ICICI Prudentia Mutual Fund has launched ICICI Prudential Nifty Financial Services Ex-Bank ETF, an open-ended exchange traded fund tracking the Nifty Financial Services Ex-Bank Index. The scheme will invest in the top 30 companies of the financial services sector except banks, based on free float market capitalization from Nifty 500 Index. The New Fund Offer opens November 16 and closes on November 25. According to a press release, Nifty Financial Services Ex-Bank Index is relatively less volatile than Nifty Bank Index across all time frames. The index has outperformed both Nifty 50 index and Nifty Bank index over the last 10 years.
“Financial Services have a huge contribution in the Indian economy becoming one of the fastest growing major economies of the world. There is an increasing participation from all parts of the society in Credit, Investments and Insurance and as a result the sector is poised to witness an unprecedented boom. We are also in the middle of a digital revolution that has contributed to the growth of financial services companies who are adapting to this change faster. The sector is on rise and the road thus far has been paved by various reforms, FDI policy relaxation, tax exemptions, etc. which will further encourage the industry to spend on expansion. Investors must tap into this universe of companies and gain from their growth through ICICI Prudential Nifty Financial Services Ex-Bank ETF," says Chintan Haria, Head- Product Development & Strategy, ICICI Prudential AMC.