Russia's Sberbank launches Nifty50-linked 'First–India' mutual fund for retail investors

Sberbank, Russia's largest bank, along with JSC First Asset Management, has launched a new mutual fund called First–India, offering Russian retail investors investment exposure linked to India's benchmark Nifty50 index. The product was announced during Sberbank CEO and Chairman of the Executive Board Herman Gref's business visit to India, at an event hosted at the National Stock Exchange of India Ltd (NSE).

The First–India mutual fund provides a route for Russian retail investors to access India's equity market by tracking the performance of Nifty50, which represents the country's 50 largest companies by market capitalisation (m-cap).

India currently has more than 45 passive funds that track Nifty50, while another 22 passive funds abroad also benchmark against it, highlighting its global relevance.

NSE MD & CEO Ashishkumar Chauhan welcomed the launch, stating: "We are pleased to support Sberbank in launching Nifty50-linked investment solutions that strengthen capital flows and open India's equity growth to Russian investors through a trusted benchmark. This initiative reflects strong confidence in India's markets and deepens the India–Russia financial cooperation. NSE is committed to partnering with Sberbank to enhance market connectivity, uphold regulatory and investor-protection standards, and build liquidity and transparency for these products as we create new opportunities for investors in both countries."

Sberbank's Herman Gref said the move fills a longstanding gap for Russian individuals seeking direct access to Indian markets. "We are opening another window of investment opportunities for our Russian clients, this time to South Asia. Our new product provides a convenient way to gain exposure to one of the world's key economic markets -- the Indian stock market. Until now, no straightforward options existed for Russian investors seeking personal investments in Indian assets. However, we have created a new and efficient financial bridge between the two countries."

The announcement comes amid Russia President Vladimir Putin's first state visit to India since the beginning of the war in Ukraine.