Nippon India MF launches NFO on BSE Sensex Next 30 Index Fund

Nippon India Mutual Fund has launched a new fund offer (NFO) on BSE Sensex Next 30 Index Fund.

The passive fund will mirror the BSE Sensex Next 30 Index. The NFO opens for subscription on Wednesday.

The BSE Sensex Next 30 Index comprises companies which are a part of the BSE 100 but not part of the BSE Sensex.

These 30 companies are blue chips which have the potential to be a part of the motherboard BSE Sensex in future.

In the last 10 years, 20 stocks have advanced from BSE Sensex Next 30 to the BSE Sensex.

Interestingly, the BSE Sensex Next 30 TRI has outperformed the BSE Sensex consistently, making it an attractive investment option in the ETF category.

The index gave a CAGR of 26 per cent in the last five years, compared to 20 per cent return of the BSE Sensex.

Even in the last three years, the Next 30 Index gave a return of 16 per cent, compared to 13 per cent returns that the Sensex generated.

BSE Sensex Next 30 is a well-diversified index spread across 12 sectors.

The advantage of investing in the Nippon India BSE Sensex Next 30 Index Fund is that ETFs give low-cost benefits and investors get the flexibility to trade their units like any other stock.

The BSE Sensex Next 30 Index is currently trading at 7 per cent discount to its 10-year historical average.

Published on May 21, 2025