Axis Mutual Fund has announced the launch of Axis Nifty50 Equal Weight Index Fund, with the New Fund Offer (NFO) opening on July 3, 2026, and closing on July 17, 2026. According to reports from Mint, this open-ended scheme replicates the Nifty50 Equal Weight TRI and provides passive exposure to India's leading 50 large-cap companies through an equal-weight strategy. The fund is managed by Rohit Gautam and Nandik Mallik and carries a 'Very High' risk rating under the Riskometer. As per Mint, B Gopkumar, MD & CEO of Axis AMC, stated that the fund aims to offer investors a differentiated way to participate in India's leading blue-chip companies through a more balanced and diversified allocation approach.
The fund offers ₹100 minimum investment with subsequent investments in multiples of ₹1, as reported by Mint. For SIP investments, the minimum amount is ₹100 each in daily, weekly and monthly modes, while the yearly SIP minimum is ₹12,000. The scheme is available in both Regular Plan and Growth Plan options. Exit load is 0.25% if redeemed or switched out within 15 days from allotment, with nil exit load thereafter. During the NFO period, units are available at ₹10.00 per unit before the scheme begins daily NAV-based pricing.
The Nifty50 Equal Weight Index represents an alternative to the traditional market capitalization weighted Nifty 50 Index, according to Mint. Under this approach, each of the 50 constituents receives an equal weight of around 2%, thereby reducing concentration risk and providing more balanced exposure across stocks and sectors. The fund follows a rules-based approach where it invests equally across all 50 stocks in the index, and quarterly rebalances the portfolio to maintain this allocation. This structured and transparent approach removes subjectivity and provides clarity on how the portfolio is managed over time, as reported by Mint.
The fund tracks the Nifty50 Equal Weight TRI with quarterly rebalancing, where all stocks are realigned to equal weights, as reported by Mint. This mechanism systematically trims exposure to outperformers and redistributes it across the portfolio. Historical data shows that Nifty50 Equal Weight TRI has shown outperformance across different periods over Nifty 50 TRI, with the Nifty50 Equal Weight Index delivering -2.39% YTD, 2.05% in 1 year, and 14.27% 5-year CAGR compared to Nifty 50 Index at -8.10% YTD, -5.42% in 1 year, and 9.99% 5-year CAGR as of June 30, 2026. Based on historical data, an investment of ₹1,00,000 in the Nifty50 Equal Weight Index one year ago would be worth ₹1,02,050 today, while the same investment in Nifty 50 Index would have declined to ₹94,580.
According to Mint, the fund is suitable for investors looking for passive exposure to India's large-cap equity market through the Nifty 50 universe, those seeking lower stock concentration than a traditional market-cap weighted Nifty 50 index fund, and investors who prefer a transparent and rules-based investment strategy over active fund management. The fund is also designed for long-term investors who understand and are comfortable with the risks and volatility associated with equity investing. As per Axis AMC, their strategy in the passive space focuses on building a robust and well-rounded suite of solutions that can serve diverse investment needs while maintaining simplicity and transparency.
