UTI Launched UTI Multi Cap Fund NFO: Is it a Good Investment?
Did you know that UTI AMC has recently launched the UTI Multi Cap Fund NFO and has confidently suggested it to be multi-vitamins for your portfolio?
Yes, starting today, 29th April 2025, this new NFO under the multi cap fund will close its subscription on 13th May 2025.
But the important question is, "Is it good to invest in multi-cap funds?" and "Could this be the best NFO 2025 in multi cap category for you?
That is why this analysis explores everything you need to know about this newly launched scheme, so, you can decide for yourself whether or not it is a good investment.
Let's start by covering the basic details of this new fund offer.
UTI Multi Cap Fund NFO: Basic Details
Here is the key information on the newly launched Multi Cap Mutual Funds NFO 2025:
| Scheme Name | UTI Muti Cap Fund |
|---|---|
| Issue Open Date | 29th May 2025 |
| Issue Close Date | 13th May 2025 |
| Category | Equity - Multi Cap |
| Benchmark | Nifty 500 Multicap 50:25:25 TRI |
| Minimum Application Amount | Rs. 1000 |
| Fund Manager | Mr. Karthikraj Lakshmanan |
| Plans & Options | Regular and Direct Plans with Growth and Dividend Options |
| Facilities Offered | SIP / SWP / Flexi SIP |
Investing Strategy Used by UTI Multi Cap Fund NFO
This new NFO, which belongs to the multi cap category, applies a multi cap investing strategy that includes the 3S edge, Style, Sector and Size.
Its investment philosophy follows a blend of quality/ growth and value investing to find sustainable business and cyclical opportunities, along with transformation scopes to generate multi-bagger returns for your portfolio.
UTI Multi Cap Fund NFO: Portfolio Structure
The Multi Cap Fund NFO has divided a minimum of 25% in each market cap, large, mid and small.
Refer to the picture below that shows the current allocation:
This New Fund Offer has limited its portfolio internally with the following factors:
- Single Sector: Lower of 40% or benchmark plus 20%.
- Single Stock:A maximum of 10% allocation.
- Top 10 Stocks:A maximum of 55% distribution.
Is it Good to Invest in Multi Cap Funds?
Amongst the following factors, the long-term performance of Indices and multi cap strategy makes this category a good investment:
Calendar Year Wise Returns (Since 2006)
The nifty multi cap Index has outperformed the Nifty 500 Index in 12 out of 19 calendar years, giving 34% and 19% returns in CY 23 and CY 24, respectively.
You can refer to the table below for year-wise returns:
Rolling Returns Since 2005
The multi-cap index has outperformed the broader market index, Nifty 500 TRI, 60% of the time over 3 years and 79% of the time over 5 5-year periods with its multi-cap strategy.
Check the table below showing the 3 and 5-year rolling returns of multi cap fund category:
Outperformed Benchmark Over Long Term
Over the long term, the Nifty multi cap index has outperformed the Nifty 500 index at several intervals.
The graph below explains the value of your invested money over various intervals:
The above graph shows that if you had invested Rs.10 lakh in April 2005, it would have grown to be worth Rs.1.90 crores as of now.
Edge in Active Investing
UTI AMC is a pioneer of Indian Mutual Funds with a strong track record of 20+ years and one of the largest asset managers in the category with AUM over Rs.1,29,264 crores across 28 actively managed equity, hybrid & solution funds.
Why Invest in UTI Multi Cap Fund NFO 2025?
The following points make a strong case to start your investments in this newly launched NFO by UTI Mutual Fund:
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Uniquely Positioned
This new NFO has a distinct portfolio compared to broader market indices with mid and small cap exposure, giving multi cap fund potential for high returns in the long term.
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Disciplined Strategy
The UTI multi cap fund will use a disciplined and well-planned strategy to be executed continuously through market cycles, aimed at achieving both higher returns and stability.
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Leveraging Expertise Research
The UTI AMC has appointed a large research team of mutual funds analysts to track a wide set of companies in which it invests.
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Optimal Portfolio Diversification
This new fund offer has divided the stocks across a variety of sectors and sub-sectors, styles (Quality, growth & value), themes and market capitalization.
Who Should Invest in UTI Multi Cap Fund NFO?
This latest NFO 2025 under the multi cap fund category is best suited for:
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First-time Investors
If you are someone new to investing, this multi cap fund will make your portfolio diversified from the start and low-risk entry into equity markets.
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Long-term Investors
Investors planning to fulfill a long-term financial purpose, like buying a dream house or a child's education or retirement, can invest for 5+ years or more for high compounding wealth.
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Seeking Exposure with Low Risk
This multi cap NFO invests in a balanced way in both mid and small cap stocks, a strategic way to get exposure for your portfolio without having too much risk.
Smart Investments, Bigger Returns
To Conclude UTI Multi Cap Fund Review
To wrap up, the UTI Multi Cap Fund review 2025 suggests this new NFO is a good investment, giving one portfolio with a blend of size, style and sectors all under one roof.
Moreover, with UTI having 62 years of excellence in capturing India's growth story through the 3Ps, process, people and positioning, starting a SIP could be the best decision you would have taken so far.
Now, the ball is in your court, meaning, "Do you have a higher risk appetite in the wealth creation journey?" If yes, this could be the best NFO and a good chance to have diversified exposure across market capitalization to lower risk and remain in style rotation with your investments.
