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This product is suitable for investors who are seeking*:

Long term capital growth

Investment in equity and equity related securities and

portfolio replicating the composition of the Nifty Smallcap 250

Index, subject to tracking errors

*Investors should consult their financial advisors if in doubt about whether the product is suitable for them

(An open ended scheme replicating/tracking Nifty Smallcap 250 Index)Nippon India Nifty Smallcap 250 Index Fund

New Fund Offer Opens on September 28, 2020

New Fund Offer Closes on October 09, 2020

Offer of Units of Rs. 10/- each during the New Fund Offer and Continuous offer for Units at NAV based Prices

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Advantages of Index Fund

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Benefits of Investing in an Index Fund

• Constructed to track an index

• Open ended mutual fund

• Diversification through even a single unit

• Generally lower expense ratio as compared to an active equity fund

• Performance tracking the underlying benchmark index (subject to expense ratio & tracking error)

• Transparent, as the fund will mimic the

index

Index Fund

Advantages

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NIFTY Smallcap 250 Index

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About NIFTY Smallcap 250 Index

Represents the balance 250 companies (companies ranked 251-500) from Nifty 500 IndexSmallcap stocks

Intends to measure the performance of small market capitalisation companiesPerformance

Using free float market capitalization methodIndex Calculation

Methodology

Index Represents about 6.7% of the total market capitalization of the stocks listed on NSE as on September 15, 2020

NSE Market Coverage

Source: NSE Indices Limited

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Nifty Smallcap 250 Index - Index Methodology

o Represents the balance 250 companies (companies ranked 251-500) from NIFTY 500 (Eligible Universe).

o Comprises of constituents in NIFTY 500 not forming part of NIFTY 100 and NIFTY 150.

Nifty Smallcap

250Nifty 500 Nifty 100

Nifty Midcap

150

Nifty 500 (Inclusions in Eligible Universe)⚫ Companies ranked within top 800 based on both average daily turnover and average daily full marketcapitalisation based on previous six months period data AND

a) The investible weight factor (IWF) of stock should be at least 0.10 (10% free float) OR

b) 6 month average free float market capitalization of the stock should be at least 25% of the 6 month averagefull market capitalization of the existing smallest index constituent (prior to index review) by full marketcapitalization in NIFTY 500 as of the cut-off date

⚫ Companies traded for at least 90% of days during the previous six months period

Index Re-Balancing:Index is re-balanced on semi-annual basis. The cut-off date is January 31 and July 31 of each year, i.e. For semi-annual review of indices, average data for six months ending the cut-off date is considered.

Source: NSE Indices Limited

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NIFTY Smallcap 250 Index – Top 25 Constituents

Data as on September 15, 2020 | Source: NSE Indices Limited

Note: The stocks mentioned forms a part of the Index may or may not form a part of the index in future.

Nifty Smallcap 250 Index Constituents as on September 15, 2020Sr.

No.Stock

Weightage (%)

Sr. No.

Stock Weightage

(%)

1 MULTI COMMODITY EXCHANGE OF INDIA LTD. 2.00 14 TATA ELXSI LTD. 1.02

2 NAVIN FLUORINE INTERNATIONAL LTD. 1.71 15 KEC INTERNATIONAL LTD. 1.01

3 DIXON TECHNOLOGIES (INDIA) LTD. 1.60 16 KAJARIA CERAMICS LTD. 0.99

4 DEEPAK NITRITE LTD. 1.46 17 STRIDES PHARMA SCIENCE LTD. 0.98

5 LAURUS LABS LTD. 1.42 18 BLUE STAR LTD. 0.95

6 INDIAN ENERGY EXCHANGE LTD. 1.42 19 CENTRAL DEPOSITORY SERVICES (INDIA) LTD. 0.94

7 TUBE INVESTMENTS OF INDIA LTD. 1.41 20 CAN FIN HOMES LTD. 0.83

8 PERSISTENT SYSTEMS LTD. 1.34 21 RADICO KHAITAN LTD 0.82

9 GRANULES INDIA LTD. 1.21 22 JM FINANCIAL LTD. 0.81

10 PVR LTD. 1.08 23 CYIENT LTD. 0.80

11 INDIAMART INTERMESH LTD. 1.06 24 AEGIS LOGISTICS LTD. 0.76

12 IDFC LTD. 1.05 25 APL APOLLO TUBES LTD. 0.74

13 PROCTER & GAMBLE HEALTH LTD. 1.04 26 OTHER INDEX CONSTITUENTS 71.53

TOTAL 100.00

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NIFTY Smallcap 250 Index – Industry Allocation

Data as on September 15, 2020 | Source: AMFI, NSE Indices Limited

Note: The index currently holding investments in the said industries may or may not have future position in the same.

Nifty Smallcap 250 Index is a well-diversified index spread across 35 industries

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Why Smallcaps

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Smallcap Investing – A Story of Evolution

Growth Opportunities Size Migration

Potential for High GDP growth

More incomes, more demand, more markets Scale, Competitiveness, Entrepreneurship

Large Caps may become larger

Midcaps may become Large Caps

Small Caps may become Midcaps

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Risk Reward Turning Favorable for Smallcaps

Source: NSEPeriod: 3rd January 2011 to 15th September 2020.

Current free-float market cap % of Nifty Smallcap 250 to Nifty 50 is down by almost 30% from the January 2018 peak and is also below the long term average

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SmallCaps Vs Largecaps Valuation

Source: NSEPeriod: 31st March 2017 to 15th September 2020.PE ratios are considered at the end of each calendar quarter for the above mentioned period and updated till 15th September 2020.

Current PE multiple of smallcaps down by almost 69% from the June 2017 peak and also ~46% below its average PE multiple

Smallcaps trade at marginal valuation discount (based on PE multiple) versus large caps, down from the peak of ~342% premium observed in June 2017, and also significantly below the average valuation premium of ~136%

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Nifty Smallcap 250 - Valuations Vs Other Indices

Source: NSE

Nifty Smallcap 250 Index - Valuation as on September 15, 2020

Index Name PE Ratio PB Ratio Dividend Yield (%)

Nifty Smallcap 250 32.97 2.17 1.66

Nifty 50 33.03 3.20 1.42

Nifty 100 33.13 3.25 1.37

Nifty 500 38.18 3.06 1.38

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Nippon India Nifty Smallcap250 Index Fund - Overview

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Investment objectiveThe investment objective of the scheme is to provide investment returns closely corresponding to thetotal returns of the securities as represented by the Nifty Smallcap 250 Index before expenses,subject to tracking errors. However, there can be no assurance or guarantee that the investmentobjective of the Scheme will be achieved.

Asset Allocation

Type of schemeAn open ended scheme replicating/tracking Nifty Smallcap 250 Index

Nippon India Nifty Smallcap 250 Index Fund – Scheme Details

Instruments

Indicative Allocation(% of total assets) Risk Profile

Minimum Maximum

Securities constituting Nifty Smallcap 250 Index 95% 100% Medium to High

Money Market instruments, Reverse repo and / or Tri-Party Repoand/or Schemes which invest predominantly in the moneymarket securities or Liquid Schemes*

0% 5% Low to Medium

*The Fund Manager may invest in Liquid Schemes of Nippon India Mutual Fund. However, the Fund Manager may invest inany other scheme of mutual fund registered with SEBI, which invest predominantly in the money market securities.

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Why Invest in Nippon India Nifty Smallcap 250 Index Fund

• Provides exposure to smallcap segment of market, as thefund will invest in well diversified Nifty Smallcap 250 indexconstituents spread across 35 industries* (Source: NSE, AMFI)

Segment Exposure

• Elimination of non-systematic risks like stock picking andportfolio manager selection, via investing in the entire 250smallcap stock basket

Reduce Risk

• Participate in the growth story of many of the Smallcapstocks having potential to become Midcap stocksSize Migration

• Will allow non demat account holders to seek exposure tosmallcap segment of the market via investing in NipponIndia Nifty Smallcap 250 Index Fund

Opportunity

• Investors can avail the benefit of Systematic InvestmentPlan (SIP)SIP Investments

• Exposure to the smallcap segment via low cost# index fundLow Cost

*As on September 15, 2020#Low cost with respect to Total Expense Ratio

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Nippon India Nifty Smallcap 250 Index Fund - Details

Scheme Features

NFO Opens on September 28, 2020

NFO Closes on October 09, 2020

Benchmark Index Nifty Smallcap 250 TRI

Fund Manager Mehul Dama

Load Structure Entry Load & Exit Load : NIL

Minimum application amount(during NFO & ongoing basis)

During NFO

Minimum amount of Rs.5,000 and in multiples of Re.1 thereafter

During Ongoing Basis

Minimum amount of Rs.5,000 and in multiples of Re.1 thereafter

Additional amount of Rs.1,000 and in multiples of Re.1 thereafter

Plansa) Growth Plan

b) Dividend Plan

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Disclaimer

• Risk Factors: Trading volumes and settlement periods may restrict liquidity in equity and debt investments. Investment inDebt is subject to price, credit, and interest rate risk. The NAV of the Scheme may be affected, inter alia, by changes inthe market conditions, interest rates, trading volumes, settlement periods and transfer procedures. The NAV may also besubjected to risk associated with tracking error, investment in derivatives or script lending as may be permissible by theScheme Information Document. Past performance may or may not be sustained in future.

Disclaimers

• The information herein is meant only for general reading purposes and the views being expressed only constituteopinions and therefore cannot be considered as guidelines, recommendations or as a professional guide for the readers.Certain factual and statistical information (historical) pertaining to Industry and markets have been obtained fromindependent third-party sources, which are deemed to be reliable. It may be noted that since NAM India has notindependently verified the accuracy or authenticity of such information or data, or for that matter the reasonableness ofthe assumptions upon which such data and information has been processed or arrived at; NAM India does not in anymanner assures the accuracy or authenticity of such data and information. Some of the statements & assertionscontained in these materials may reflect NAM India’s views or opinions, which in turn may have been formed on thebasis of such data or information.

• Before making any investments, the readers are advised to seek independent professional advice, verify the contents inorder to arrive at an informed investment decision. None of the Sponsor, the Investment Manager, the Trustee, theirrespective directors, employees, affiliates or representatives shall be liable in any way for any direct, indirect, special,incidental, consequential, punitive or exemplary damages, including on account of lost profits arising from theinformation contained in this material.

Mutual Fund investments are subject to market risks, read all scheme related documents carefully

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Thank you for your time!