Before we begin about ICICI Prudential Nifty50 Equal Weight Index Fund, do you know about a general Nifty
50 Index Fund?
Such an index allocates investment to equity shares of the top 50 companies listed on NSE based on their
market capitalization. i.e.
it allocates more money in the securities of companies with higher market
capitalization and lesser in companies with lower market capitalization.
Now, what if there’s a scheme that avoids this market capitalization bias and gives same weightage to
every company within the index?
Introducing, ICICI Prudential Nifty50 Equal Weight Index Fund, an open ended Index scheme replicating
Nifty50 Equal Weight Index.
Want to know more? Keep reading!
• NIFTY50 Equal Weight Index represents an alternative weighting strategy to its market capitalization
based parent index,
which is the NIFTY 50 Index. This index includes the same companies as its parent
index, however, weighted equally.
Therefore, in this scheme the performance of all the securities that form a part of the parent index
(NIFTY 50 Index)
are measured and each company in the index are assigned equal weights at the time of
review.
• The index is rebalanced on a quarterly basis, i.e. the weightage of the securities is set equally on
every rebalancing date.
• The index is reconstituted on a quarterly basis, i.e. there might be inclusions and exclusions made
from the index based on the
market conditions on every reconstituting date.
An Equal Weight Index has empirically higher dividend yield as compared to a Market Capitalization Weighted Index. Therefore, this scheme aims to offer better profits/returns.
By assigning equal weightage to all the securities in Index, this scheme gives exposure to the stocks of NIFTY 50 companies and thereby aims to offer diversification to your portfolio.
An Equal Market Weight Index has the tendency to outperform Market Capitalization Index when there is market rally. i.e. when the market substantially moves upwards during a specific period of time.
As an investor, if you aim to earn potential returns and meet your long-term goals, you may consider investing in this scheme!
| Scheme Name | ICICI Prudential Nifty50 Equal Weight Index Fund |
| NFO Period | 14th September 2022 – 28th September August 2022 |
| Plans/ Options | Plans: Regular & Direct Options: Growth & IDCW (IDCW Payout & IDCW Reinvestment) |
| Exit Load | Nil |
| Minimum Application Amount | DURING NEW FUND OFFER PERIOD/ DURING ONGOING OFFER PERIOD: Rs. 5000/- (plus in multiple of Re.1) |
| Minimum Additional Application Amount | Rs. 5000/- (plus in multiple of Re.1) |
| SIP Amount | DURING NEW FUND OFFER PERIOD/ DURING ONGOING OFFER PERIOD:· Daily, Weekly, Fortnightly, Monthly SIP: Rs. 1000/- (plus in multiple of Re. 1/-) Minimum installments: 6 Quarterly SIP: Rs. 5,000/- (plus in multiple of Re. 1/-) Minimum installments –4 The applicability of the minimum amount of installment mentioned is at the time of registration only |
| Benchmark | Nifty50 Equal Weight TRI |
| Fund Manager | Kayzad Eghlim and Nishit Patel |
| MICR Cheques, Transfer cheques & RTGS | MICR cheques, Transfer cheques and Real Time Gross Settlement (RTGS) requests will be
accepted till the end of business hours upto September 28, 2022. |
| Switches | Switch-in requests from equity and other schemes will be accepted up to September 28,
2022 till the cut-off
time applicable for switches. Switch-in request from ICICI Prudential Nasdaq 100 Index Fund, ICICI Prudential Strategic Metal and Energy Equity Fund of Fund, ICICI Prudential Passive Multi-Asset Fund of Funds, ICICI Prudential US Bluechip Equity Fund, ICICI Prudential Global Advantage Fund (FOF) and ICICI Prudential Global Stable Equity Fund (FOF) will not be accepted. |
For details of other schemes managed by the same fund managers, click here.
You can now read more about our ICICI Prudential Nifty50 Equal Weight Index Fund – Presentation
Mutual Fund investments are subject to market risks, please read all scheme related documents carefully.
