ICICI Prudential IT ETF New Fund Offer

ICICI Prudential IT ETF NFO.

ETFs are generally passively managed mutual fund schemes tracking a benchmark index and reflect the performance of that index.  As Indian ETF industry has seen rapid growthin last few years, there are slew of NFOs from various Asset Management Companies.  

Recently ICICI launched smart beta ETF - ICICI Prudential Alpha Low Volatility 30 ETF. Following this, ICICI is launching a sector ETF - Nifty IT ETF.

The New Fund Offer opens on August 12, 2020 and closes on August 17, 2020.

Why Information Technology?

Our dependence on IT for basic necessities of life is constantly growing and ever lasting. 

  • Global IT industry is racing towards the $5.2 Trillion mark.
  • IT Industry in India is expected to contribute 10% to the GDP by 2025.
  • India’s digital economy is estimated to touch $1 Trillion by 2025
  • Indian software industry is forecasted to cross the $100 Billion mark by 2025.
  • Disruptive technologies such as cloud computing & data analytics are offering new windows of opportunities.
  • India being inexpensive compared to US is an attractive market for the IT sector.


Nifty IT ETF

To be a part of the digital transformation without having to decode the complexities in the IT sector, this ETF may provide an opportunity for investors to participate in it.

Performance of IT sector:

Nifty IT is in the top 3 sectors among Nifty 50 constituents.

IT Sector has outperformed the other sectors over a 3 year horizon.

The rupee-depreciation has helped IT sector in a better way.


Nifty IT ETF
source icici

Technology is bound to be an integral part of the New Normal World and to get exposure to strong and well established companies with global presence, this ETF provides an opportunity for investors to take a small exposure in accorance with their asset allocation.