This new mutual fund scheme came to take advantage of ‘Make in India’ boom in manufacturing, know full details
Indian stock market The ups and downs continue in. US President Donald Trump’s tariff war has led to a decline in the Indian market. However, long -term investors do not matter. Due to this, thousands of crores of rupees are being invested every month in mutual funds through SIP. The mutual fund house is also bringing a new mutual fund scheme as per changing times. Now Nippon India Mutual Fund has launched a new fund offer (NFO) to take advantage of ‘Make in India’ boom in manufacturing. This new fund offer – Nippon India Nifty India Manufacturing ETF and Nippon India Nifty India Manufacturing Index Fund have been opened for investment. In this, investors will be able to invest by 20 August 2025.
Manufacturing sector speed speed up in India
This new fund has been brought at a time when the manufacturing sector in India is again catching up. The Government of India is promoting manufacturing under Make in India. At the same time, big companies like Apple are shifting their production to India. India is fast moving towards creating a global manufacturing hub. This speed can be seen clearly. According to an estimate, India will cross the $ 1 trillion mark in manufacturing next year. Currently manufacturing is 17% of India’s GDP and it is expected to grow further in the coming years. This new fund offer of Nippon will replace the Nifty India Manufacturing Index.
What kind of companies will invested money
This index will invest in stocks of companies like capital goods, autos, metals, healthcare, chemicals, etc. In this, companies of sectors have been selected which are associated with manufacturing, as fixed under the AMFI framework. Also, it has been followed by rules such as giving minimal share to main sectors such as auto and capital goods. It is invested in the top 300 companies selected from the universe of NIFTY 100, Nifty Midcap 150 and Nifty Smallcap 50, as India is entering a new era of growth on the basis of manufacturing, this fund is trying to capitalize on the strong economic condition of the country. India’s economy is expected to grow at a rate above 7%, which is supporting the Aadhaar of young population of 28.2 years and 68% working age.
FDI came fierce in manufacturing sector
Due to cheap pay structure, internationally competitive corporate tax rates and plans like PLI, speed power and Make in India, there are large -scale industrial investment due to strong policy support of the government. In the last 10 years, FDI has gained 69% in the manufacturing sector. Manufacturers from all over the world are now adopting China-Plus-One strategy and India seems to be taking great advantage of it. This has created long -term possibilities such as domestic demand, change in supply chain and premiumization in the consumer sector.
This fund is available in both ETF and Index Fund format. Investors get a chance to invest in low cost in the manufacturing sector’s diversified basket, which has complete transparency of the index and also rarely rare. The ETF provides an intrade liquidity i.e. procurement and sale at any time during the day, while systematic investment can be done through SIP through index funds.
Disclaimer: This article has been written only for the purpose of information. Before any type of investment or before taking financial risks, consult your financial advisor. India TV will not be responsible for any type of risk.
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