NFO Alert: Navi Mutual Fund Launches Nifty MidSmallcap 400 Index Fund

Navi Mutual Fund has opened a new scheme that tracks mid and small-cap companies on the stock market. The fund is titled Navi Nifty MidSmallcap 400 Index Fund and works as an open-ended index product.  

It comes with Direct and Regular plans, and only the Growth option. The structure is passive, meaning it will simply follow the index it is linked to, without active stock picking. 

NFO Opening Period 

The subscription window began on November 24, 2025, and will close on 5 December 2025. Unit allotment is also planned for December 5, 2025, the same day the offer period ends. The scheme falls under the Very High-Risk category on the Risk-o-Meter, which reflects the behaviour of mid- and small-cap stocks. 

How the Fund is Designed 

The main aim of this scheme is to match the return of the Nifty MidSmallcap 400 Index, subject to tracking error. This index includes 400 companies spread across mid and small-cap segments.  

The fund plans to invest only in stocks that form part of this index, so its performance will depend on how the overall basket moves rather than a few selected companies. 

Investment Amount and Costs 

The minimum amount required to invest is ₹100, making it possible to start with a small ticket size. There is no entry load for investors. If units are sold within 30 days from allotment, an exit load of 1% will be applied. A stamp duty of 0.005% will be charged on all purchases, including SIP, STP, lump sum investments, and dividend reinvestments as per SEBI rules. 

Management and Operational Details 

The fund will be managed by Ashutosh Shirwaikar. Navi Mutual Fund reported an AUM of ₹8,590.74 crore as of September 30, 2025. Registrar services will be handled by Computronics Financial Services (India) Ltd, responsible for investor records and transactions for the scheme. 

Read More: Tata Mutual Fund launches Titanium Hybrid Long-Short Fund! 

Conclusion 

This NFO gives investors a market-linked option based on a broad mid- and small-cap index. The minimum investment is low, and the risk disclosure clearly places the scheme in the very high category due to fluctuations in this segment. 

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.