NFO (New Fund Offer) – Factors to consider before investing in NFO

NFO (New Fund Offer) – Factors to consider before investing in NFO

Finances News

NFO stands for New Fund offer. It is like stock IPO. In IPO new stock is released for the first time investment. Whereas in new fund offer mutual fund is released for the investor by the mutual fund companies for the first time. The NFO remains open for fixed time duration. NFO price in mutual fund is generally fixed at Rs.10 per unit. On expiry of NFO period the fund is listed in the market. After listing of mutual funds investor can purchase fund from the open market. NFO are generally available at higher price after listing. Types of NFO