NFO Alert: Motilal Oswal Mutual Fund Launches Diversified Equity Flexicap Passive FoF

Motilal Oswal Mutual Fund has opened the new fund offer for the Motilal Oswal Diversified Equity Flexicap Passive Fund of Funds – Regular Plan (Growth).  

The New Fund Offer (NFO) opened on January 2, 2026, and will close on January 15, 2026. The scheme is open-ended, allowing investors to buy and redeem units after allotment, with NAV calculated on a daily basis. 

Category and Fund Structure 

The scheme falls under the Equity: Flexi Cap category and is structured as an equity-oriented fund of funds. It will not invest directly in individual shares.  

Instead, it will invest in passive equity instruments, including exchange-traded funds (ETFs) and index funds, offering exposure across different market capitalisation segments. 

Investment Objective 

The fund’s stated objective is to generate long-term capital appreciation by investing mainly in passive funds tracking equity and equity-related indices.  

These underlying funds are expected to provide exposure to large-cap, mid-cap and small-cap stocks. The scheme document notes that returns will depend on market performance and that the objective may not be achieved. 

Risk Level and Benchmark 

According to the riskometer, the scheme carries a high to very high risk rating. This reflects its full allocation to equity-linked instruments.  

The scheme is benchmarked against the NIFTY 500 Total Returns Index (TRI), which covers a wide range of listed companies across sectors and market sizes. 

Investment Terms 

The minimum application amount is ₹500, with additional investments permitted in multiples of ₹500. There is no lock-in period.  

An exit load of 1% will be charged if units are redeemed within 15 days from the date of allotment. The scheme is available only under the growth option. 

Fund Management and Operations 

The fund will be managed by Swapnil P Mayekar and Rakesh Shetty. The asset management company is Motilal Oswal Asset Management Company Ltd. The registrar and transfer agent for the scheme is KFin Technologies Ltd. 

Read More: Abakkus Mutual Fund Secures ₹2,468 Crore in Maiden Fund NFO! 

Conclusion 

The Motilal Oswal Diversified Equity Flexicap Passive FoF is to offer broad-based equity exposure through passive investment routes. Its returns will remain linked to overall market movements over the long term. 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.   
 
Mutual Fund Investments are subject to market risks, read all the related documents carefully before investing.