LIC Mutual Fund on Thursday launched LIC MF Nifty Midcap 100 ETF, an open-ended scheme, replicating/tracking the Nifty Midcap 100 Total Return Index.
The new fund offer or the NFO of the scheme is open for subscription and will close on February 12. The scheme will re-open for continuous sale and repurchase on February 19.
The scheme will be managed by Sumit Bhatnagar. The scheme is benchmarked against Nifty Midcap 100 Total Return Index.
The investment objective of the scheme is to provide returns that closely correspond to the total returns of securities as represented by the Nifty Midcap 100 Total Return Index, subject to tracking errors.
The minimum investment amount is Rs 5,000 and in multiples of Re 1 thereafter. Units will be allotted in the whole figures and the balance amount will be refunded, even if it falls below the minimum amount. The creation unit size for the scheme shall be 2,00,000 units.
“LIC Mutual Fund is optimistic about the potential of LIC MF Nifty Midcap 100 ETF. Given the prevailing macro environment, we feel we are launching the Fund at the right time. As per the International Monetary Fund Report, the growth in India is projected to remain strong in the upcoming years. Additionally, the Centre’s positive outlook on the high GDP growth rate and reduced market borrowing plan may bode well with the financial markets. In the light of the same, we invite the investors to subscribe to the New Fund Offer of LIC MF Nifty Midcap 100 ETF,” said Ravi Kumar Jha, Managing Director and Chief Executive Officer, LIC Mutual Fund Asset Management.
The scheme is suitable for investors who are seeking long-term investment and want investment in equity and equity-related securities and portfolios replicating the composition of the Nifty Midcap 100 Total Return Index, subject to tracking errors.
