Mirae Mutual Fund Launches India’s First EV ETF

Mirae Asset Mutual Fund announced the launch of Mirae Asset Nifty EV and New Age Automotive ETF, an open-ended scheme tracking NIFTY EV and New Age Automotive Total Return Index. This fund will be India’s first exchange-traded fund (ETF) focused on Electric Vehicles and the New Age automotive segment.

How will it work?

The new fund is named Mirae Asset Nifty EV and New Age Automotive ETF. This new EV-based ETF aims to offer investors long-term capital appreciation opportunities by investing in the equity of companies that are at the forefront of the dynamic and rapidly evolving automotive sector and the entire value chain. The new fund offer or NFO of the scheme will be opened for subscription on June 24 and will close on July 5. It will re-open for continuous sale and repurchase on July 11. The scheme will be benchmarked against the Nifty New Age and the automotive Total Return Index. This innovative ETF is designed to capture the growth of companies participating in emerging segments such as Electric Vehicles, Hybrid Vehicles, and Battery Manufacturing, across various sectors and market cap segments. Furthermore, the index will also aim to include companies engaged in potential future disruptions such as Hydrogen-fuel cell technologies and Autonomous Vehicles.

What are its Technicalities?

The minimum initial investment during NFO will be Rs. 5,000 with subsequent investments being multiples of Re.1. The scheme will invest 95-100% in securities included in the Nifty EV and New Age Automotive Index and 0-5% in the money market instruments including tri-party repo/ debt securities, instruments and/or units of debt/liquid schemes of domestic mutual funds.

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Conclusion: With the launch of India’s first ETF focused on the EV and New Age Automotive segment, Mirae Mutual Funds aims to provide avenues for long-term capital appreciation while supporting sustainable development and offering investors a unique opportunity to participate in future mobility.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.