Mutual Fund has announced the launch of the Nifty Midcap 50 index fund and plans to mop up Rs 100 crore during the NFO period from the new open-ended scheme. The fund will open on March 10 and close on 21, the fund house said in a statement on Wednesday.

The fund will be managed by Jinesh Gopani, who heads equities at the AMC. It will track the Nifty midcap 50 index and hopes to garner Rs 100 crore during the offer period, Axis Mutual Fund chief business officer Raghav Iyenger told PTI. The Nifty midcap 50 index consists of the top 50 companies based on full market capitalisation with a preference on those stocks with derivative contracts are available on NSE. The index is rebalanced on a semi-annual basis (every March and September), using average data of the last six months.

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In case F&O stocks are not available for inclusion in the index, securities with the highest average daily turnover will be selected from the top 30 non-F&O constituents of the index, the fund house said. The fund presents a diversified portfolio for investors and focuses on sustainability, Chandresh Nigam, managing director and chief executive of Axis AMC, said. Midcaps are consistently outperforming, making them ideal for long-term wealth creation as they offer an attractive entry point for investors, he added.