It has been a sort of a revolution in the Indian mutual funds industry. Sometime last month, SBI ETF Nifty 50 (SEN50) became India’s largest equity mutual fund scheme. Slowly but surely, SEN50 has toppled HDFC Equity Fund, which long held the top spot. Encouraged by SEN50’s size, fund houses are no longer averse to launching passive funds, even though most still believe that active funds tend to outperform passive funds in the long run in India. Almost all fund houses either already have at least one such fund, or are looking to launch one soon. Axis Asset Management Co. Ltd’s launch of its own exchange-traded fund, called Axis Nifty Exchange Traded Fund (ANET), should be seen in this context.
The new fund offer (NFO) opened on 13 June and closed on 21 June. But since it’s an open-ended fund, you can still buy it from the exchange. But should you?
