Newspatrolling.com News cum Content Syndication Portal Online
v Angel One AMC launches Angel One Nifty 1D Rate Liquid ETF – Growth
v NFO opens from 20th to 24th March 2025
v Primarily will invest in the Overnight Tri-Party Repo on G-Secs/T-Bills
Bengaluru, 20th March 2025: Angel One Asset Management Company Ltd, a wholly owned subsidiary of Angel One Limited, a leading FinTech player announces the launch of its latest offering — the Angel One Nifty 1D Rate Liquid ETF – Growth, an open-ended exchange-traded fund replicating the Nifty 1D Rate Index. The New Fund Offer (NFO) will open for subscription from 20th March 2025 to 24th March 2025.
The ETF is designed as a highly liquid, risk averse, and efficient solution for investors looking to park their idle funds while earning daily compounded returns. It invests in Tri-Party Repos (TREPS) on Government Securities (G-Secs) or Treasury Bills (T-Bills) with overnight maturity, thereby eliminating Mark-to-Market (MTM) risk and ensuring relatively low credit risk. With government-backed securities as underlying instruments, the scheme offers a high degree of safety while providing current income and liquidity.
The ETF’s Growth Option ensures that daily earnings are reinvested back into the scheme. The accrued earnings are reflected in the Net Asset Value (NAV), making it a seamless investment avenue that avoids the complexities of tracking fractional units.
Speaking on the launch, Mr. Hemen Bhatia, Executive Director & CEO, Angel One Asset Management Company Limited, said, “Angel One Nifty 1D Rate Liquid ETF – Growth is designed to provide investors with a smart and efficient way to optimize returns on their idle funds. This product not only ensures high safety and liquidity but also enhances utility by enabling margin usage for trading. Its cost-effective structure make it an ideal short-term investment tool for all types of investors.”
NFO Features
The NFO comes with several investor-friendly features. There is no entry or exit load, and the minimum application amount is ₹1,000, with investments allowed in multiples of Re. 1 thereafter. Units of the ETF will be listed on the National Stock Exchange (NSE) within five working days from the date of allotment, providing easy liquidity and the convenience of trading like any other stock. The fund will be managed by fund managers – Mr. Mehul Dama and Mr. Kewal Shah.
As the earnings are accrued in the scheme, the ETF also offers tax efficiency, with income tax levied only at the time of sale of units . Furthermore, there are no Securities Transaction Tax (STT) charges applicable on the purchase or sale of ETF units, adding to its cost-effectiveness.
