Baroda BNP Paribas Mutual Fund has launched the Baroda BNP Paribas Energy Opportunities Fund, a new fund offer (NFO) aimed at capitalizing on the growth opportunities in India’s energy sector. The NFO will be open for subscription from January 21, 2025, to February 4, 2025. The fund's objective is to help investors benefit from the expanding energy sector as India moves towards becoming a developed economy. With at least 80% of its assets allocated to equity instruments of companies engaged in traditional and new energy across market capitalizations, the fund is positioned to leverage India's energy sector potential. India's GDP is projected to grow significantly, leading to a 1.7 times increase in energy demand. The Nifty Energy TRI has shown superior performance metrics compared to the broader market, making it an attractive investment theme. The fund's portfolio strategy includes investments in traditional energy sources like coal, crude oil, and gas, as well as new energy transitions such as solar, wind, hydro, and hydrogen. The focus on government initiatives like increasing the share of natural gas and renewable energy capacities further strengthens the fund's investment prospects. The fund's benchmark, Nifty Energy TRI, has consistently outperformed the Nifty 500 TRI over various time periods, indicating positive growth potential. The CEO highlighted the importance of energy in driving prosperity and expressed confidence in the fund's ability to unlock profitable opportunities for investors. With a strategic focus on equity investors with a holding period of three years or more, the fund aligns with India's energy story driven by structural changes and government support for improving energy security. The energy sector in India has been undergoing significant reforms and initiatives, including schemes for solar modules, rooftop solar, battery energy storage systems, and the National Green Hydrogen Mission, showcasing a positive outlook for the sector's future growth.