New Fund Offering

Enroll in the initial launch of a mutual fund and buy units at a fixed price before it begins trading in the market.

About NFO (New Fund Offer)

When an Asset Management Company (AMC) introduces a new mutual fund scheme to the public, it does so through a New Fund Offer (NFO). This process is similar to an Initial Public Offering (IPO) in the stock market. The NFO includes details such as the types of securities the fund aims to invest in, the allocation strategy, and information about the fund manager.

During the NFO period, investors have the opportunity to purchase units of the fund at an initial price. Both open-ended and closed-ended mutual funds can be launched via NFOs. Once this limited-time offer closes, the fund is listed and traded based on its Net Asset Value (NAV), which changes according to the market performance of its investments.

Open Ended Funds

Open-ended funds allow investors to enter and exit the fund anytime, even after the NFO period, with transactions based on the current NAV. Unlike closed-ended funds, they have no fixed corpus, and the number of units fluctuates as investors buy or redeem.

These funds offer greater flexibility and are generally actively managed to respond to market trends and opportunities.

Closed Ended Funds

Closed-ended funds have a fixed investment amount collected during the NFO period. Once the subscription window closes, no new units can be added, and the fund’s NAV is calculated based on the total value of assets and the number of units issued.

These units are listed on stock exchanges and traded like shares, with their market price influenced by demand and supply.

Benefits of NFO

Early access at ground level

Expand Your Investment Mix

Access to New Strategies

Lower Initial Investment Risk

Upcoming Funds in Nepal

Explore latest mutual funds opening for investment in Nepal.