Latest news with #ArunSundaresan
Entrepreneur
21-05-2025
- Business
- Entrepreneur
Nippon Life India AM Unveils Two New Passive Funds Targeting Emerging Large-Caps
Both funds aim to provide cost-effective, rules-based, and diversified exposure to India's next-tier large-cap companies—those ranked just beyond the top 30 BSE Sensex constituents. You're reading Entrepreneur India, an international franchise of Entrepreneur Media. Nippon Life India Asset Management Limited (NAM India), one of India's leading asset managers, has announced the launch of two innovative open-ended passive investment offerings: the Nippon India BSE Sensex Next 30 Index Fund and the Nippon India BSE Sensex Next 30 ETF. Both funds aim to provide cost-effective, rules-based, and diversified exposure to India's next-tier large-cap companies—those ranked just beyond the top 30 BSE Sensex constituents. These funds are built on the BSE Sensex Next 30 Index, a benchmark that spotlights 30 large-cap companies often overlooked in traditional large-cap portfolios. This segment presents a unique opportunity to invest in potential future blue-chip companies across 12 sectors. Arun Sundaresan, Head of ETFs at NAM India, stated, "The 'Nippon India BSE Sensex Next 30 ETF' and 'Nippon India BSE Sensex Next 30 Index Fund' are strategic additions to our passive product suite. These schemes provide access to a lesser-explored segment of large caps with strong potential through a low-cost, passive approach. As Indian equity markets evolve and broaden, these funds offer investors a unique avenue for diversification and long-term wealth creation." Key highlights of the Index Fund include exposure to under-represented large caps, sectoral diversification, and reduced non-systematic risk due to its rules-based structure. The ETF, meanwhile, offers the added advantage of real-time trading flexibility during market hours and cost-efficient access to this differentiated basket. The New Fund Offer (NFO) for both schemes opens on May 21, 2025, and closes on June 4, 2025, with a minimum investment of INR 1,000. Backed by data, the BSE Sensex Next 30 TRI has outperformed major large-cap indices with an impressive 5-year CAGR of ~26%, compared to ~20% for the BSE Sensex TRI. It has delivered positive returns in 9 out of the last 11 years, and is currently trading at a 7% discount to its 10-year historical average P/E, making it an attractive entry point. NAM India, with over INR 1.93 lakh crore in passive AUM and a robust suite of 24 ETFs and 26 index funds, continues to fortify its leadership in the passive investing space, offering tailored solutions for a growing investor base seeking diversification and long-term growth.
Time of India
21-05-2025
- Business
- Time of India
Nippon India launches new passive fund to track BSE Sensex Next 30 Index
BSE Sensex Next 30 TRI has consistently delivered superior returns compared to BSE Sensex. (AI image) Nippon India Mutual Fund has introduced a new passive fund offering. The Nippon India BSE Sensex Next 30 Index Fund will track the BSE Sensex Next 30 Index. Subscriptions begin on May 21 and end on June 4, 2025. Investors now have an opportunity to place their money in underrated blue-chip organisations poised for potential inclusion in the BSE Sensex. The BSE Sensex Next 30 Index consists of enterprises that belong to BSE 100 whilst not being included in BSE Sensex. These 30 organisations are established blue-chip companies with prospects of joining the primary BSE Sensex. Over the past decade, 20 companies have progressed from BSE Sensex Next 30 to BSE Sensex. This index uniquely represents substantial organisations that other indices do not include. The performance data shows that BSE Sensex Next 30 TRI has consistently delivered superior returns compared to BSE Sensex, making it an appealing choice in the ETF sector. The index achieved a CAGR of 26% over five years, whilst BSE Sensex returned 20.3%. During the three-year period, the Next 30 Index delivered 15.7% returns, surpassing the Sensex's 13.4%. Additionally, the BSE Sensex Next 30 Index has demonstrated notably stronger performance compared to both Nifty 50 and Nifty Next 50 TRI over the previous five-year duration. The BSE Sensex Next 30 comprises a diverse portfolio spanning 12 sectors. The index includes prominent corporations such as JSW Steel, Interglobe Aviation, Grasim, ONGC, Bajaj Auto, Adani Enterprises, BPCL, Dr Reddy's Laboratories and Wipro, amongst others. 'The 'Nippon India BSE Sensex Next 30 ETF' and 'Nippon India BSE Sensex Next 30 Index Fund' are strategic additions to our passive product suite. These schemes provide access to a lesser-explored segment of large caps with strong potential through a low-cost, passive approach,' said Arun Sundaresan, Head ETF, Nippon Life India Asset Management. 'As Indian equity markets evolve and broaden, these funds offer investors a unique avenue for diversification and long-term wealth creation . Large Cap oriented strategies appear better placed on a risk-reward basis, making them a core part of long-term portfolios. As the Indian equity landscape broadens, such differentiated strategies can play a core role in long-term portfolios,' he added. Stay informed with the latest business news, updates on bank holidays and public holidays . AI Masterclass for Students. Upskill Young Ones Today!– Join Now
Business Standard
02-05-2025
- Business
- Business Standard
India's largest passives player - Nippon India Mutual Fund Dominates Akshaya Tritiya ETF Volumes with 63% Market Share
Mumbai, May 2, 2025 — On the auspicious occasion of Akshaya Tritiya, a day traditionally associated with prosperity and gold purchases, Nippon India Mutual Fund (NIMF) reaffirmed its leadership in the Gold and Silver ETF segment. NIMF recorded a commanding INR 404 crore in combined volumes across its Gold and Silver ETFs, capturing a significant 63% of the total industry volume in this segment. This milestone continues the strong trend observed during other key festive periods, including Dhanteras in 2024. The higher volume traded on NIMF's ETFs is a reflection of its market liquidity—an essential feature for investors looking to minimize tracking error and reduce impact cost. Arun Sundaresan, Head ETF, Nippon Life India Asset Management Ltd says, 'We have been witnessing increased investor interest in gold and silver through the ETF route. ETFs offer a convenient means to invest into these precious commodities, allowing investors easily to invest and withdraw anytime without the hassle of having to store them physically and not worry about aspects like purity, safety and storage costs. Nippon Gold and Silver ETFs being the largest and the most liquid are investor-favourites, attracting nearly 60% of the traded volumes. Higher volumes tend to result in lower impact cost, directly benefiting investors.' NIMF's dominance extends beyond just festive trading days. For the financial year 2024–25, the fund house captured a robust 60% share of the industry's average daily volume in Gold and Silver ETFs. Moreover, NIMF boasts the largest ETF investor base in the country with 1.43 crore investors—comprising 53% of the total ETF investors across the industry. With consistent performance, superior liquidity, and strong investor trust, Nippon India Mutual Fund continues to solidify its position as the go-to choice for Gold and Silver ETF investments in India.
