Bharat ETF II eyes Rs 14,000 crore via 2 NFOs

New Delhi: India’s first corporate bond exchange traded fund, the Bharat Bond Exchange Traded Fund, will launch the second series from July 14 to July 17 to raise about Rs 14,000 crore through two new offerings.

The fund will be open to institutional investors, with a fourth being reserved for retail investors, and is expected to perform better than the first series, through which the government raised Rs 12,500 crore last year, with the issue subscribed almost 1.8 times.


“The bond programme has provided aggregate savings in borrowing costs for participating central public sector enterprises and financial institutions,” TK Pandey, secretary in the department of investment and public asset management said.

In the first tranche, the bonds maturing in 2023 helped save 0.13 per cent on borrowing costs while the bonds maturing in 2030 helped save 0.20 per cent, Pandey said.


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