Motilal Oswal Mutual Fund has announced the launch of its new fund offer (NFO), Motilal Oswal BSE Clean Environment Index Fund, an open-ended fund replicating/ tracking BSE Clean Environment Index.
The new fund offer or NFO of the fund will open for subscription on June 5 and will close on June 19.
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The fund tracks the BSE Clean Environment Index, India’s first diversified index purpose-built around the clean economy. It provides investors with a single, passive vehicle to participate in five transformative themes; Renewables, Electric Vehicles, Water Treatment, Recycling, and Waste Management; all of which sit at the intersection of India’s energy transition, environmental commitments, and long-term economic growth.
The NFO aims to offer investors access to this structural transformation through a transparent, rules-based passive strategy. The BSE Clean Environment Index covers nearly 25 companies across the clean economy value chain, with Renewables comprising approximately 86% of the index weight and the remaining weight distributed across EVs, Water, Recycling, and Waste.
The minimum investment amount for lumpsum investment is Rs 500 and in multiples of Re 1 thereafter. An exit load of 1% will be applicable, if redeemed on or before 15 days from date of allotment; and nil thereafter.
The fund is suitable for investors seeking long-term capital appreciation through passive exposure to the clean environment theme in India.
“India spends $150 billion a year on oil and coal imports, and that capital is now shifting home, into solar, EVs, and clean infrastructure. Backed by strong government policy, this is one of the biggest economic opportunities of the decade. The Motilal Oswal BSE Clean Environment Index Fund offers investors a simple, low-cost opportunity to participate in this transformation and build a stake in India’s sustainable future,” said Pratik Oswal, Chief of Passive Business, Motilal Oswal Asset Management Company.
The fund will be managed by Swapnil Mayekar and Dishant Mehta (Associate Fund Manager) for the Equity Component and by Rakesh Shetty for the Debt Component.
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