Mirae Asset Mutual Fund is launching an exchange-traded fund (ETF) that will track the NYSE FANG+ Total Return Index. The NFO opens on April 19, 2021, and closes on April 30, 2021.
What are ETFs?
Exchange-traded funds are funds that are listed on the exchanges and are traded just like stocks. ETFs in India are similar to index mutual funds. They track a particular index by imitating the constituents but are traded on the exchanges.
For this ETF, the fund will be tracking the NYSE Fang + Index and will be listed on the BSE and the NSE.
The investment objective of the scheme is to track the performance of the NYSE FANG+ Total Return Index.
NYSE FANG+ Total Return Index
The NYSE FANG+ Index is a U.S.-based stock market index. The index gives investors exposure to 10 of the mist most highly traded tech giants. FAANG expands to Facebook, Apple, Amazon, Netflix, and Google. Apart from the Faang stocks, the index has other stocks like Twitter, Tesla, Alibaba and more.
Under normal circumstances, the asset allocation will be as follows:
|Types of Instruments||Indicative allocation (% of total assets)||Risk Profile|
|Securities included in the NYSE FANG+ Index||95%||100%||High|
|Money market instruments / debt securities, Instruments and/or units of schemes of domestic Mutual Funds.||0||5%||Low to
|Scheme name||Mirae Asset NYSE FANG+ ETF|
|Type of scheme||An open ended scheme replicating/tracking NYSE FANG+ Total Return Index|
|NFO Dates||April 19, 2021 to April and 30, 2021|
|Fund Managers||Siddharth Srivastava|
|Minimum Amount for Application during NFO||minimum investment of Rs.5,000/- and in multiples of Re. 1/- thereafter.|
|Minimum Redemption Amount||Any amount|
|Load||a) Entry Load: Not Applicable
b) Exit Load: NIL
|Plans||The Scheme does not offer any Plans/Options for investment.|
|Options||The Scheme does not offer any Plans/Options for investment.|
|Minimum SIP Amount||Not available|
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