New Fund Offers (NFOs) provide an opportunity for mutual fund houses to introduce fresh schemes, allowing investors early access to potential returns. In May 2025, three NFOs are opening across equity, debt, and hybrid categories. Here’s an overview:
| Fund Name | Initial Investment (₹) | NFO Start Date | NFO End Date |
| Tata Income Plus Arbitrage Active FOF | 5,000 | May 05, 2025 | May 19, 2025 |
| Angel One Nifty 50 ETF | 1,000 | May 05, 2025 | May 19, 2025 |
| ICICI Pru Quality Fund | 5,000 | May 06, 2025 | May 20, 2025 |
| Canara Robeco Multi Asset Allocation Fund | 5,000 | May 09, 2025 | May 23, 2025 |
This equity diversified fund seeks to generate long-term capital appreciation by investing in equity and equity-related securities of high-quality companies identified using a quality factor framework. While there’s no guarantee of returns, the focus is on strong business fundamentals and sustainable earnings.
Angel One Nifty 50 ETF aims to replicate the performance of the Nifty 50 TRI Index, which represents India’s top 50 large-cap companies across 15 sectors. It offers investors a simple, transparent, and low-cost way to gain exposure to a diversified basket of blue-chip Indian equities.
Asset Class: Equity
Category: Exchange-Traded Fund (ETF) – Large-Cap
Scheme Type: Growth
Minimum Investment: ₹1,000; Additional: ₹1
Aimed at long-term capital growth, this scheme invests in domestic mutual funds, primarily debt-oriented and arbitrage equity schemes. It provides diversification within mutual funds and flexibility across asset classes.
This hybrid scheme invests across equity, debt, and commodities like gold and silver ETFs. It aims to generate long-term capital appreciation through diversification across asset classes.
New Fund Offers (NFOs) give investors the chance to purchase mutual fund units at an initial price before the Net Asset Value (NAV) fluctuates.
They provide early access to potentially high-performing funds and exposure to emerging sectors, strategies, or asset classes with significant growth potential.
However, before investing in an NFO, it’s crucial for investors to assess key factors to ensure the investment aligns with their financial goals.
Read More: Key Financial Changes from May 1: ATM Rules, Algo Trading, Cab Fares and More.
Ensure the NFO aligns with your financial objectives, whether it’s capital appreciation, income generation, or capital preservation. Choosing the right fund based on your goal is essential.
Understand the risk involved. Equity-based NFOs generally carry higher risk compared to debt-based ones. Assess your risk tolerance before investing.
The expense ratio reflects the cost of managing the fund. A lower expense ratio can lead to better long-term returns. Compare the ratios of similar funds before investing.
The expertise of the fund manager plays a key role in a fund’s performance. Research the manager’s track record to gauge how effectively they navigate market fluctuations and generate returns.
Consider your investment horizon. Long-term investors may benefit from higher returns, while short-term investors should carefully assess liquidity and associated risks.
While NFOs don’t have historical performance records, reviewing similar funds in the same category can help set realistic expectations regarding potential returns and risks.
The month of May 2025 presents investors with diverse NFO options across equity, debt, and hybrid categories. Whether you’re looking for long-term capital appreciation through quality equity stocks, diversified exposure via fund-of-funds, or balanced allocation across multiple asset classes, these NFOs offer something for every investment profile.
However, before committing funds, it’s essential to assess your financial goals, risk tolerance, and investment horizon.
Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.
Mutual Fund investments are subject to market risks, read all scheme-related documents carefully.
Published on: Apr 30, 2025, 2:23 PM IST
Neha Dubey
Neha Dubey is a Content Analyst with 3 years of experience in financial journalism, having written for a leading newswire agency and multiple newspapers. At Angel One, she creates daily content on finance and the economy. Neha holds a degree in Economics and a Master’s in Journalism.
Know MoreWe're Live on WhatsApp! Join our channel for market insights & updates
Get the link to download the App
