Nepal’s capital market continues to offer new opportunities for investors through new IPOs in Nepal. One of the latest investment options is the NIC Asia Equity Linked Investment Scheme (NICAELIS), an open-ended mutual fund launched by NIC Asia Capital Limited.
This new IPO opening in Nepal allows general public investors to subscribe at a face value of NPR 10 per unit. Mutual funds like NICAELIS are designed to provide investors with diversification, professional management, and easier access to the stock market. This article covers all essential information about the fund, including issue dates, application process, investment features, risks, and FAQs.
Basic Information About NICAELIS IPO
Here is a detailed summary of the IPO details:
| Particulars | Details |
|---|---|
| Scheme Name | NIC Asia Equity Linked Investment Scheme (NICAELIS) |
| Type | Open-Ended Mutual Fund |
| Issue Manager | NIC Asia Capital Limited |
| For General Public | Yes – New IPO Units |
| Issue Open Date | 14th August 2025 (9:00 AM) |
| Issue Close Date | 18th August 2025 (5:00 PM) |
| Number of Units Issued | 50,000,000 units |
| Price per Unit | NPR 10 |
| Minimum Application | 100 units |
| Maximum Application | 10,000,000 units |
| Divisible Quantity | 100 units |
| Remarks | NFO (New Fund Offer) for General Public |
This table highlights the key details of the new IPO update in Nepal, helping investors make informed decisions.
What is an Open-Ended Mutual Fund?
An open-ended mutual fund allows investors to buy and redeem units directly from the fund after the initial issue. Unlike close-ended funds, which are listed on NEPSE and traded like shares, open-ended funds provide flexibility and liquidity.
Key points about open-ended funds:
- Investors can subscribe during the New Fund Offer (NFO) period.
- After listing, units can be bought or sold at the Net Asset Value (NAV).
- Professional fund managers handle portfolio allocation and monitoring.
- Suitable for long-term investors seeking market exposure without picking individual stocks.
The NICAELIS scheme primarily invests in equity shares listed on NEPSE with a portion allocated to debentures, deposits, and other approved instruments.
Features and Advantages of NICAELIS
This new share issue in Nepal provides the following features for investors:
Advantages
- Low Entry Cost: Minimum application is 100 units, equivalent to NPR 1,000.
- Professional Management: Fund managed by NIC Asia Capital experts.
- Diversification: Money is invested across multiple stocks and sectors to reduce risk.
- Liquidity: Being open-ended, investors can redeem or purchase units anytime after the NFO.
- Accessibility: Available for general public through MeroShare online platform.
Risks and Considerations
- NAV of the fund may fluctuate due to market performance.
- Returns are not guaranteed; performance depends on equity market trends.
- Suitable for investors with moderate to long-term investment goals.
- Investors should read the prospectus carefully to understand investment objectives and risk factors.
How to Apply for NICAELIS IPO
Applying through MeroShare is straightforward:
- Login to your MeroShare account at meroshare.cdsc.com.np.
- Go to the IPO/FPO/Mutual Fund section.
- Select NIC Asia Equity Linked Investment Scheme (NICAELIS).
- Enter the number of units you want to subscribe (minimum 100, maximum 10,000,000).
- Review the details carefully.
- Submit the application and confirm through your bank (ASBA process).
Investors should ensure sufficient funds in their linked bank accounts before applying, as the system will block the required amount until allotment is confirmed.
Key Points for Nepali Investors (नेपालीमा जानकारी)
- नयाँ IPO → NIC Asia Equity Linked Investment Scheme (NICAELIS)
- मूल्य: प्रति इकाई रु. १०
- न्यूनतम आवेदन: १०० इकाई
- अधिकतम आवेदन: १०,००,००० इकाई
- आवेदन अवधि: २०७८ साउन २९ गतेदेखि ३२ गतेसम्म (14th – 18th August 2025)
- प्रकार: Open Ended Fund – बादमा पनि प्रत्यक्ष खरिद/बिक्री गर्न सकिन्छ
- लगानी जोखिम: बजार मूल्य अनुसार NAV घटबढ हुन सक्छ, निश्चित फाइदा छैन
FAQs – NICAELIS Mutual Fund IPO
Q1. What is the minimum investment required?
A: Minimum subscription is 100 units, equivalent to NPR 1,000.
Q2. Can I buy more than the minimum units?
A: Yes, maximum units you can apply for are 10,000,000. Units must be in multiples of 100.
Q3. Is this IPO only for NEPSE-listed investors?
A: No. Any general public investor with a MeroShare account can apply.
Q4. Can I sell units after the IPO?
A: Yes. Since this is an open-ended mutual fund, you can redeem units at NAV anytime after allotment.
Q5. Is the return guaranteed?
A: No. Returns depend on the performance of equity shares in the fund portfolio.
Q6. How can I check my WACC/holding?
A: Once allotted, check your weighted average cost per unit in MeroShare to monitor your investment and calculate potential gains.
Q7. Is there any tax applicable?
A: Yes. Capital gains tax may apply when units are redeemed. Investors should consult tax regulations or professionals.
Conclusion
The NIC Asia Equity Linked Investment Scheme (NICAELIS) offers a practical opportunity for Nepali investors looking to invest in a new IPO in Nepal without directly picking individual shares. With professional management, low entry cost, and liquidity through an open-ended structure, it is suitable for investors seeking moderate-risk, long-term market exposure.
As always, investors are encouraged to read the full prospectus, understand the risks, and apply based on their investment goals. This article serves as a neutral informational guide to help Nepali investors make informed decisions on the new IPO MeroShare application.