NJ Mutual Fund has launched the NJ Value Fund, an open-ended equity scheme that follows a value investment strategy. The New Fund Offer (NFO) opens for subscription on 10 July 2026 and closes on 24 July 2026.
NJ Value Fund: NFO details
Particulars | Details |
Fund Name | NJ Value Fund |
Fund Type | Open-ended equity scheme |
Category | Value Fund |
Benchmark | Tier I: NIFTY 500 TRI; Tier II: NIFTY 500 Value 50 TRI |
Fund Managers | Mr. Viral Shah, and |
NFO Open Date | 10-July-2026 |
NFO Close Date | 24-July-2026 |
Allotment / Reopening Date | 31-July-2026 |
Minimum Investment | ₹500 |
Additional Investment | ₹500 |
SIP | ₹100 |
NAV | ₹10 |
Stamp Duty | 0.005% |
Entry Load | Nil |
Exit Load | Nil |
Company details
Particulars | Details |
AMC Name | NJ Asset Management Private Limited |
AUM | ₹6,939 Crores |
Website | |
Address | Unit No. 101A, 1st Floor, Hallmark Business Plaza, Bandra (East), Mumbai – 400051, Maharashtra |
Contact Number | 1860 500 2888 / 040-49763510 |
Source: AMFI India New Fund Offer | NJ Value Fund
What has NJ Mutual Fund launched?
NJ Mutual Fund has launched the NJ Value Fund, an open-ended equity scheme following a value strategy. It aims for investing in companies undervalued relative to their intrinsic worth.
How does the strategy work?
The scheme uses a systematic value investing approach, targeting businesses with market prices below their estimated intrinsic value rather than popular ones.
Quantitative measures like valuation ratios and cash flows identify undervalued companies, while quality filters and risk assessments avoid weak fundamentals and value traps.
Strategy explained step by step
Step | What happens? |
1 | Identify companies that appear undervalued compared with their estimated intrinsic value. |
2 | Evaluate valuation metrics such as P/E, P/B, EV/EBITDA, dividend yield and other financial measures. |
3 | Apply quality checks such as profitability, cash flows, leverage and earnings growth. |
4 | Assess business and investment risks to reduce the chance of value traps. |
5 | Build a diversified portfolio of qualifying companies. |
6 | Review the portfolio periodically and rebalance when the investment model indicates changes are required. |
Let’s see through an example
Suppose Company A has a strong business, healthy cash flows, and consistent earnings, but its share price falls due to temporary market sentiment rather than business deterioration.
The fund’s process may identify it as undervalued by evaluating valuation, quality, and risk metrics.
If the business performs as expected and the market recognizes its true value, the share price may recover over time, illustrating how value investing aims to profit from long-term price corrections, though without guarantees.
Potential benefits
Potential benefit | Why does it matter? |
Exposure to undervalued companies | The fund aims to invest in companies whose market prices may be lower than their estimated intrinsic value. |
Long-term capital appreciation | Value investing focuses on identifying opportunities that may realise their value over time. |
Systematic investment process | The strategy follows a rule-based framework, reducing emotional investment decisions. |
Quality screening | Companies are evaluated on factors such as profitability, cash flows and financial strength before selection. |
Diversified equity portfolio | The fund invests across a broad universe of listed companies rather than concentrating on a few stocks. |
Regular portfolio review | The portfolio is monitored and rebalanced based on the investment model when required. |
What are the key risks?
Risk | What does it mean? |
Equity market risk | Share prices can fluctuate due to market movements, economic conditions and company-specific events. |
Value trap risk | A company may appear inexpensive but continue to perform poorly, preventing its share price from recovering. |
Underperformance risk | Value investing may lag the broader market during periods when growth or momentum stocks perform better. |
Liquidity risk | Some investments may be difficult to buy or sell quickly without affecting their prices. |
Model risk | The rule-based investment framework may not always identify successful investment opportunities. |
Portfolio concentration in value style | The fund follows a specific investment style, which may perform differently across market cycles. |
Who may consider this fund?
Investor Type | Why? |
Long-term equity investors | The strategy is designed to benefit from long-term value creation rather than short-term market movements. |
Investors comfortable with very high risk | The scheme invests predominantly in equities and carries a very high risk according to the Scheme Riskometer. |
Investors seeking a value investing strategy | Suitable for those looking for exposure to companies considered undervalued. |
Investors building a diversified equity portfolio | The fund can provide exposure to a disciplined value-based investment approach within an equity allocation. |
Investors with an investment horizon of at least five years | The investment strategy is intended for investors willing to stay invested over the long term. |
Who may not find it suitable?
Investor Type | Why? |
Conservative investors | The scheme carries a very high level of investment risk. |
Investors seeking regular income | The primary objective is long-term capital appreciation rather than income generation. |
Investors with a short investment horizon | Value investing may take several years for its investment thesis to play out. |
Investors uncomfortable with market volatility | Equity markets can experience significant price fluctuations. |
Investors looking for guaranteed returns | Mutual fund investments are market-linked and returns are not assured. |
NJ Value Fund vs traditional investment options
Investment option | Return Potential | Risk | Complexity |
Fixed Deposit | Low | Low | Low |
Debt Mutual Fund | Low to Moderate | Low to Moderate | Low |
Hybrid Mutual Fund | Moderate | Moderate | Moderate |
Equity Mutual Fund | High | High | Moderate |
NJ Value Fund | High (market-linked) | Very High | Moderate |
Zenith Finserve’s Review
NJ Value Fund employs a structured, rule-based value strategy to identify companies trading below their estimated intrinsic value. The framework aims to maintain consistency in stock selection independent of market sentiment.
The fund strategy faces market volatility and potential underperformance, particularly when growth stocks dominate. The fund is best suited for long-term investors as value stocks can take time to recover.
How can Zenith Finserve help You?
At Zenith Finserve, we follow a process driven investment framework. We assess your goals, cash flows, risk profile, time horizon, existing investments, loans, and tax situation before suggesting investments.
We align our investment suggestions to match your needs. Then, we review them periodically to keep them aligned with your changing life and financial position.
Frequently Asked Questions
1. What is the NJ Value Fund?
NJ Value Fund is an open-ended equity mutual fund that follows a value investment strategy. It aims to generate long-term capital appreciation by investing mainly in equity and equity-related instruments of companies.
2. When is the NFO open for subscription?
The New Fund Offer opens on 10 July 2026 and closes on 24 July 2026.
3. What is the minimum investment amount?
The minimum investment during the NFO is ₹500, and additional investments can also be made from ₹500 in multiples of Re.1.
4. What is the minimum SIP amount?
Investors can start a monthly SIP with ₹100, subject to a minimum of six instalments.
5. What does value investing mean?
Value investing focuses on identifying companies whose market prices are lower than their estimated intrinsic value. The expectation is that the market may recognise their value over the long term, although there is no guarantee this will happen.
6. What level of risk does this fund carry?
According to the Scheme Riskometer, the scheme is categorised as Very High Risk. Investors should be comfortable with equity market volatility and possible fluctuations in the value of their investment.
7. Does the scheme charge an entry or exit load?
The scheme does not charge an entry load or an exit load, as stated in the Scheme Information Document.
8. Who manages the fund?
The scheme is managed by Viral Shah and Dhaval Patel, both of whom have extensive experience in investment management within NJ Asset Management.
9. What benchmark will the fund track?
The primary benchmark is NIFTY 500 TRI, while the secondary benchmark is NIFTY 500 Value 50 TRI.
10. Is this fund suitable for short-term investing?
The scheme is designed for long-term capital appreciation through a value investing approach. The Scheme Information Document indicates that the strategy is intended for investors with a long-term investment horizon, such as five years or more.
11. How soon will the scheme reopen after the NFO?
The scheme will reopen for continuous purchase and redemption within five working days from the date of allotment.
