Baroda BNP Paribas Asset Management India Private Limited has launched a new investment option called the Baroda BNP Paribas Health and Wellness Fund.
This fund’s New Fund Offer (NFO) starts on June 9, 2025, and ends on June 23, 2025.
It is an open-ended equity scheme that will invest in companies benefiting from the growing demand for healthcare and wellness services, both in India and worldwide.
The fund aims to take advantage of long-term growth in healthcare. India’s health spending per person is still much lower than in developed countries but is expected to rise because of higher incomes, better awareness, longer life expectancy, and more chronic illnesses.
Key Details and Investment Benefits
Fund House: Baroda BNP Paribas Mutual Fund
Open Date: June 9, 2025
Close Date: June 23, 2025
Type: Open-ended equity (sectoral pharma)
Minimum Investment: ₹1,000
Lock-in Period: None
Exit Load: 1% if redeemed within 1 year
Risk Level: Very High
Benchmark: BSE Healthcare TRI
Why Should You Invest?
The healthcare sector has shown strong past performance. The BSE Healthcare Index has outperformed the broader BSE 500 index over 1, 3, 7,
and 15 years because of consistent growth in large, mid, and small companies.
1-Year Return: 21.4%
5-Year CAGR: 21.7%
10-Year CAGR: 10.6%
Similarly, the NSE Healthcare Index also performed well:
1-Year Return: 18.44%
5-Year CAGR: 20.37%
Since Inception CAGR: 14.88%
Who is this Fund for?
This fund suits investors who plan to invest for 3 years or more and want to benefit from India’s growing health and wellness sector.
Investment Approach
Focus on pharma and healthcare companies
At least 80% of investments will be in pharma, healthcare, and related services
Actively managed using bottom-up stock picking
Invests across large, mid, and small-cap companies
The Future of Healthcare Investment in India
Suresh Soni, CEO of Baroda BNP Paribas AMC, explained that India’s average life expectancy has tripled over the past 100 years.
People need ongoing healthcare, but health spending per person in India is still low, which creates a big investment opportunity.
Chronic diseases like heart problems, diabetes, and cancer are expected to increase by 34-41% this decade.
This means more demand for healthcare infrastructure, making the sector attractive for investment.
Sanjay Chawla, CIO-Equity, said India offers a $200 billion opportunity across pharma, diagnostics, medical technology, hospitals, insurance, and health research, with more than 100 companies to invest in.
India’s Pharma Industry Highlights
Supplies 50% of Africa’s generic drugs
Provides 40% of generic drugs used in the US
Accounts for 25% of drugs used in the UK
Has the highest number of USFDA-approved drug manufacturing sites worldwide
