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Rural India is continuously moving ahead in the progress and economic development of the country’s economy. Keeping this in mind, mutual fund companies are offering products for the people of rural India. ICICI Prudential Mutual Fund has launched ICICI Prudential Rural Opportunities Fund NFO for rural India, subscription for which will open on January 9, 2025.
ICICI Prudential Mutual Fund has announced the launch of Rural Opportunities Fund, an open-ended equity scheme based on rural and allied themes. The scheme will invest primarily in sectors that contribute to and benefit from the growth and development of rural India.
Its objective is to raise money for the long term by investing in equity and equity-related instruments of companies mainly involved in rural and allied sectors. Subscription of NFO will open on 9 January 2025 and close on 25 January.
Rural India will prove to be transformative in the next decade
Sankaran Naren, ED & CIO, ICICI Prudential AMC and fund manager, NFO, said, “Rural India is the next theme that can have a transformative impact in the next decade. Driven by structural and cyclical economic factors and the increasing focus on rural development through various initiatives by many state governments, this will probably be the segment that will contribute to economic growth. Therefore, our new scheme aims to take advantage of these developments, giving investors the opportunity to participate in India’s rural growth story.
Rural development is linked to India’s progress The story of India’s development is deeply linked to its rural development. As the country moves towards becoming a global manufacturing hub, rural India can play an important role in this transformation. The government has made significant progress in improving basic needs and quality of life in rural areas, paving the way for comprehensive developmental efforts. The rural theme is promising with rural demand rising again after a decade of stagnation and positive structural changes. Its broad scope spans multiple sectors and market-caps, providing flexibility and growth potential across the economy.
Rural India’s contribution to GDP growth is important The Nifty Rural index aims to track the performance of stocks from the Nifty 500 index, which represent the rural theme. The largest 75 stocks in eligible basic industries are selected based on 6-month average free-float market capitalisation. A significant portion of India’s GDP comes from rural areas and the government is focused on improving rural infrastructure and the economy. This theme has the potential to provide growth opportunities.
