Stocks

Mirae MF launches Nifty Next 50 ETF

Our Bureau Mumbai | Updated on January 13, 2020 Published on January 13, 2020

Mirae Asset Mutual Fund has launched new fund offer of Mirae Asset Nifty Next 50 ETF, an open-ended scheme replicating the Nifty Next 50 Total Return Index.

The NFO will be open for subscription till January 21, and will open for continuous sale and re-purchase from January 27. This is the second ETF offering from the fund house.

Swarup Mohanty, CEO, Mirae Asset Investment Managers, said that there has been a huge polarisation in the stock market, with 10 stocks contributing to almost the returns of the index in the last calendar year.

The Nifty Next 50 index is a fairly diversified one, which has sector and stock concentration significantly lower than the index, and gives investors the opportunity to participate in the potential returns of future bluechip companies, he added.

He said, “The Nifty Next 50 Index has historically given higher returns with similar return to risk profile as compared to Nifty 50 Index in longer horizon (five, seven, 10 years) and better returns than the Nifty mid-cap 100 index across all major horizons (six months, one, three, five, seven, 10 year period, as of December). In the last two years, there has been a huge divergence in the returns between Nifty 50 and Nifty Next 50 index, which should normalise and hence believe this is a good time for investors to participate in performance of Nifty Next 50 index.”

Mirae Asset Investment Managers manages seven equity funds, five debt funds, two Hybrid Funds, one close-ended fixed maturity plan and one ETF.

Published on January 13, 2020
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