HDFC Banking ETF is a passively managed exchange-traded fund which will invest in NIFTY Bank Index companies in the same proportion as the NIFTY Bank Index. The open-ended new fund offer (NFO) is open from 10th to 14th August 2020.
| Good to know Exchange-traded funds (ETFs): Exchange-traded funds (ETFs) are mutual funds that are traded like equities on an exchange. ETF units are traded at market-determined prices and are bought and sold during market hours through demat accounts. NIFTY Bank Index: The NIFTY Bank Index represents the 12 most traded stocks of the Indian banking sector on the National Stock Exchange (NSE). The index is among the most traded sector indices in India. The index comprises both private and PSU banks from the large and midcap categories. |
Click here to invest in HDFC Banking ETF
Investment objective
This ETF will invest in equity securities covered by the NIFTY Bank Index. It aims to provide investment returns that are commensurate with the performance of the NIFTY Bank Index before expenses.
Asset allocation
Securities covered by the NIFTY Bank Index will form over 95% of the investment. The rest will be invested in debt and money market instruments.
| Instruments | Allocation (% of total assets) | Risk profile | |
| Minimum | Maximum | ||
| NIFTY Bank Index securities | 95 | 100 | High |
| Debt & money market instruments | 0 | 5 | Medium |
Scheme details
| Name | HDFC Banking ETF |
| Type | Open-ended scheme mimicking the NIFTYBank Index |
| Category | Exchange-traded fund |
| Investment objective | To provide investment returns that, before expenses, closely correspond to the total returns of the securities represented by the NIFTY Bank Index |
| Benchmark | NIFTY Bank Index (Total Returns Index) |
| Entry/Exit load | Nil |
| Fund manager | Mr. Krishan Kumar Daga |
| Options | |
| Minimum application amount (during NFO) | Rs. 5,000 per application and in multiples of Re.1 thereafter. |
| Additional application amount | The minimum number of units that can be bought or sold on the exchange is 1 (one) unit and in multiples of 1 unit. |
| This product is suitable for investors who are seeking:* | Riskometer |
| Investors understand that their principal will be at High risk. |
*Investors should consult their financial advisors if in doubt about whether the product is suitable for them.
Note: The above information has been sourced from the Scheme Information Document provided by HDFC AMC. To read the entire document, click here.
Disclaimer
- RKSV Securities India Private Limited (ARN/Distributor - 107930; brand name Upstox) is the distributor of the mutual fund. Please consult your investment advisor before investing.
- Investment in a mutual fund is subject to market risks; please read the offer document carefully before investing.