ICICI Prudential Mutual Fund has launched the ICICI Prudential Nifty Next 50 ETF. The NFO for this fund will run from 13th to 16th August 2018. ICICI Pru Nifty Next 50 ETF will invest 95 to 100% of its assets in equities of companies that comprise the Nifty Next 50 Index. 0-5% of the scheme’s assets be invested in various money market instruments.
The ICICI Pru Nifty Next 50 ETF will track returns of the Nifty Next 50 Index within acceptable margins of tracking error and the same index will serve as its benchmark. The Nifty Next 50 Index has featured 6.33% and 21.61% returns for the 1 year and 3 year periods respectively.
The major contributors to this index are the consumer goods, financial services and automobile sectors which account for approximately 28%, 21% and 11% of the overall index weight. The current P/E ratio of the Nifty Next 50 Index is on the higher side at 46.46. In terms of weightage, top investments of this new ETF are expected to include Britannia Industries, JSW Steel, Godrej Consumer Products and Motherson Sumi Systems.
The ICICI Pru Nifty Next 50 ETF will be managed by Kayzad Eghlim who also currently manages other leading passively managed funds such as ICICI Prudential Midcap Select ETF, ICICI Prudential Nifty Index Fund and Bharat 22 ETF. Among these the Bharat 22 ETF is one of the most popular schemes in the category with AUM of Rs. 6,930 crore recorded on 31st July, 2018.
Key Details of the ICICI Prudential Nifty Next 50 ETF NFO
| Minimum Subscription | Rs. 5000 |
| Fund Manager | Kayzad Eghlim |
| NFO Period | 13th August to 16th August 2018 |
| Benchmark | Nifty Next 50 Index |
Other Funds by ICICI Prudential Asset Management
| Scheme Name | 3Y Returns (%) | AUM (Rs. Cr.) | Category |
| ICICI Prudential US Bluechip Equity Fund | 17.56 | 155.44 | Sectoral/Thematic Fund |
| ICICI Prudential Technology Fund | 16.88 | 366.24 | Sectoral/Thematic Fund |
| ICICI Prudential FMCG Direct Plan | 12.83 | 389.29 | Sectoral/Thematic Fund |
| ICICI Prudential Banking and Financial Services Fund | 12.82 | 2703.9 | Sectoral/Thematic Fund |
| ICICI Prudential Nifty Index Fund | 11.59 | 327.6 | Large Cap Fund |
| ICICI Prudential Asset Allocator Fund (FOF) | 10.5 | 5.74 | Balanced Hybrid Fund |
| ICICI Prudential Bluechip Fund | 10.45 | 17141.91 | Large Cap Fund |
| ICICI Prudential Constant Maturity Gilt Fund | 10.08 | 26.27 | Gilt Fund with 10 year constant duration |
| ICICI Prudential Balanced Advantage Fund | 10.06 | 27123.16 | Dynamic Asset Allocation or Balanced Advantage |
| ICICI Prudential Long Term Bond Fund | 9.89 | 1223.84 | Long Duration Fund |
| ICICI Prudential Global Stable Equity Fund (FOF) | 9.81 | 90.62 | Sectoral/Thematic Fund |
| ICICI Prudential Regular Savings Fund | 9.62 | 1355.69 | Conservative Hybrid Fund |
| ICICI Prudential Regular Gold Savings (FOF) | 9.49 | 44.61 | Gold Funds |
| ICICI Prudential Long Term Equity Fund (Tax Saving) | 9.18 | 5299.48 | ELSS |
| ICICI Prudential All Seasons Bond Fund | 9.09 | 2286.07 | Dynamic Bond Fund |
| ICICI Prudential Gilt Fund | 8.96 | 743.86 | Gilt Fund |
| ICICI Prudential Credit Risk Fund | 8.88 | 10408.93 | Credit Risk Fund |
| ICICI Prudential Child Care Gift Fund | 8.88 | 477.69 | Aggressive Hybrid Fund |
| ICICI Prudential Multicap Fund | 8.52 | 2856.06 | Multi Cap Fund |
| ICICI Prudential Short Term Fund | 8.47 | 9123.29 | Short Duration Fund |
{Data as on Feb 19, 2020; Source: Value Research}