CPSE ETF’s second tranche lists on exchanges

PTI New Delhi | Updated on January 12, 2018 Published on January 31, 2017


The second tranche of CPSE Exchange Traded Fund, operated by Reliance Mutual Fund, got listed on the stock exchanges today.

It is currently trading at Rs 27.85, higher than the allotment price of Rs 25.21.

“Units issued under Further Fund Offer (FFO) of Reliance Mutual Fund — CPSE ETF are available for trading on the exchange with effect from January 31, 2017,” stock exchanges said in similarly worded circulars.

The Reliance Mutual Fund-managed Central Public Sector Enterprises—Exchange Traded Fund (CPSE ETF), which opened for subscriptions on January 17-20, was subscribed 2.30 times, with bids worth Rs 13,802 crore pouring in against the issue size of Rs 6,000 crore.

The Further Fund Offer of CPSE ETF had a size of Rs 4,500 crore, with an option to retain another Rs 1,500 crore in case of over—subscription.

“Privileged to have been part of governments successful and value creating disinvestment exercise through ETFs that got listed today,” Reliance Mutual Fund CEO Sundeep Sikka said.

All investors gained absolute 9.25 per cent in 10 days.

CPSE ETF was launched in March 2014 by Goldman Sachs Asset Management India. In the inaugural issue, it raised Rs 4,300 crore against a target of Rs 3,000 crore.

Reliance Mutual Fund operates the fund now after it bought Goldman’s mutual fund business in the country in 2015.

Published on January 31, 2017
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