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Groww Nifty EV & New Age Automotive ETF FOF NFO Review
Table of Contents
- Groww Nifty EV & New Age Automotive ETF FOF - NFO Complete Overview
- Fund Overview
- How To Invest In The NFO After The Closure Date?
- The Objective of The Fund
- Peers of Groww Nifty EV & New Age Automotive ETF FOF
- Past Performance Of The Groww Nifty EV & New Age Automotive ETF FOF
- Risk Factors in Such Funds
- Past Performance of Index / ETF Funds
- Groww Nifty EV & New Age Automotive ETF FOF-Who can invest?
- Groww Nifty EV & New Age Automotive ETF FOF-Growth Fund Managers
- Conclusion
Groww Nifty EV & New Age Automotive ETF FOF - NFO Complete Overview
Groww Nifty EV & New Age Automotive ETF FOF by Groww Mutual Fund (Fund House) under its AMC Groww Asset Management Limited having AUM of Rs.857 crore is an open-ended Fund of Fund scheme investing in units of Groww Nifty EV & New Age Automotive ETF. The investment period for the Scheme is set for July 24, 2024, to August 7, 2024. The scheme is suitable for investors seeking long-term capital growth and primarily investing in growing Nifty EVs and new-age automotive ETFs. The scheme has a 1% Exit Load if redeemed within 30 days.
The Scheme would principally invest a minimum of 95% and a maximum of 100% of its assets in units of Groww Nifty EV and New Age Automotive ETF, the other 0 to 5% would be invested in Debt and money market instruments, including debt/liquid schemes from domestic Mutual Funds. The lowest investment required to join is Rs.500 for investors and in multiple of Rs.1 thereof. The scheme is a very high-risk scheme. There is no assurance that the scheme's investment goal will be met.
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Fund Overview
Groww Nifty EV & New Age Automotive ETF FOF-NFO has set the minimum subscription amount at Rs.500 and in multiples of Rs.1 thereof with the stamp duty of 0.005% (From July 1st, 2020).
|
Start Date |
24 Jul 2024 |
|
End Date |
07 Aug 2024 |
|
Allotment Date / Subscription Date |
15 days after the closure date of the NFO. |
|
Vro Rating |
- |
|
Expense Ratio |
NA |
|
Exit Load |
1% if redeemed within 30 days from the allotment date. |
|
AUM |
Rs.857.24 Cr (as of 30 Jun 2024) |
|
Lock-in |
No Lockin |
|
Stamp Duty |
0.005% (From July 1st 2020) |
|
Benchmark |
Nifty EV and New Age Automotive Index - Total Return Index |
|
Min. Investment |
Rs.500 and in multiples of Rs.1. |
|
Risk |
Very High |
|
Short-Term Capital Gains (STCG) |
For less than 3 years, as per Tax Slab |
|
Long-Term Capital Gains (LTCG) |
For more than 3 years, 20% is applicable. |
How To Invest In The NFO After The Closure Date?
If you have missed participating in the NFO and now want to invest in the same Scheme on a continuous basis, then after 15 business days from the date of allotment; you can participate directly in the Mutual Fund by spending at NAV based price by logging on to your Demat Account or directly with the AMC and search for “Groww Nifty EV & New Age Automotive ETF FOF” or simply touch the “Click Here” text below.
During the NFO, there is an offer of Rs.10 per unit for Cash and a continuous offer for units at NAV-based prices.
The Objective of The Fund
The objective of the Scheme is to achieve long-term capital gains by investing in units of the Groww Nifty EV & New Age Automotive. Nevertheless, there can be no assurance or guarantee that the scheme's investment goals will be met.
Asset allocation (% of Net Assets) of the Scheme's portfolio will be as follows:
|
Types of Instruments |
Minimum Allocation (% of Net Assets) |
Maximum Allocation (% of Net Assets) |
|
Units of Groww Nifty EV and New Age Automotive ETF |
95 |
100 |
|
Debt and money market instruments, including debt/liquid schemes from domestic Mutual Funds |
0 |
5 |
Peers of Groww Nifty EV & New Age Automotive ETF FOF
No peer data is available in the SID of the company.
Past Performance Of The Groww Nifty EV & New Age Automotive ETF FOF
Since this scheme is a new scheme, hence no comparable data on its past performance against its peers is available.
Risk Factors in Such Funds
-
Investors may see reduced returns if they incur expenses at both the Fund of Funds and the plan they participate in.
-
The Fund of Funds scheme's expenditures may vary over time due to the underlying scheme's unique structure.
-
Fund of Funds (FOF) factsheets only disclose the schemes funded at the FOF level, limiting investors' access to precise investment data.
-
Equity and equity-related instruments are highly volatile, with daily price changes. The liquidity of investments in the Scheme may be limited by trading volumes and settlement times. Unexpected events can drastically lengthen settlement timeframes.
Past Performance of Index / ETF Funds
|
Index / ETF Funds |
NAV (Rs) |
Annualized Return (1Y) |
Return/Risk |
|
Navi Nifty Bank Index Fund - Direct Plan-Growth |
13.48 |
18.86% |
Very High Risk |
|
Motilal Oswal S&P 500 Index Fund - Direct Plan-Growth |
20.91 |
27.92% |
Very High Risk |
|
Invesco India Nifty G-Sec Sep 2032 Index Fund - Direct Plan-Growth |
1107.65 |
7.58% |
Moderate Risk |
Groww Nifty EV & New Age Automotive ETF FOF-Who can invest?
This Fund is ideal for you if you are looking for Long-term capital growth with investment predominantly in units of Groww Nifty EV & New Age Automotive ETF.
Groww Nifty EV & New Age Automotive ETF FOF-Growth Fund Managers
-
Mr. Abhishek Jain.
Conclusion
The scheme comes under a very high-risk category and it plans to invest in 95% and a maximum of 100% of its assets in units of Groww Nifty EV and New Age Automotive ETF, the other 0 to 5% would be invested in Debt and money market instruments, including debt/liquid schemes from domestic Mutual Fund.
Always assess your Financial Goals, Risk tolerance, etc. before making an investment decision.
Disclaimer: This NFO analysis is provided solely for informative reasons and should not be construed as investment advice. Always conduct research and talk with a financial advisor before investing.
Frequently Asked Questions
The Groww Nifty EV & New Age Automotive ETF FOF is an open-ended Fund of Fund scheme launched by Groww Mutual Fund. It invests in units of the Groww Nifty EV & New Age Automotive ETF. This scheme targets long-term capital growth by focusing on investments in the emerging electric vehicle (EV) and new-age automotive sectors.
The New Fund Offer (NFO) for the Groww Nifty EV & New Age Automotive ETF FOF starts on July 24, 2024, and ends on August 7, 2024. The allotment date, when the units will be distributed to investors, is 15 days after the closure of the NFO.
The minimum investment amount for the Groww Nifty EV & New Age Automotive ETF FOF is Rs.500, with additional investments allowed in multiples of Rs.1.
The Groww Nifty EV & New Age Automotive ETF FOF has an exit load of 1% if redeemed within 30 days from the allotment date. The expense ratio for this scheme has not been specified in the provided details.
This fund is suitable for investors seeking long-term capital growth by investing predominantly in the growing sectors of electric vehicles and new-age automotive technologies. Due to its very high-risk category, it is ideal for investors with a high-risk tolerance and a long-term investment horizon.
