SBI Mutual Fund is introducing a new investment option called the SBI Nifty200 Quality 30 Index Fund. This open-ended scheme seeks to replicate the performance of the Nifty 200 Quality 30 Index. Investors can sign up for the New Fund Offer (NFO) between May 16 and 29, 2025.
This NFO gives investors a chance to put their money into 30 top companies picked from the Nifty200 index. The companies selected take return on equity, debt, and earnings growth over the last five years into account. To make sure that no one stock dominates, its weight in the index will never go over 5%.
The main aim is for the returns on this fund to be similar to those on the Nifty200 Quality 30 Index, but with some possibilities of small tracking differences, according to SBI Mutual Fund. And, it helps remind investors that reaching the fund’s objectives is not always possible.
Over 95 percent of the scheme’s money will be put into stocks from the Nifty200 Quality 30 Index. Investing no more than 5% of the portfolio in government bonds, treasury bills, triparty repos, or liquid mutual fund shares is part of setting a safe strategy.
Investors must first put in Rs 5,000 to start investing in this NFO. Afterward, you can invest more money by contributing Rs 1000 at a time. Using a SIP, you can invest in small amounts every day, week, month, quarter, semiannually, or annually.