Top Nifty 100 Index Funds in India

The Nifty 100 Index represents India’s 100 largest listed companies by combining the constituents of the Nifty 50 and Nifty Next 50. As of 2026, it accounts for a significant share of the NSE’s free-float market capitalisation, making it one of the broadest benchmarks for the Indian large-cap equity market. Nifty 100 Index Funds provide a passive way to track this benchmark by investing in its constituent companies. This article explores the best Nifty 100 Index Funds, how the index works, taxation, benefits, risks and key factors to consider before investing.

Top Nifty 100 Index Funds

Disclaimer: Please note that the above list of the best flexi cap mutual funds is for educational purposes only, and is not recommendatory. Please do your own research or consult your financial advisor before investing. The data is derived from Tickertape Mutual Fund Screener and is subject to real-time updates.

Note: The data on the list of the best flexi cap investment funds is from 3rd July 2026. This data is derived from the Tickertape Mutual Funds Screener.

• Category: Index Fund
• AUM: Sorted from Highest to Lowest

🚀 Pro Tip: You can use Tickertape’s Mutual Fund Screener to research and evaluate funds with over 50+ pre-loaded filters and parameters.

What is the Nifty 100 Index?

The Nifty 100 Index tracks the performance of the top 100 large-cap companies listed on the NSE. It includes all companies from the Nifty 50 and Nifty Next 50 indices. The index is based on free-float market capitalisation, which means companies with higher publicly available market value get a higher weight. It is commonly used as a benchmark for large-cap mutual funds, index funds and ETFs.

How the Nifty 100 Index Selects Stocks?

• Parent Universe: The index combines all companies from the Nifty 50 and Nifty Next 50, representing India’s top 100 listed companies.
• Large-Cap Selection: Only large-cap companies based on free-float market capitalisation are included, ensuring broad representation of established listed businesses.
• Free-Float Market Capitalisation: Stock weights depend on publicly available shares, giving larger free-float companies a higher influence on index performance.
• Liquidity Requirements: Companies must satisfy NSE’s trading frequency and liquidity criteria to ensure their shares can be traded efficiently.
• Sector Diversification: The index includes companies across multiple industries, providing broad exposure to major sectors of the Indian economy.
• Periodic Rebalancing: NSE Indices periodically review the index, adding or removing companies based on eligibility and changes in market capitalisation.

Overview of Nifty 100 Index Funds in India

Axis Nifty 100 Index Fund

Axis Nifty 100 Index Fund tracks the Nifty 100 Index, which represents 100 large-cap companies listed on NSE. The scheme follows a passive investment approach and aims to replicate the index portfolio, subject to tracking error, expenses and rebalancing differences.

HDFC NIFTY 100 Equal Weight Index Fund

This index fund tracks the Nifty 100 Equal Weight Index. Unlike market-cap-weighted indices, it assigns equal weight to all 100 constituents, reducing dependence on the largest companies in the index.

HDFC NIFTY 100 Index Fund

HDFC NIFTY 100 Index Fund tracks the Nifty 100 Index and invests in companies forming part of the benchmark. It provides passive exposure to India’s large-cap equity market, subject to tracking difference and fund expenses.

Bandhan Nifty 100 Index Fund

Bandhan Nifty 100 Index Fund follows the Nifty 100 Index, which combines companies from Nifty 50 and Nifty Next 50. The fund aims to mirror the benchmark portfolio and performance, subject to tracking error.

Sundaram Nifty 100 Equal Weight Fund

This index fund tracks the Nifty 100 Equal Weight Index. It gives equal allocation to all 100 index constituents, unlike free-float market-cap-weighted indices, where larger companies receive higher weights.

Tax on Nifty 100 Index Funds

Nifty 100 Index Funds are generally treated as equity-oriented mutual funds for taxation, as they primarily invest in the equities comprising the Nifty 100 Index. The tax treatment depends on the holding period and the type of capital gain realised at redemption.

How to Invest in the Best Nifty 100 Index Fund in India?

You can start investing in Nifty 100 Index funds in India by following these steps:

1. First, visit an equity investment platform such as smallcase to explore available Nifty 100 Index funds.
2. Next, research and identify Nifty 100 Index funds based on your investment thesis, time horizon, and risk appetite. Tools like the Tickertape Mutual Fund Screener can help you filter and compare funds based on parameters such as returns, expense ratios, fund size, risk ratios, and more.
3. Once you shortlist the fund, visit smallcase, log in, and search for the fund by name. You can then choose the investment mode, either a one-time lump sum or an SIP, and complete the investment process.

Benefits of Investing in Nifty 100 Index Funds

• Large-Cap Exposure: Nifty 100 Index Funds track India’s top 100 large-cap companies, combining Nifty 50 and Nifty Next 50 constituents into one broad large-cap portfolio.
• Broad Market Representation: As of March 2026, the Nifty 100 represented about 64.95% of NSE’s free-float market capitalisation, making it a broad indicator of India’s large-cap market.
• Passive Investment Approach: These funds replicate the Nifty 100 Index rather than actively selecting stocks, so portfolio changes follow the index methodology and periodic rebalancing.
• Diversification Across Sectors: The index includes companies from multiple sectors, helping the fund spread exposure across different parts of the Indian economy.
• Lower Fund Manager Bias: Since the fund tracks a predefined index, stock selection is rule-based rather than dependent on the fund manager’s discretionary calls.

Risks Involved While Investing in Nifty 100 Index Funds

• Market Risk: These funds invest in equities, so NAVs can move with market corrections, earnings cycles, interest rates and broader economic conditions.
• Large-Cap Concentration Risk: Although the index has 100 stocks, higher-weight large-cap companies can influence overall performance more than smaller index constituents.
• Tracking Error: Fund returns may differ from index returns due to expense ratios, cash holdings, transaction costs, and timing differences during portfolio rebalancing.
• No Downside Protection: Passive funds continue to track the index during market declines and do not actively reduce exposure in response to short-term market conditions.
• Sector Weight Risk: Sector weights can change based on market capitalisation, so underperformance in heavily weighted sectors may affect index fund returns.

Factors to Consider When Investing in a Nifty 100 Index Fund

• Index Exposure: The fund tracks 100 large-cap companies from the Nifty 50 and Nifty Next 50, so its performance reflects movements in India’s broader large-cap equity market.
• Expense Ratio: The expense ratio shows the annual cost charged by the fund house. Since it is deducted from returns, it can affect long-term performance.
• Portfolio Weighting: The index follows free-float market capitalisation weighting, so larger companies and heavily weighted sectors can have a bigger impact on overall fund performance.
• Investment Horizon: Nifty 100 Index Funds are equity-oriented schemes, so short-term returns may fluctuate with market conditions. Holding period affects return experience.
• Risk Level: These funds carry equity market risk because their NAVs move with the underlying index, which can decline during market corrections or periods of weak earnings.
• Tax Treatment: Nifty 100 Index Funds are generally taxed as equity mutual funds. Capital gains tax depends on the holding period and prevailing tax rules.

Who Should Consider Nifty 100 Index Funds?

• Investors Tracking Large-Cap Exposure: These funds may be evaluated by investors seeking exposure to 100 large-cap companies through a single passive index-based portfolio.
• Investors Reviewing Passive Funds: Nifty 100 Index Funds follow an index-based methodology rather than relying on active stock selection by a fund manager.
• Investors Comparing Large-Cap Categories: These funds may be compared with Nifty 50 funds, large-cap funds and broader equity index funds.
• Investors Aware of Market Risk: Since these are equity-oriented funds, their NAV can move with market corrections, earnings cycles and broader economic conditions.
• Investors with Longer Horizons: Equity index funds may fluctuate in the short term, so holding period matters while reviewing return patterns.

To Wrap It Up…

Nifty 100 Index Funds offer exposure to a diversified portfolio of India’s largest listed companies through a passive investment approach. These funds generally track the Nifty 100 TRI, which includes both price movement and dividend reinvestment. Before investing, it is important to understand the fund’s tracking error, expense ratio, portfolio composition, risk profile and taxation. Investors can use the Tickertape Mutual Fund Screener to compare Nifty 100 Index Funds based on expense ratio, returns, AUM, risk metrics and other parameters, making it easier to research and evaluate different schemes before making an investment decision.

Frequently Asked Questions on Nifty 100 Index Funds