Bharat-22 ETF

Fourth tranche gets 12x subscription, receiving bids for Rs 24,000 crore of units

In the anchor investor category, the offering was subscribed 27 times raising more than Rs 13,500 crore.

The final amount raised will depend upon how much of additional amount government decides to retain

The investors would get a 3 per cent discount over the issue price

Three stocks - Nalco, EIL, REC - to be removed from ETF

Since its launch in Nov 2017, the Centre has raised Rs 22,900 cr through Bharat 22 ETF in two tranches

The government has so far raised Rs 229 billion through the Bharat-22 exchange traded fund.

The government is planning to list Bharat-22 ETF on an overseas stock exchange to unlock its value and raise foreign capital. The government has already raised Rs 22,900 crore through two tranches of Bharat-22 Exchange Traded Fund (ETF) in the domestic markets. There have been some initial discussions on whether Bharat-22 ETF can tap the overseas markets, an official told PTI. After the government decides on an overseas listing, the investment bankers would assess investor demand and a final call would then be taken on which stock exchange the ETF is to be listed, the official said. Launched in 2017-18 fiscal, the Bharat 22 ETF, consist of 16 central public sector enterprises (CPSEs), three PSU banks and three private sector companies ITC, L&T and Axis Bank where Specified Undertaking of Unit Trust of India (SUUTI) holds stake. Bharat-22 ETF basket is diversified and there should be investor demand in overseas market, the official added. The state-owned companies or PSUs that .

This ETF's year-to-date track record is poorer than that of Sensex and Nifty ETF

The Finance Ministry may come out with a Rs 10,000-crore follow-on fund offer of the Bharat-22 exchange traded fund (ETF) as it looks to dilute stake in Coal India to meet the minimum public holding norm. Besides, the ministry is keen to take the ETF route to sell off government shares held through SUUTI in private companies -- ITC, Axis Bank and L&T, an official told PTI. The government had in November last year launched Bharat-22 ETF comprising shares of 22 companies, including public sector undertakings (PSUs), public sector banks, ITC, Axis Bank and L&T. The fund had garnered bids to the tune of Rs 32,000 crore, although the government retained only Rs 14,500 crore. An official said the ETF route is a safer mode of disinvestment as it shields investors against stock market volatility. "Based on the current composition of the Bharat-22 ETF, the leg room for a follow-on fund offer would be around Rs 10,000 crore," the official added. The state-owned companies or PSUs that ...

Market experts say investors could have sold the units to pocket listing gains

Bharat 22 listed at Rs 36.30 per unit on the BSE, a 0.92% premium over its issue price of Rs 35.97 per unit. On the NSE, it was opened 0.39% higher against issue price.

The government will be happy since the Rs 14,500 crore it received will go towards the disinvestment target of Rs 72,500 crore for 2017-18

Due to the falling alpha of large-cap funds, some fund houses have started reducing their expense ratios in that category to counter passive funds

Govt Rs 20,000 cr short of disinvestment target with four months of FY18 left

According to divestment secretary Neeraj Gupta, the issue saw robust participation from foreign investors

Department of Investment and Public Asset Management (DIPAM) Secretary Neeraj Kumar Gupta on Wednesday said that Bharat 22 Exchange Traded Fund (ETF) will be extremely lucrative for long term investors."Both retail and pension fund investors will find it very attractive for long term investment. Investing in Bharat 22 ETF is like participating in the Indian growth story and investors who do so will join in the growth story of India," Neeraj Kumar Gupta told ANI.Highlighting on the ETF, Gupta said that the fund has so far receieved a tremendous response with the anchor book being over subscribed six times."This scale of participation in one product in the recent past is unprecedented. The anchor book has been over subscribed six times, and domestic investors have participated in a big way," added Gupta.The ETF comprises of 22 companies across six sectors, which includes bluechip and private companies such as Larsen & Tubro (L&T), Axis Bank, and ITC.However, the fund also ...

Bharat 22 ETF aims to bring broad-based ownership pattern to public sector enterprises: Department of Investment and Public Asset Management

Investors can either book profits in this ETF after their targeted return is achieved, or can use it as a defensive bet

The ETF will invest in 22 stocks from CPSE, SUUTI and PSU Banks listed on BSE of which 19 will be public sector companies