Nippon India Index Fund-Nifty 50 Plan(Q-IDCW)

Ticker: mf15397
Decent 68/100

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Business Overview

The Nippon India Index Fund-Nifty 50 Plan (Q-IDCW) is a passively managed mutual fund that aims to replicate the performance of the Nifty 50 index. Ideal for investors seeking long-term capital appreciation with a diversified portfolio, this fund is suitable for both new and seasoned investors looking for a low-cost entry into the Indian equity market. It matters because it provides exposure to India's top 50 companies, ensuring a balanced investment approach.

  • Passively managed for consistent performance
  • Replicates the Nifty 50 index
  • Ideal for long-term capital growth
  • Diversifies investment across top companies
  • Low-cost entry into equity markets

Investment Thesis

Nippon India Index Fund-Nifty 50 Plan(Q-IDCW) stands out due to its robust promoter credibility, significant growth potential in digital services, and attractive valuations compared to peers. This fund offers a solid opportunity for investors seeking exposure to India's leading companies with a diversified approach.

  • Backed by Nippon Life, a trusted global financial institution.
  • Digital services sector poised for exponential growth, enhancing fund performance.
  • Valuations remain competitive against other index funds, offering value.
  • Diversified exposure to top 50 Indian companies mitigates risk.
  • Ideal for long-term investors looking for stable returns.

Opportunity vs Risk

Opportunities
  • Strong historical performance
  • Diversified exposure to Nifty 50
  • Low expense ratio
  • Growing retail investment in equity
  • Potential for long-term capital gains
Risks ⚠️
  • Market volatility impacts returns
  • Economic downturns affect performance
  • Regulatory changes may affect funds
  • Lack of active management
  • Concentration in top Nifty stocks

Peer Perspective

Nippon India Index Fund-Nifty 50 Plan trades at a slight premium compared to peers like SBI Nifty Index Fund and ICICI Prudential Nifty Index Fund. A rerating could occur with sustained growth in underlying Nifty constituents.
📊 Stock Investment Checklist (100 Points)
Nippon India Index Fund-Nifty 50 Plan(Q-IDCW) • Updated: 2025-10-01 16:20:16
  • 10
    Business
    High
    The fund invests in a diversified index, but the sector is competitive.
  • 10
    Growth
    High
    Consistent revenue growth aligned with Nifty 50 performance.
  • 10
    Profitability
    High
    ROE and OCF are stable, but net profit margins vary.
  • 8
    Valuation
    High
    P/E and P/B ratios are in line with market averages.
  • 7
    Balance
    High
    Debt levels are manageable, with good liquidity.
  • 6
    Governance
    Good
    Promoter holding is strong, but some disclosures could improve.
  • 5
    Drivers
    Good
    Growth drivers are present, but execution risks exist.
  • 5
    Technicals
    Good
    Market sentiment is neutral, with moderate liquidity.
Final Score & Verdict
Score 68 / 100 • Decent
The Nippon India Index Fund-Nifty 50 Plan shows decent potential with stable growth and manageable risks, making it a reasonable investment choice for those looking at index funds.