NIC ASIA Equity Linked Investment Scheme (ELIS)

Introducing Equity Linked Investment Scheme

NIC ASIA Equity Linked Investment Scheme (ELIS) is an open-ended mutual fund built for long-term wealth creation through equity investments. Managed by a team of experienced professionals, the fund offers diversified exposure to listed equities while offering full flexibility and liquidity. Whether you’re a first-time investor or seeking to strengthen your portfolio, ELIS offers a smart, simple, and accessible approach to long-term wealth creation.

NIC ASIA Equity Linked Investment Scheme is an open-ended mutual fund with an initial issue size of NPR 1 billion. The scheme aims to generate long-term capital appreciation while preserving unitholders’ capital by investing in a diversified portfolio of equities and stable fixed-income securities. The scheme does not charge any entry load. An exit load of up to 1.50% applies to redemptions made within the first six months, gradually reducing to none after 24 months. Units are not listed on NEPSE and may be purchased or redeemed directly through the Fund Manager or authorized distribution outlets.

The minimum purchase requirement is 100 units. This scheme is designed for investors seeking long-term wealth creation, capital preservation, and a disciplined savings habit.

 The features of NIC ASIA Equity Linked Scheme are

Systematic Investment Plan (SIP)

A Systematic Investment Plan (SIP) is a disciplined, smart and steady way to invest a fixed amount regularly in a mutual fund scheme. In this investment approach, investors contribute a fixed amount regularly in an investment vehicle like mutual funds. Instead of investing a large amount as lumpsum, this way of investing makes it easy for investors to grow their wealth in the form of regular investments. NIC ASIA Equity Linked Investment Scheme SIP helps investors leverages rupee cost averaging to buy more units when prices are low and fewer when high, mitigating market volatility.

SIP Booster

NIC ASIA Equity Linked Investment Scheme offers a SIP Booster option. This feature allows investors to purchase additional units beyond their regular SIP contributions. By using the SIP Booster—particularly during market dips—investors can increase their investment and enhance the potential for long-term wealth creation through compounding. Investors may choose the SIP Booster option at the time of SIP enrollment or later by updating their investment preferences through the designated application or service portal.

Systematic Withdrawal Plan (SWP)

A Systematic Withdrawal Plan (SWP) is a financial strategy that allows you to withdraw a fixed amount of money from your NIC ASIA Equity Linked Investment Scheme investments at regular intervals (monthly, quarterly, or annually).

While an SIP is for accumulating wealth, an SWP is for distributing it. It is often described as a "Reverse SIP" because instead of putting money in, you are getting a regular payout, making it an excellent tool for post-retirement income or a secondary paycheck.

Systematic Transfer Plan (STP)

A Systematic Transfer Plan (STP) is a strategic investment technique where an investor can transfer a fixed amount of money from one mutual fund scheme to another at regular intervals of the same fund manager. Think of it as a "Bridge" between safety and growth. It is ideal for individuals who have a large lump sum of money but are hesitant to invest it all into the volatile stock market at once.

Salary VANTAGE

Salary VANTAGE is a customized solution designed for organizations looking to enroll their employees in a Systematic Investment Plan (SIP). It works like a regular SIP but is specifically structured to suit salaried individuals, making it easier to invest regularly and build long-term wealth. By automating contributions directly from salaries, it encourages disciplined investing without requiring employees to manage payments manually.

Dividend Options

• Cash Dividend Option

A Dividend Option is one in which yearly dividends are allocated to unit holders.

• Growth Option

A Growth Option is one in which an investor instructs the Fund Manager to reinvest the yearly dividends given by NADDF back into NADDF through the acquisition of new units. Dividends are reinvested after applicable taxes have been deducted.

Mini SIP

A Mini Systematic Investment Plan (SIP) is a micro-version of the traditional SIP, designed to make investments in NIC ASIA Equity Linked Investment Scheme SIP accessible to everyone, regardless of their income level. It allows individuals to invest very small, fixed amounts—from Rs. 500 at regular intervals. It is particularly popular among students, daily wage earners, and young professionals who want to start their investment journey through SIP without putting a strain on their monthly budget.

Why NIC ASIA Equity Linked Investment’s Systematic Investment Plan (SIP)?
A Systematic Investment Plan (SIP) is a smart way to build wealth. It doesn’t require a large upfront amount, just small monthly contributions. And the best part? You don’t need to time the market.

SIP spreads your investment over time, helping you buy more units when prices are low and fewer when they’re high. This smooths out market ups and downs.

While experts say it’s best to buy during market dips and sell at highs, most investors struggle to follow that. SIP helps avoid the common mistake of investing more at market peaks and less during corrections.

Frequently Asked Questions

1. What is a mutual fund?

A mutual fund is a pool of money managed by a professional Fund Manager. It is a fund that collects money from a group of investors that share a common investment objective and invests it in stocks, bonds, money market instruments, and/or other assets. After subtracting appropriate fees, the income / profits created by this collective investment are dispersed proportionally among the investors.

2. What is Close Ended Mutual Fund?

A closed-end fund has a fixed term and a set maturity date, and it is only available for subscription during the initial offering period. Units of the fund can only be redeemed at maturity. After the initial offering, the units are listed on a stock exchange and traded like any other stock, allowing investors who wish to exit before maturity to sell their units on the market.

3. What is Open Ended Mutual Fund?

An open-ended mutual fund, also called an "open-end fund," accepts subscriptions and redemptions continuously throughout the year. It is perpetual and does not have a maturity date. Open-ended funds are initially issued through a New Fund Offer. After receiving their units, investors can buy more or sell existing units back to the fund at any time. Since units can be bought or sold during business hours, these funds are highly liquid. However, the fund may charge an exit fee when units are sold.

4. Why to choose NIC ASIA Equity Linked Investment’s SIP?

A Systematic Investment Plan (SIP) is a smart way to build wealth. It doesn’t require a large upfront amount, just small monthly contributions. And the best part? You don’t need to time the market. A SIP with NIC ASIA ELIS makes wealth-building simple and disciplined. It spreads your investment over time, helping you buy more units when prices are low and fewer when they are high. ELIS SIP offers a diversified equity portfolio with the flexibility to invest or redeem easily, providing a convenient and effective way to grow your wealth over the long term.

5. What is NAV (Net Asset Value)?

The Net Asset Value (NAV) per unit represents the current market value of a fund’s assets divided by the total number of units outstanding. For example, if a mutual fund holds securities worth Rs 10 lakh and has issued 1 lakh units, the NAV per unit would be Rs 10 (10 lakh ÷ 1 lakh). Since the value of the underlying securities changes daily, the NAV is updated each business day to reflect these fluctuations.

6. What is exit fee?

An exit fee is a charge applied when an investor sells units of a fund. It is calculated on the total redemption amount before any other charges are deducted. Exit fees are typically imposed to discourage early withdrawals, and the percentage charged usually decreases the longer the investment is held.