All you need to know about Nippon India Growth Fund3 min read

September 13, 2022
Nippon India Growth Fund


All you need to know about Nippon India Growth Fund3 min read

Nippon India Growth Fund is an investment scheme that predominantly invests in mid cap stocks. Mid cap stocks are investments in equities and shares of medium sized companies. The companies that range from 101 to 250th rank on the stock list are mid size companies, the first 100 companies are large cap and the companies ranked from 251st position onward are called small cap companies. The listing of companies and their capitalization size is done by the Securities and Exchange Board of India (SEBI).

Why Should You Consider Investing in Nippon India Growth Fund?

Mid cap stocks are the ones with a lot of potential, as they are the companies that might have grown from a small cap size or they might grow into a large cap company.

  • Diversified Investment – Investing in mid cap stocks gives your portfolio exposure to a wide range of companies bordering both the large cap and small cap stocks.
  • Moderate Risks – The fund aims to carry moderate risk as the mid cap stocks have companies on the large cap side that persist in the down market, and they offer more profitability than large cap which might help expand towards the up market.
  • Potential Growth – The mid cap fund has compressed stocks with high growth rates as they are yet to reach their full potential like large cap, and they are more stable than the smaller companies due to capital size.
  • Liquidity of Stocks – Mid cap stocks are traded more than small cap stocks due to the upward growth in the size of their capital, their shares in the market and their reputation in the market. 

Nippon India Growth Fund might have the potential to compound and substantially increase profits over a period of time as they invest in mid cap companies. The investor might get a well-diversified portfolio, which could help in optimal risk management.

Features of Nippon India Growth Fund

Nippon India Growth Fund’s primary investment objective is to aim for and achieve long term capital growth by investing in equity and equity related securities on the basis of research with an investment approach.

The Nippon India Growth Fund aims to focus on emerging trends and scalable businesses, using a bottom up stock picking approach, and it also focuses on the verticals that might provide higher growth potential, like consumer discretionary, healthcare, financials and outsourcing to global corporations. 

The fund is suitable for investors who are aiming for long term growth and for investing in equity and equity related instruments with a research based approach.

The Nippon India Growth Fund is managed by the Fund Manager – Mr. Manish Gunwani (since Sept 2017) and two Co-Fund Managers – Mr. Dhrumil Shah (since Feb 2019) and Mr. Tejas Sheth (since May 2019). 

Fund Details

Nippon India Growth Fund was opened on 08th October, 1995. You can invest in this fund with a minimum amount of Rs. 100, and minimum investment through SIP is Rs. 100. The fund attracts an exit load of 1% if it is redeemed or switched out on or before the completion of one month from the date of units’ allotment.

Steps to Invest in Nippon India Growth Fund

  • Log in to your Paytm Money account
  • Select Nippon India Growth Fund
  • Enter the amount you wish to invest
  • Pay via UPI/net banking

Sources: Economic times, Nippon India Growth Fund website 

Disclaimer – Mutual Fund investments are subject to market risks, read all scheme related documents carefully. Paytm Money Ltd SEBI Reg. No. INA100009859, Regd. Office: 136, 1st Floor, Devika Tower, Nehru Place, Delhi – 110019. The MF/NFO offering is non Exchange traded products and Paytm Money Ltd (PML) is acting as an agent for distributing the same. Please note all disputes with respect to the distribution activity, would not have access to Exchange investor redressal forum or Arbitration mechanism. This information is purely based on publicly available data and in no way to be considered as advice or recommendation.