New Fund Offers from Axis Mutual Fund: Axis Silver ETF, Axis Silver Fund of Fund - Check details | The Financial Express

New Fund Offers from Axis Mutual Fund: Axis Silver ETF, Axis Silver Fund of Fund – Check details

Axis Mutual Fund has announced the launch of Axis Silver ETF and Axis Silver Fund of Fund.

New Fund Offers from Axis Mutual Fund: Axis Silver ETF, Axis Silver Fund of Fund – Check details
Check details of Axis Silver ETF and FoF. Representational image

Axis Mutual Fund has announced the launch of Axis Silver ETF, which is an open-ended scheme tracking domestic price of Silver, and Axis Silver Fund of Fund, which is an open-ended fund of fund scheme investing in units of Axis Silver ETF. 

In a statement, Axis MF said that Pratik Tibrewal will manage the Axis Silver ETF and the minimum application amount would be Rs 500 per application and in multiples of Re 1 thereafter. Aditya Pagaria will manage the Axis Silver FoF and the minimum application amount be Rs 500 and in multiples of Re 1 per application in the ETF and Rs 5,000 and in multiples of Re 1 thereafter in the FoF. 

Both the funds will be benchmarked against the LBMA Silver daily spot AM fixing price. Both New Fund Offers (NFOs) opened for subscription today (02nd September 2022). The NFOs will close on 15th September 2022.

Also Read: HDFC Silver ETF Details

Commenting on the NFOs, Chandresh Nigam, MD & CEO, Axis AMC said, “Silver’s interesting proposition wherein it has the ability to act as an industrial commodity, as well as a precious metal, is one of the key factors that we believe will drive its significance.”

“Now that investors have access to investing in Silver via ETFs, it will further increase the metal’s value as a promising asset class in the future. With the launch of Axis Silver ETF and Axis Silver FoF, we aim to seamlessly integrate available market opportunities with an investment strategy that allows investors to gain distinctive exposure to the metal. The new scheme’s approach aligns with our philosophy and we believe, will be a notable addition to our portfolio of products,” he added.

Features of Axis Silver ETF and Axis Silver FoF: 

  • Funds will invest in industry standard 30 kg Physical silver bullion of 999 parts per 1000 fineness
  • Purchase/sale of Silver done with reputed institutions and bullion traders to ensure minimal trading costs and quality 
  • Hassle-free ownership in Demat form*/MF Units** 
  • Storage, transport and insurance hassles of Silver taken care by Axis AMC 
  • Exchange liquidity – Investors can buy and sell ETF units on NSE at their convenience 

Silver has always found a place of significance in Indian culture. However, investing in Silver in its physical form may pose challenges with respect to corrosion over time, safety, purity of the metal, liquidity risk etc. Thankfully, investors can opt to gain exposure to the precious metal via an ETF (Exchange Traded Fund) that aims to generate returns in line with the performance of physical silver in domestic prices, subject to tracing errors.

Also Read: Edelweiss Gold and Silver ETF Fund of Fund Details

Investors who do not have a Demat account can gain exposure by investing in Silver FoF (Fund of Fund), said Axis AMC. 

(Investing in an ETF or any other mutual fund could be subject to market risks. Please consult your financial advisor before making any investment decision)

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