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ICICI Prudential Mutual Fund has announced the launch of the ICICI Prudential Nifty Metal ETF. The offering aims to provide returns before expenses that correspond to the returns provided by the Nifty Metal Index, subject to tracking errors. The Nifty Metal Index includes companies from the metal sector, including both ferrous and non- ferrous metals.

The Nifty Metal Index is designed to reflect the behaviour and performance of the Metals sector (including mining). The Nifty Metal Index comprises of maximum 15 stocks that are listed on the National Stock Exchange. These companies are selected from the Nifty 500 based on their market value, ensuring a broad representation of the sector. The index composition ensures that no single company has more than 33% weight, and the top three companies cumulatively do not exceed 62% of the index.

Speaking on the launch of the product, Chintan Haria, Principal - Investment Strategy at ICICI Prudential AMC, said, "ICICI Prudential Nifty Metal ETF is designed to provide investors with access to one of the critical sector that forms the backbone of industrial growth. The metal. sector, encompassing crucial industries like steel, aluminium, and copper, is integral to infrastructure and economic development. With increasing demand and consumption, especially in a rapidly growing economy like India, this sector presents a compelling long-term investment opportunity. Our Metal ETF aims to allow investors to benefit from the uptick in metals due to expected higher global inflation amidst lower interest rates."

Why invest in ICICI Prudential Nifty Metal ETF?
The Nifty Metal TRI has outperformed the Nifty 500 TRI five times in the last decade, demonstrating its potential for delivering good returns. Investing in the ICICI Prudential Nifty Metal ETF provides:
1. Exposure to a key sector essential for economic growth.
2. Access to well-established companies experiencing renewed global interest.
3. A relatively low valuation compared to broader market indices, coupled with increasing demand and consumption.
4. A convenient entry with a minimum investment of just one unit.

Performance of the Index: Calendar Year Returns (%)
Nifty Metal TRI has Outperformed the Nifty 500 TRI five times in the last 10 years.

Index Portfollio Snapshot:

The Nifty Metal Index is updated twice a year to reflect the sector's performance accurately and has outperformed broader market indices since inception, as shown in above graph, demonstrating its potential for delivering good returns.
The minimum application amount during the NFO is Rs. 1000 (plus in multiple of Re. 1).
This ETF's benchmark is the Nifty Metal TRI, and Mr. Nishit Patel and Ms. Priya Sridhar are the fund managers of the ETF.

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