Mutual Fund News : Mirae Asset Mutual Fund Launches Mirae Asset Nifty Bank ETF

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Mirae Asset Mutual Fund introduces – Mirae Asset Nifty Bank ETF

It is open-ended scheme replicating/tracking Nifty Bank Total Return Index.

Accordingly, the investment objective of the scheme is to generate returns, before expenses, that are commensurate with the performance of the Nifty Bank Total Return Index, subject to tracking error. There is no assurance or guarantee that the investment objective of the scheme would be achieved.

Under normal circumstances, Mirae Asset Nifty Bank ETF will hold an allocation of 95% to 100% of its assets in Securities included in the Nifty Bank Index and 0% to 5% in Money market instruments / debt securities, Instruments and/or units of debt/liquid schemes of domestic Mutual Funds.

As per the Scheme Information Document, Mirae Asset Nifty Bank ETF will be managed passively with investments in stocks in the same proportion as in the Nifty Bank Index. The investment strategy would revolve around reducing the tracking error to the least possible through regular rebalancing of the portfolio, considering the change in weights of stocks in the Index as well as the incremental collections/redemptions in the Scheme. A part of the funds may be invested in debt and money market instruments, to meet the liquidity requirements.

Mirae Asset Nifty Bank ETF’s performance will be benchmarked against Nifty Bank TRI Index

The scheme will be managed by Ms Ekta Gala.

The NFO opens for subscription on July 12, 2023 and closes on July 18, 2023. The schemes will reopen for continuous sale and repurchase on July 21, 2023.

The fund's face value is Rs 10/- per unit. The minimum subscription amount is Rs 1,000/- and in multiples of Re. 1/- thereof.

The Scheme does not offer any Plans/Options for investment.