NFO Alert: Mirae Asset Mutual Fund Launches Nifty50 Equal Weight ETF

Mirae Asset Investment Managers has announced a New Fund Offer (NFO) for its latest exchange-traded fund – Mirae Asset Nifty50 Equal Weight ETF. The scheme is to replicate or track the Nifty50 Equal Weight Total Return Index.

• NFO Opens: April 30, 2025.
• NFO Closes: May 6, 2025.
• Reopens for Sale and Repurchase: May 12, 2025.
• Listing: To be listed on the NSE and BSE within 5 business days from the date of allotment.

Scheme Overview

This is an open-ended ETF that will invest in the 50 stocks that constitute the Nifty50 Equal Weight Index, assigning equal weight to each stock. The objective is to track the performance of the index as closely as possible, subject to tracking error. The scheme does not assure or guarantee returns.

Investment Details

• • Scheme Name: Mirae Asset Nifty50 Equal Weight ETF.
  • Type of Scheme: Open-ended, index-based ETF.
  • Benchmark Index: Nifty50 Equal Weight Total Return Index.
  • Minimum Investment (during NFO): ₹5,000 and in multiples of ₹1 thereafter.
  • Fund Managers: Ekta Gala and Akshay Udeshi.
  • Taxation: Treated as an equity-oriented fund for tax purposes.

• Lock-in Period: NA.

• Exit Load: 0.

• Plans: Growth.

• Riskometer: Very High.

Read more: NFO Alert: UTI Mutual Fund Launches UTI Multi Cap Fund.

Index Methodology

The underlying index includes the same 50 companies as the Nifty50 Index, but with equal weighting assigned to each stock. This approach avoids concentration in a few large-cap companies, unlike the standard market-cap weighted index.

Post-NFO

After reopening on May 12, 2025, units can be bought and sold through the stock exchanges. The trading price may differ from the net asset value depending on market conditions.

Conclusion

The fund is structured to mirror the Nifty50 Equal Weight Index and will be available through both the primary NFO window and secondary markets post-listing.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions. 

Mutual Fund investments in the securities market are subject to market risks, read all the related documents carefully before investing.