NIP ETF Shariah Bees

About Nippon India ETF Nifty 50 Shariah BeES

• Nippon India ETF Nifty 50 Shariah BeES is an exchange-traded fund offered by the Nippon India Mutual Fund house.
• The ETF was launched on March 18, 2009.
• It includes stocks of top Shariah-compliant companies in the Indian economy.
• Himanshu Mange has been the fund manager for Nippon India ETF Nifty 50 Shariah BeES since December 2023.
• Investment in Nippon India ETF Nifty 50 Shariah BeES can be done through a demat account.
• The ETF units can be bought and sold just like an equity stock during the usual trading hours.

Investment Objective & Benchmark

• The ETF aims to offer returns that closely correspond to the total returns of the securities as represented by the underlying index.
• The scheme is benchmarked against the Nifty50 Shariah Index, designed to offer investors Shariah-compliant investment solutions. The constituents of the index are screened for Shariah compliance.
• It includes stocks from various sectors, ensuring diversification of funds and limiting sectoral risks.
• The scheme invests largely in top companies based on market capitalisation and hence offers greater stability.
• Presently, the ETF is heavily invested in the IT sector.

Asset Allocation & Portfolio Composition

• The ETF has allocated over 99% of its assets to equity. The remaining 0.69% are invested in cash and debt instruments.
• It includes stocks from across sectors with technology companies making up 49.88% of the assets. The ETF has invested 14.35% of the funds in healthcare, 14.30% in consumer staples, 14.05% in materials, 4.01% in energy and the remaining 3.41% in companies from other sectors.
• The fund largely follows a growth-oriented approach investing in companies of different market capitalisation. It has allocated 79.37% of the fund to giant cap, 10.30% to large and 10.33% to mid-cap companies.
• The top 10 company holdings of the ETF make up 77.81% of the asset allocation as of June 2024.

Here's a list of the top 10 company holdings in Nippon India ETF Nifty 50 Shariah BeES:

• Infosys Ltd - 21.24%
• Tata Consultancy Services - 14.84%
• Hindustan Unilever Ltd- 8.28%
• Sun Pharmaceuticals Industries Ltd - 8.18%
• HCL Technologies Ltd- 6.8%
• UltraTech Cement Ltd- 5.08%'
• Asian Paints Ltd- 4.94%
• Coal India Ltd - 4.06%
• Oil & Natural Gas Corporation Ltd- 4.01%
• Nestle India Limited 3.42%

The ETF has delivered a return of 23.72% compared to 25.10% earnings of the underlying index in the past year, as of June 28, 2024.

Since its inception, the Nippon India ETF Nifty 50 Shariah BeES has delivered a return of CAGR of 14.54%.