Tata Nifty India Tourism Index Fund is an open-ended index fund launched by Tata Mutual Fund. The programme provides returns mimicking the performance of the Nifty India Tourism Index (TRI), subject to tracking error. There is no assurance that the programme will achieve its objectives and no profits are guaranteed.
Important details about the scheme are as follows:
- 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.
The Indian travel and tourism industry is experiencing an exciting ascent. Rising disposable incomes, a growing middle class, government-backed infrastructure efforts and increasing route capacity are fuelling Indian travel appetite. This dynamic environment is creating investment opportunities in the tourism sector with knock-on effects on industries like hospitality, food and aviation.
Many Indians travel several times a year and value adventure travel. Whether it’s business, personal or medical travel, India is gearing up for improved travel infrastructure and route coverage that will make travel comfortable and affordable.
More about Tata Nifty India Tourism Index Fund
The Fund’s investment objective is to achieve a pre-expense return consistent with the performance of the Nifty India Tourism Index (TRI), subject to tracking error. However, there can be no assurance that the Fund’s investment objective will be achieved. The Fund does not promise or guarantee any return.
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?
Tata Nifty India Tourism Index Fund is suitable for investors interested in long term capital growth and equity/equity like instruments included in the Nifty India Tourism Index.
Conclusion
Tata Nifty India Tourism Index Fund offers investors a unique opportunity to gain exposure to India’s emerging travel and tourism sector. With a focus on equity instruments within the Nifty India Tourism Index, the fund is ideal for those seeking long term capital appreciation despite the inherent risks and lack of guaranteed returns.