Groww Nifty EV & New Age Automotive ETF FOF NFO Review

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).

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:

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

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.