Mirae AMC - LIQUID ETF

About Mirae Asset Nifty 1D Rate Liquid ETF

• Mirae Asset Nifty 1D Rate Liquid ETF is an open-ended scheme offered by Mirae Aset Mutual Fund House.
• The ETF invests primarily invests in short-term debt instruments.
• The fund was launched on July 27, 2023.
• Amit Modani is the fund manager of the Mirae Nifty 1D Rate Liquid ETF.
• Mirae Asset Nifty 1D Rate Liquid ETF’s assets under management (AUM) stood at ₹496.21 crore as of July 31, 2024.
• As the ETF units are listed on the NSE and BSE platforms one can invest by buying units through a broker.
• The ETF units can be bought and sold by retail investors directly through a demat account with a registered broker.

Investment Objective & Benchmark

• The investment objective of the ETF is to mirror the performance of its underlying index as closely as possible, subject to minor tracking errors.
• It is benchmarked against the Nifty 1D Rate Index, which measures the returns generated by market participants lending in the overnight market.
• This ETF invests in money market instruments such as treasury bills, certificates of deposit, commercial papers and other short-term debt instruments that provide liquidity and safety.
• Investors can expect predictable returns as the ETF primarily invests in fixed-income securities with known maturity dates and coupon payments.
• Mirae Asset Nifty 1D Rate Liquid ETF is an efficient and convenient solution for utilising the cash balance between trades in the equity market.
• The fund has a low-risk profile.
• The ETF is suitable for investors seeking stable income and capital preservation over the investment horizon.
• Bond ETFs can offer tax efficiency benefits, including potentially lower tax rates on capital gains and the possibility of indexation benefits for long-term capital gains.

Asset Allocation & Portfolio Composition

• The fund allocation of Mirae Asset Nifty 1D Rate Liquid ETF comprises around 99.59% in TREPS/Repo and 0.41% in cash equivalents.
• Since its inception, the fund has delivered a return of 6.46% to its investors.
• In the last one year, Mirae Asset Nifty 1D Rate Liquid ETF gave a return of 6.45% while its benchmarked index gave a return of 7.38% as of July 31, 2024.