Mirae Nifty Manufacturing ETF

About Mirae Asset Nifty India Manufacturing ETF

• Mirae Asset Nifty India Manufacturing ETF is an open-ended fund-of-funds scheme offered Mirae Asset Mutual Fund House.
• The scheme invests predominantly in various manufacturing industries, including automobiles, cement, chemicals and consumer goods.
• The scheme rebalancing is done semi annually to represent current largest companies and sectors. Reconstitution of the ETF happens, semi-annually in June and December.
• Ekta Gala and Vishal Singh are the fund managers.
• Mirae Asset Nifty India Manufacturing ETF was launched on Jan 31, 2022.
• Mirae Asset Nifty India Manufacturing ETF has assets under management (AUM) that stood at ₹190.47 crore as of June 30, 2024.
• The fund is traded on both stock exchanges, which enables investors to trade at market price during each session.
• One can invest in the scheme by buying the ETF units through a demat account with a registered broker.

Investment Objective & Benchmark

• The investment objective is to provide returns that correspond to the total return of the underlying index, subject to tracking errors.
• It is benchmarked against the Nifty Manufacturing Total Return Index which tracks the performance of India’s manufacturing sector. It is a subset of the Nifty 500 Index.
• The objective of ETF is to represent the top 75 companies from the Nifty 500, selected based on float-adjusted market capitalisation and liquidity across key sectors of thE economy.
• The Mirae Asset Nifty India Manufacturing ETF aims to provide long-term capital appreciation by investing in a portfolio composed of units from the Mirae Asset Nifty India Manufacturing ETF.
• The risk factor level of Mirae Asset Nifty India Manufacturing ETF is very high. The fund is suitable for investors with a time horizon of 3 years and above.

Asset Allocation & Portfolio Composition

• The fund's asset allocation comprises around 99.86% in equities and 0.14% in cash & cash equivalents.
• The ETF invests in companies across market capitalisations – 46.61% in giant, 20.73% in large-cap, 23.60% in mid-cap, 8.86% in small-cap and 0.19% in tiny-cap.
• The top 10 company holdings in the ETF make up 39.34% of the asset allocation.

Top 10 holdings in stocks of Nifty India Manufacturing ETF include:

• Reliance Industries Limited: 5.36%
• Mahindra & Mahindra Limited: 4.91%
• Tata Motors Limited: 4.87%
• aSun Pharmaceutical Industries Limited: 4.59%
• Maruti Suzuki India Limited: 4.44%
• Tata Steel Limited: 4.01%
• Bajaj Auto Limited: 2.96%
• Hindalco Industries Limited: 2.83%
• Bharat Electronics Limited: 2.83%
• Hindustan Aeronautics Limited: 2.54%

Sector-wise allocation in this fund;

• Pharma & Biotech: 22.54%
• Petroleum Products: 14.09%
• Auto Components: 8.99%
• Ferrous Metals: 8.56%
• Industrial Products: 6.93%
• Electrical Equipment: 5.55%
• Aerospace & Defense: 5.37%
• Chemicals & Petrochemicals: 4.82%
• Consumer Durables: 4.80%
• Others: 10.72%

Mirae Asset Nifty India Manufacturing ETF has given a return of 59.11% in the last year as of June 30, 2024, compared to the benchmark index’s 59.96 yield.

Since its inception, the fund has generated a return of 30.35% for its investors.