Sachin Bansal, Flipkart Co-Founder’s Navi MF Launches Lowest Cost Index Fund

• ByStartupStory     |    June 29, 2021

Flipkart Co-founder Sachin Bansal’s, Navi Mutual Fund launched Navi Nifty 50 Index Fund an open-ended equity scheme that would replicate the Nifty 50 Index, and the company claimed it as one with the lowest cost compared to any other index schemes in the passive funds category. The new fund offer opens on July 3, 2021, and close for subscriptions on July 12, 2021. A statement said, The investment objective of the scheme is to achieve returns equivalent to Nifty 50 Index by investing in stocks of companies comprising Nifty 50 Index, subject to tracking error. The fund proposed to charge a 0.06 percent expense ratio for its direct plan offering, which it claims is the lowest in the index schemes category.

Saurabh Jain, MD and CEO, Navi AMC Limited said, “All funds have professional portfolio managers. With an index fund, investors don’t need to pay more for getting the expertise to hand-pick stocks. Tbenefit to the investor is brought by lowering the expense ratio while still providing the same quality professional portfolio management through index funds. Working with our partners and leveraging our technology background, Navi has lowered the cost to 0.06 percent for the direct plan offering, which is the lowest in the index schemes category, as of today.”

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