CPSE ETF’s second tranche gets listed on stock exchange

The Reliance MF CPSE (Central Public Sector Enterprises) ETF (Exchange Traded Fund) was listed today at an allotment price of Rs 25.2141. It was quoted at Rs 27.85 during the intraday trade. It translates into a gain of 9.25 per cent in 10 days.

"Privileged to have been a part of government’s successful and value creating disinvestment exercise through ETFs that got listed today. Thankful to all investors that participated, especially retail investors that participated aggressively from all parts of the country,” Sundeep Sikka, Chief Executive Officer, Reliance Nippon Life Asset Management Limited.

The Reliance Mutual Fund-managed Central Public Sector Enterprises-Exchange Traded Fund (CPSE ETF) was opened for subscriptions on 17-20 January. It was oversubscribed by 2.30 times, with bids worth Rs13,802 crore pouring in against the issue size of Rs 6,000 crore.


The Further Fund Offer (FFO) of CPSE ETF had a size of Rs 4,500 crore, with an option to retain another Rs 1,500 crore in case of oversubscription. The government offered a discount of 5 per cent for retail investors.

CPSE ETF was first launched in March 2014 by Goldman Sachs Asset Management India. The inaugural issue had raised Rs 4,300 crore against a target of Rs 3,000 crore.

The second tranche was handled by Reliance Mutual Fund, which operates the ETF after it bought over Goldman's mutual fund business in the country in 2015.