Mutual Fund News : UTI Mutual Fund Launches UTI Nifty Midcap 150 ETF

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UTI Mutual Fund introduces – UTI Nifty Midcap 150 ETF

It is an open-ended equity scheme replicating/ tracking the Nifty Midcap 150 TRI

Accordingly, the investment objective of the scheme is to provide returns that, before expenses, corresponds to the total returns of the securities as represented by the underlying index, subject to tracking error. However there is no guarantee or assurance that the investment objective of the scheme will be achieved.

Under normal circumstances, UTI Nifty Midcap 150 ETF will hold an allocation of 95% to 100% of its assets in Securities covered by Nifty Midcap 150 Index and 0% to 5% in Money Market Instruments, including Tri-Party Repo on government securities or T-bills, cash & cash equivalents or Liquid category of Mutual Fund.

[Read: 5 Best Mid Cap Mutual Funds to Invest in 2023 - Top Performing Mid Cap Mutual Funds in India]

As per the Scheme Information Document, UTI Nifty Midcap 150 ETF will track underlying Index and will use a passive or indexing approach to endeavour to achieve scheme investment objective.

Since the scheme is an exchange traded fund, the scheme will only invest in the security constituting the underlying index. However, due to corporate action in companies comprising of the index, the scheme may be allocated/allotted securities which are not part of the index. The fund house does not make any judgments about the investment merit of a particular stock or a particular industry segment nor will it attempt to apply any economic, financial or market analysis.

UTI Nifty Midcap 150 ETF’s performance will be benchmarked against Nifty Midcap 150 TRI

The scheme will be managed by Mr Sharwan Kumar Goyal and Mr Ayush Jain

The NFO opens for subscription on August 18, 2023 and closes on August 28, 2023. The schemes will reopen for continuous sale and repurchase on September 05, 2023.

The fund's face value is Rs 10/- per unit. The minimum subscription amount is Rs 5,000/- and in multiples of Re. 1/- thereof.

Currently, the scheme does not offer any Plans/Options for investment.