Keeping in mind the growing popularity of passive investing, Edelweiss Mutual Fund has launched an innovative new product called the Edelweiss Nifty LargeMidcap 250 Plus 8–13yr G-Sec 70:30 Index Fund.
This fund is being seen as an all-in-one investment solution for people who want to benefit from the stock market’s growth while also keeping the safety of government-backed assets in their portfolio.
The fund follows a unique 70:30 formula, which gives investors a mix of:
the stability of large-cap stocks
the growth potential of mid-cap stocks
the safety of government bonds (G-Secs)
This helps investors get both growth and stability in a single fund.
Portfolio Structure: 70% Equity and 30% Debt
The biggest highlight of this index fund is its portfolio allocation, which is divided into two major parts.
70% Equity Portion (Nifty LargeMidcap 250)
Around 70% of the fund’s money will be invested in the top 250 companies in India.
This includes:
the 100 largest companies (large-cap stocks)
the next 150 emerging companies (mid-cap stocks)
Large-cap stocks add strength and stability to the portfolio, while mid-cap stocks improve the chances of long-term wealth creation.
30% Debt Portion (8–13 Year G-Sec)
The remaining 30% will be invested in Government of India securities with maturities ranging from 8 to 13 years.
Since these are government bonds, they come with zero default risk.
This part of the fund becomes especially useful when the stock market falls, as it helps support the overall portfolio and reduces downside risk.
Fund Details at a Glance
Minimum investment: ₹5,000 lump sum
SIP investment: ₹500
Last date to invest: April 1, 2026
Exit load: Nil
Benchmark: Nifty LargeMidcap 250 Plus 8–13yr G-Sec 70:30 Index
Fund managers: Bhavesh Jain and Dhaval Dalal
Why This Fund Is Special for Investors
Market experts believe that pure equity funds can be highly volatile.
This new fund from Edelweiss helps solve the asset allocation problem automatically.
Reduced Volatility
When the stock market declines, the debt portion helps reduce losses and adds stability to the portfolio.
Disciplined Investing
Investors do not need to separately manage equity and debt funds because the index automatically keeps the balance in place.
Tax Benefits
Since the equity portion is more than 65%, this fund will be taxed as an equity mutual fund.
This means profits above ₹1.25 lakh after 1 year will attract only 12.5% long-term capital gains tax.
Who Should Invest?
This fund is specially designed for investors with a 5 to 7-year investment horizon.
It is also a good option for those who are hesitant about taking direct exposure to mid-cap funds, as the large-cap stocks and government bonds provide an added cushion.
According to Edelweiss Mutual Fund, this fund is an important step towards offering investors a well-diversified portfolio at a low cost.
