May 22, 2025
mayank
DSP Nifty IT Index Fund details, Fund Portfolio, Fund Returns, Peer Comparison, Mutual Fund Guidance @sahifund.com
Table of Contents:
- NFO Open date, Close date
- NFO Investment Strategy
- NFO Basic Details
- NFO Benchmark Index
- Performance Review of Fund Manager
- Should You Invest in this NFO?
- Invest Online
What is the DSP Nifty IT Index Fund Open Date, Close Date?
NFO opens on June 02, 2025
NFO will close on June 16, 2025
Investment Strategy for this NFO?
The scheme seeks to generate returns that are commensurate with the performance of the Nifty IT Index, subject to tracking error.
Basic Details
| Fund House | DSP Mutual Fund |
| Issue Open | 02 June 2025 |
| Issue Close | 16 June 2025 |
| Type | Open-ended |
| Category | Equity: Sectoral-Technology |
| Min. Investment(Rs) | 100 |
| Plans | Growth, IDCW |
| Lock-in Period | NA |
| Exit Load | 0 |
| Riskometer | Very High |
| Benchmark | NIFTY IT TRI |
About Benchmark Index for this NFO?
The Nifty IT index captures the performance of the Indian IT companies. The Nifty IT Index comprises of 10 companies listed on the National Stock Exchange (NSE).
Nifty IT index is computed using free float market capitalization method with a base date of Jan 1, 1996 indexed to a base value of 1000 wherein the level of the index reflects total free float market value of all the stocks in the index relative to a particular base market capitalization value. The base value of the index was revised from 1000 to 100 with effect from May 28, 2004.
Nifty IT Index can be used for a variety of purposes such as benchmarking fund portfolios, launching of index funds, ETFs and structured products.
Index Variant: Nifty IT Total Returns Index.
Portfolio Characteristics
| Methodology | Periodic Capped Free Float |
| No. of Constituents | 10 |
| Launch Date | |
| Base Date | January 01, 1996 |
| Base Value | 1000 |
| Calculation Frequency | Real-Time |
| Index Rebalancing | Semi-Annually |
Fund Managers of DSP Nifty IT Index Fund
1) Anil Ghelani
Education: Mr. Ghelani has done B. Com., CFA & CA
Experience: Prior to joining DSP Mutual Fund he has worked with IL&FS, S. R. Batliboi, V. C. Shah & Co.
2) Diipesh Shah
Education: Mr. Shah is a B Com, ACA, Candidate of the CFA Program, CFA Institute USA, Level I Cleared
Experience: Prior to joining DSP Mutual Fund, he has worked with JM Financial, Centrum Broking, IDFC Securities, ICICI Securities and IIFL Capital Pte Ltd Singapore.
AMC
DSP Investment Managers Pvt. Ltd.
Address: NATRAJ, Office No. 302-3rd Floor-Plot No. 194, MV Road Junction Western Express Highway, Andheri East Mumbai – 400069
Website: https://www.dspim.com/
Registrar & Transfer Agent
Computer Age Management Services Ltd.
Address: 7th Floor, Tower II, Rayala Towers, 158, Anna Salai, Chennai – 600002
Website: www.camsonline.com
Review for DSP Nifty IT Index Fund @ sahifund.com by Paresh Gordhandas, C.A., Research Analyst
[ A ] Benchmark Performance of NIFTY IT TRI
| Index Returns (%) | QTD | YTD | 1 Year | 5 Years | Since Inception |
| Price Return | -2.96 | -17.40 | 7.81 | 20.47 | 22.19 |
| Total Return | -2.84 | -16.82 | 10.37 | 22.83 |
| Statistics ## | 1 Year | 5 Years | Since Inception |
| Std. Deviation * | 21.72 | 21.56 | 33.16 |
| Beta (NIFTY 50) | 0.82 | 0.87 | 0.97 |
| Correlation (NIFTY 50) | 0.57 | 0.61 | 0.66 |
Fundamentals
| P/E | P/B | Dividend Yield |
| 26.85 | 7.41 | 3.02 |
Top constituents by weightage
| Company’s Name | Weight(%) |
| Infosys Ltd. | 27.24 |
| Tata Consultancy Services Ltd. | 23.08 |
| HCL Technologies Ltd. | 10.88 |
| Tech Mahindra Ltd. | 10.27 |
| Wipro Ltd. | 7.39 |
| Persistent Systems Ltd. | 6.10 |
| Coforge Ltd. | 5.24 |
| LTIMindtree Ltd. | 4.56 |
| MphasiS Ltd. | 3.02 |
| Oracle Financial Services Software Ltd. | 2.22 |
Note on Benchmark Performance:
India’s IT sector is poised for sustained growth, driven by strong domestic demand and global outsourcing trends. In FY25, the industry is projected to achieve a 5.1% revenue increase, reaching $282.6 billion, with exports contributing significantly to this growth. The domestic IT spending is also on the rise, with projections indicating an 11.1% growth to $161.5 billion in 2025.
The sector’s expansion is further supported by government initiatives, including the allocation of ₹1,16,342 crore for IT and Telecom sectors in the Union Budget 2024-25. Additionally, the government’s focus on areas like cybersecurity, hyper-scale computing, AI, and blockchain is fostering a conducive environment for technological advancements.
Employment in the IT sector is also on an upward trajectory, with an expected addition of 126,000 jobs in FY25, bringing the total workforce to 5.8 million. This growth is accompanied by a surge in demand for specialized roles in artificial intelligence, machine learning, data analytics, and cloud technologies, with an anticipated 30-35% increase in such positions in 2025.
In summary, India’s IT sector is set to continue its upward trajectory, bolstered by robust growth in revenue, strategic government support, and a dynamic workforce ready to embrace emerging technologies.
Nifty IT index has provided excellent return of 22. 83% pa during last 5 years. The returns during last one year has been low, but with strong revival of US economy, the IT index is anticipated to perform exceedingly well in the coming quarters.
[ B ] Performance Review of the Fund Managers of this NFO
Past Performance of Anil Ghelani
| Fund | DSP Nifty 50 Equal Weight Index Fund | It’s Benchmark | DSP Nifty 50 Index Fund | It’s Benchmark |
| 1 Year | 8.70 | 10.15 | 11.09 | 10.15 |
| 3 Year | 19.53 | 17.62 | 16.15 | 17.62 |
| 5 Year | 27.75 | 24.58 | 23.21 | 24.58 |
| 7 Year | 14.90 | 14.82 | — | — |
| 10 Year | — | — | — | — |
As on 22-05-2025
Past Performance of Diipesh Shah
| Fund | DSP NIFTY 50 Equal Weight ETF | It’s Benchmark | DSP Nifty 50 ETF | It’s Benchmark |
| 1 Year | 8.89 | 10.15 | 11.27 | 10.15 |
| 3 Year | 19.70 | 17.62 | 16.34 | 17.62 |
| 5 Year | — | — | — | — |
| 7 Year | — | — | — | — |
| 10 Year | — | — | — | — |
As on 22-05-2025
Note on Fund Managers’ performance
As you know, we view fund managers as the pilots of an aircraft—responsible for skillfully navigating the fund through both smooth and turbulent market conditions. This particular fund is managed by two seasoned professionals. Mr. Anil Ghelani holds a B.Com., is a Chartered Accountant (CA), and a Chartered Financial Analyst (CFA). Mr. Dipesh Shah is a B.Com., an Associate Chartered Accountant (ACA), and has cleared Level I of the CFA Program from the CFA Institute, USA.
However, a random review of the schemes managed shows a mixed performance trend, indicating variability in outcomes.
[ C ] Our NFO guidance
The DSP Nifty IT Index Fund aims to replicate/track the Nifty IT Index and would be investing in the top 10 IT companies by free float market capitalisation. The Indian IT sector has demonstrated smooth earnings growth with relatively low earnings variability, which has helped to reduce earnings surprises. Over the last 12 years, the Nifty IT index has delivered consistent earnings growth, outperforming many other sectors. While the IT sector has underperformed the broader market in recent years, historical cycles suggest potential for a turnaround, making this an opportune moment for investors to consider sector-focused exposure.
Defensive sectors such as Information Technology (IT) have historically exhibited low beta relative to the broader equity market, meaning they are less affected by market downturns, economic crises, or geopolitical events.
This fund can be compared to the ICICI Prudential Nifty IT Index Fund launched in August 2022. It has generated an AUM of Rs. 503 crores till 30th April 2025. It has generated return of 11.46% in the last one year. However, since it does not have a longer track record, one cannot make comment accurately. Such sectoral funds have to be monitored/held for five years or more to get good returns.
Can invest a small percentage of your portfolio in the DSP Nifty IT Index fund with intention to hold for more than 5 years.
Disclaimer: Mutual fund investments are subject to market risks. Read all scheme related documents carefully
Is it good to invest in DSP Nifty IT Index Fund NFO?
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