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Tata Mutual Fund launches Tata Nifty India Tourism Index Fund
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3 min read | Updated on July 08, 2024, 19:47 IST
SUMMARY
Tata Mutual Fund has just introduced India’s first tourist index fund named Tata Nifty India Tourism Index Fund and it is an open-ended fund to copy the performance of Nifty India Tourism Index (TRI). Some important features include a minimum investment of ₹5,000, an exit load of 0.25% and the date for closure of the new fund offer is July 19, 2024.
Tata Mutual Fund launches Tata Nifty India Tourism Index Fund
Tata Nifty India Tourism Index Fund is an open-ended index fund launched by Tata Mutual Fund. The scheme will provide returns that mimic the performance of the Nifty India Tourism Index (TRI), subject to tracking error. There is no guarantee that the scheme will achieve its objective and it does not assure any returns.
- Minimum investment amount: ₹5,000
- New fund offers closure date: July 19, 2024
- Exit load: 0.25% of the applicable NAV, if redeemed within 15 days from the date of allotment.
India’s travel and tourism segment is on an exciting ascent. Rising disposable incomes, a growing middle-income group, government-led infrastructure initiatives and increased route capacity are fueling India’s travel appetite. This dynamic environment presents an investment opportunity related to the Tourism sector that has a cascading effect on industries such as Hospitality, Food and Aviation industries.
Many Indians are taking multiple trips a year and prioritising experience travel. Be it travel for business, leisure, or medication, India is bulking ammunition to travel by ease of convenience, affordability and enhancing infrastructure and route amplitude.
More about Tata Nifty India Tourism Index Fund
The investment objective of the scheme is to provide returns, before expenses, that are commensurate with the performance of Nifty India Tourism Index (TRI), subject to tracking error. However, there is no assurance or guarantee that the investment objective of the scheme will be achieved. The scheme does not assure or guarantee any returns.
Risk-o-meter
Funds Allocation
| Types of Instruments | Risk Profile | Minimum Allocation | Maximum Allocation |
|---|---|---|---|
| Securities covered by Nifty India Tourism Index | Very High | 95% | 100% |
| Money market instruments including TREPs | Very Low | 0% | 5% |
Who should invest in this fund?
The Tata Nifty India Tourism Index Fund is appropriate for investors interested in long-term capital growth and equity/equity-related instruments found in Nifty India Tourism Index.
Who Manages the Scheme?
From June 2021 to the present date with Tata Asset Management Pvt Ltd as Dealer - currently reporting to Chief Investment Officer - Equities. From September 2006 to May 2021 with Tata Asset Management Pvt Ltd as Senior Manager - Investments. Reports to Chief Investment Officer -Equities.
Conclusion
The Tata Nifty India Tourism Index Fund offers a unique opportunity for investors to tap into India's burgeoning travel and tourism sector. With its focus on equity instruments within the Nifty India Tourism Index, the fund is ideal for those seeking long-term capital growth, despite the inherent risks and lack of guaranteed returns.
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