Mirae Asset Mutual Fund has introduced the Mirae Asset Nifty EV and New Age Automotive ETF, an open-ended scheme designed to replicate the Nifty EV and New Age Automotive Total Return Index. This initiative represents India’s first Exchange Traded Fund (ETF) dedicated to the Electric Vehicles (EV) and New Age Automotive sector. The fund seeks to offer investors opportunities for long-term capital appreciation by investing in companies leading the way in the dynamic automotive industry and its comprehensive value chain.
The scheme’s new fund offer (NFO) will commence subscription on June 24 and close on July 5, with continuous sale and repurchase available from July 11 onwards. It will be benchmarked against the Nifty New Age and Automotive Total Return Index and managed by Ekta Gala and Akshay Udeshi. Notably, the fund will impose no exit load.
During the NFO period, the minimum initial investment required is Rs 5,000, with subsequent investments allowed in multiples of Re 1. The scheme will invest 95-100% of its assets in securities listed in the Nifty EV and New Age Automotive Index, with the remaining portion (0-5%) allocated to money market instruments such as tri-party repo/debt securities or units of debt/liquid schemes of domestic mutual funds.
Swarup Anand Mohanty, Vice Chairman as well as CEO of Mirae Asset Investment Managers (India), emphasized, “By introducing India’s inaugural ETF focused on the Electric Vehicles and New Age Automotive segment, we aim to provide investors with a distinctive opportunity to participate in the future of mobility while promoting sustainable development in the automotive sector.”
Siddharth Srivastava, Head of ETF Products, Mirae Asset Investment Managers (India), expressed that the ETF aims to leverage India’s vibrant automotive sector, providing investors with access to leading companies in EV and emerging automotive technologies across the entire value chain.
The ETF’s portfolio will include companies eligible for Production Linked Incentives (PLI) in the automobile and battery segments, as well as participants in initiatives like Faster Adoption and Manufacturing of Hybrid and Electric Vehicles (FAME), aligning with market trends and investor interests in the sector.
