UTI Nifty 50 Index Fund Crosses AUM of ₹20,000 Crore – Investment of ₹1 Lakh Grows to ₹17.09 Lakh Since Inception

UTI Nifty 50 Index Fund Regular Plan Growth has achieved a significant milestone, crossing an Assets Under Management (AUM) of ₹20,082.94 crore as of November 2024. This milestone underscores investor confidence in passive investing and the fund’s ability to track the Nifty 50 Index effectively.

Investment Objective: Passive Growth Potential

The principal objective of the UTI Nifty 50 Index Fund is to replicate the performance of the Nifty 50 Index by investing in the stocks of companies comprising the index. It follows a passive investment approach, aiming to match the index’s returns with minimal tracking error. However, there is no guarantee that this objective will be achieved.

Performance Snapshot: Impressive Returns

• CAGR (5 years): 15.21%
• Inception Year: 2000
• Lump Sum Growth: ₹1,00,000 invested at inception has grown to ₹17,09,724.

Key Features: Low Costs and Flexibility

• Expense Ratio: 0.25% (one of the lowest in the category)
• Exit Load: 0.00%, making it a cost-effective option for long-term investors.
• Minimum Investment: ₹1,000
• Minimum SIP: ₹500

Portfolio Composition: Focused Holdings

• Number of Holdings: 50 (mirroring the Nifty 50 Index)
• Top 5 Holdings Allocation: 39.43%
• Top 10 Holdings Allocation: 57.51%
• Largest Holding: HDFC Bank (12.59%)

Sector Allocation: Financial Dominance

• Top 3 Sector Allocation: 59.58%
• Highest Sector Exposure: Financials (33.3%)

The fund’s exposure to well-established sectors ensures stability and growth potential.

Fund Management: Experienced Leadership

The fund is managed by a team of experienced professionals:

1. Sharwan Kumar Goyal (Since July 2018): B.Com, CFA, MMS with 15 years of experience in risk and fund management.
2. Ayush Jain (Since 2022): B.Com, C.A, CFA (Level 1), with prior experience in portfolio management services.

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. Please consult an expert before making related decisions.