Motilal Oswal MF launches BSE Clean Environment Index Fund; key details

Motilal Oswal Mutual Fund has announced the launch of Motilal Oswal BSE Clean Environment Index Fund, an open-ended fund tracking the BSE Clean Environment Index. The new fund offer or NFO of the same will open tomorrow i.e. June 5, 2026 and will close on June 19, 2026.

The fund aims to provide returns that, before expenses, correspond to the total returns of the securities as represented by the BSE Clean Environment Index, subject to tracking error.

Commenting on the launch, Pratik Oswal, Chief of Passive Business, Motilal Oswal Asset Management Company, said, “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.”

Benchmark: BSE Clean Environment Total Return Index

Minimum Application: During NFO: Lumpsum: ₹500/- and in multiples of ₹1/- thereafter Ongoing: Lumpsum: ₹500/- and in multiples of ₹1/- thereafter

Exit Load: 1% if redeemed on or before 15 days from date of allotment; Nil thereafter

Taxation Long term capital gains tax will apply @12.5% on gains above ₹1.25 lakh if held for over 12 months, else short term capital gains @ 20% will apply if held for 12 months or less.

Fund Managers: 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.

Suitable for whom: According to the mutual fund, the fund will be suitable for investors seeking

1. Long-term capital appreciation
2. And returns that correspond to the BSE Clean Environment Index, subject to tracking error.

Disclaimer: The information contained in this article is for informational purposes only and does not represent investment advice from Upstox. Investment decisions should be made based on independent research or consultation with a registered financial advisor. Past performance is not indicative of future results.