3 min read.Updated: 03 Dec 2021, 12:19 AM ISTNeil Borate
A new tranche of the Bharat Bond exchange-traded fund maturing in 2032 opens today
A new tranche of Bharat Bond exchange-traded fund (ETF) maturing in 2032 opens on 3 December. The new fund offer (NFO) for the ETF will run till 9 December. As with the other four Bharat Bond ETFs maturing in 2023, 2025, 2030 and 2031, this ETF will invest in AAA rated bonds of public sector companies and hold them to maturity. For investors who do not have demat and trading accounts, the ETF is accompanied by a Fund of Funds (FoF). The FoF will invest in units of the ETF and give investors similar returns as the ETF. However, it has a higher expense ratio. The ETF expense ratio is 0.0005% and the FoF expense ratio is 0.05% (5 basis points). The minimum investment amount in the FoF is as low as ₹1,000.