The fund tracks the Nifty LargeMidcap 250 Index, which provides diversified exposure across 100 large-cap companies and 150 mid-cap companies, the fund house said.
As of November 2024, the fund has an asset under management (AUM) of ₹677.23 crore. It holds key companies like HDFC Bank, ICICI Bank, Reliance Industries, Infosys, and ITC.
By equally allocating funds between large-cap and mid-cap companies, the strategy aims to balance risk and return over the long term, with mid-caps offering higher growth potential but also more volatility.
Despite the positive performance, investors should be cautious.
The fund carries a very high-risk rating, making it suitable mainly for those with a long-term investment horizon and a higher risk tolerance.
Market fluctuations, especially in mid-cap stocks, could result in significant volatility.
Additionally, while the fund’s minimal expense ratio of 0.26% and no exit load make it cost-effective, past performance is not indicative of future returns, and the risk of loss remains.
With a tracking error of 0.04%, the fund closely mirrors its benchmark index.
The fund is accessible with a low minimum investment of ₹100, making it suitable for small investors.
However, potential investors should consider their risk profile and investment goals before committing to this high-risk option.
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