UTI Launches New Passive Funds
UTI Mutual Fund has announced the launch of two new passive funds, expanding its offerings for investors seeking diversified equity exposure. The New Fund Offer (NFO) for both schemes commenced on August 31, 2026, and will remain open for subscriptions until September 11, 2026.
Introducing the Funds
The newly launched funds are the UTI BSE India Sector Leaders Exchange Traded Fund (ETF) and the UTI BSE India Sector Leaders Index Fund. These passively managed funds aim to replicate the performance of the BSE India Sector Leaders Total Returns Index (TRI), subject to tracking error. This index covers a broad spectrum of companies across key sectors like Financial Services, Information Technology, Telecommunication, and Oil & Gas, drawing from the BSE500 TRI universe.
"The BSE India Sector Leaders Index embodies a distinctive investment philosophy that captures leadership across the breadth of India’s economy, rather than being concentrated only in its largest sectors," stated Sharwan Kumar Goyal, Head – Passive, Arbitrage & Quant Strategies, UTI AMC. "Its transparent, rules-based methodology provides diversified exposure to leading businesses across sectors, supported by a disciplined approach to portfolio construction and security selection."
Investment Details and Management
For the UTI BSE India Sector Leaders Exchange Traded Fund, the minimum initial investment during the NFO period is ₹5,000, with subsequent investments in multiples of ₹1. The UTI BSE India Sector Leaders Index Fund has a lower minimum initial investment of ₹1,000, also in multiples of ₹1 thereafter, with no upper limit for subsequent investments.
Sharwan Kumar Goyal serves as the fund manager for both schemes, supported by assistant fund managers Ayush Jain and Lokesh Kulthia. Both funds utilize the BSE India Sector Leaders TRI as their benchmark. Notably, there are no entry or exit loads for these schemes, making them accessible for investors.
Important Investor Information
These schemes seek to provide returns commensurate with the performance of their benchmark index over the long term, prior to fees and expenses. Investors are advised that mutual fund investments are subject to market risks, and it is recommended to consult a qualified financial advisor to determine the suitability of these products for individual investment goals.