Motilal Oswal AMC files draft papers for BSE Select IPO ETF with SEBI: 10 things investors must know ahead of the launch

The scheme aims to provide returns corresponding to the performance of the BSE Select IPO TRI, subject to tracking error, and is suitable for investors seeking long-term capital growth through exposure to recently listed companies.

Units will be offered at ₹10 each during the New Fund Offer (NFO) and at NAV-based prices thereafter.

Key details such as scheme code, scrip code, NFO opening/closing dates, and listing date will be announced later.

The scheme is managed under the Motilal Oswal Mutual Fund umbrella, with Motilal Oswal Trustee Company Ltd. (MOTC) as the Trustee.

Motilal Oswal BSE Select IPO ETF: 10 things to know

1. The units of Motilal Oswal BSE Select IPO ETF are proposed to be listed on the National Stock Exchange of India Ltd. (NSE), offering investors liquidity through trading on all business days.

2. Unit prices on the exchange may vary from the Net Asset Value (NAV) depending on market demand and supply.

3. Direct purchase or redemption with the AMC is allowed only for eligible Investors in creation unit size, with a minimum transaction value of ₹25 crore.

4. Units will be issued, traded, and settled only in demat (electronic) form.

5. The first NAV will be declared within 5 business days of allotment. Subsequently, NAVs will be updated daily on www.motilaloswalmf.com, www.amfiindia.com, and NSE, before 11:00 p.m.

6. Minimum Investment

During NFO: ₹500 and in multiples of ₹1 thereafter.

Ongoing Basis:

On Exchange: Minimum 1 unit.

Directly with AMC: ₹25 crore (in creation unit size).

7. Exit Load: Nil.

8. Investors can sell units on NSE at prevailing market prices. Direct redemptions with AMC are allowed for Market Makers and Eligible Investors (in creation units).

AMC may provide a liquidity window (up to ₹25 crore) if:

• ETF trades at >1% discount to NAV for 7 consecutive days, or

• No quotes are available for 3 trading days, or

• Low bid size on the exchange persists for 7 days.

9. Units will be issued at ₹10 each, plus a premium equal to the difference between face value and allotment price.

10. Additional details

ASBA facility available during NFO.

No IDCW option, plans, or sub-options.