NFO: Bank of India Mid Cap Fund To Open on July 31st
By Ankur Chandra | Published at: Jul 15, 2025 11:03 AM IST
Mumbai, July 15, 2025: Bank of India Mutual Fund has announced the launch of the Bank of India Mid Cap Fund, a new open-ended equity scheme with a primary focus on investing in mid-capitalisation stocks. The New Fund Offer (NFO) is scheduled to open for subscription on July 31, 2025, and will close on August 14, 2025. Following the NFO period, the scheme will reopen for continuous sale and repurchase from August 25, 2025.
Fund Snapshot
| Detail | Description |
|---|---|
| Scheme Type | Open-ended Equity – Mid Cap Fund |
| NFO Opens | July 31, 2025 |
| NFO Closes | August 14, 2025 |
| Scheme Re-opens | August 25, 2025 |
| Benchmark Index | Nifty Midcap 150 TRI |
| NFO Price | ₹10 per unit |
| Minimum Investment (NFO) | ₹5,000 and in multiples of ₹1 thereafter |
| Fund Manager | Mr. Alok Singh (CIO, Bank of India AMC) |
Investment Strategy
The Bank of India Mid Cap Fund aims to generate long-term capital appreciation for investors. It will achieve this by investing a minimum of 65% of its assets in equity and equity-related instruments of mid-cap companies. As per AMFI/SEBI norms, mid-cap companies are defined as those ranking from the 101st to the 250th in terms of full market capitalisation.
The investment strategy will employ a blend of both top-down and bottom-up approaches for stock selection. The fund manager will focus on identifying companies that demonstrate strong growth potential, sound financial health, and quality management. The portfolio also has the flexibility to allocate up to 35% in other equities, debt and money market instruments, and up to 10% in Real Estate Investment Trusts (REITs) and Infrastructure Investment Trusts (InvITs).
Asset Allocation
The planned asset allocation pattern for the fund is as follows:
| Asset Class | Min (%) | Max (%) | Risk Profile |
|---|---|---|---|
| Equity – Mid Cap Companies | 65% | 100% | Very High |
| Equity – Other than Mid Cap | 0% | 35% | Very High |
| Debt and Money Market Instruments | 0% | 35% | Low to Medium |
| REITs & InvITs | 0% | 10% | Very High |
Special Features
The fund offers several investor-friendly features:
- Systematic Investment Plan (SIP): Available with a minimum of ₹1,000 per month for a minimum duration of 6 months.
- Systematic Transfer Plan (STP) & Systematic Withdrawal Plan (SWP): These facilities are available with flexible dates, allowing investors to manage their investments systematically.
- Direct and Regular Plans: Investors can choose between Direct and Regular Plans, with both Growth and IDCW (Income Distribution cum Capital Withdrawal) options.
- No Entry Load: There will be no upfront charge for investing in the fund.
- Exit Load: A 1% exit load will be applicable if units are redeemed within 60 days from the date of allotment; no exit load will apply thereafter.
Risk-o-Meter
As per the AMFI risk classification, both the scheme and its benchmark are categorised under ‘Very High Risk’. Investors considering this fund should be aware of and comfortable with the higher volatility typically associated with mid-cap equities.
Fund Manager Profile
The scheme will be managed by Mr. Alok Singh, who serves as the Chief Investment Officer (CIO) at Bank of India AMC. He brings extensive experience of over 21 years in the financial industry, including 16 years specifically in mutual fund investing. Mr. Singh also manages other flagship schemes of Bank of India Mutual Fund, such as the Bank of India Flexi Cap Fund, Small Cap Fund, and ELSS Tax Saver.
Regulatory & Operational Disclosures
- The scheme has a minimum target corpus of ₹10 crore during the NFO period.
- The Net Asset Value (NAV) will be declared daily and updated on the AMFI website and the AMC’s website by 11 p.m.
- In the event of any delay in redemption or IDCW payment, interest will be paid at 15% per annum for the period of delay, as per regulatory guidelines.
- It is important to note that the scheme offers no guaranteed returns, as returns are subject to market risks.
Who Can Invest?
The fund is open to a broad range of eligible investors, including:
- Resident individuals
- Non-Resident Indians (NRIs), with the exception of those from the U.S. & Canada
- Hindu Undivided Families (HUFs)
- Companies
- Trusts
- Pension funds, and other eligible entities.
Share Price Performance
As of 9:20 AM on July 15th, the shares of Bank of India were trading at ₹115.60, up by 0.54% or ₹0.62. It remains to be seen how the shares perform throughout today’s trading session.
About Bank of India Mutual Fund
Bank of India Mutual Fund is sponsored by Bank of India, a government-owned financial institution. The AMC, Bank of India Investment Managers Pvt. Ltd., offers a range of equity, debt, and hybrid mutual fund schemes across risk profiles. It is regulated by SEBI and operates under the guidelines of the SEBI (Mutual Funds) Regulations, 1996.
REF: https://portal.amfiindia.com/spages/14260.pdf
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