Axis Mutual Fund launches Nifty Energy Index Fund, ETF
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Both schemes aim to generate returns, before expenses, that correspond to the performance of the Nifty Energy Total Return Index, subject to tracking error.
The schemes will provide exposure to companies across the energy value chain, including oil and gas, power generation, transmission and distribution, renewable energy, energy equipment and related infrastructure. | Credits: Getty Images
Axis Mutual Fund has launched the Axis Nifty Energy Index Fund and Axis Nifty Energy ETF, offering investors passive exposure to India’s energy sector. The Axis Nifty Energy Index Fund opened for subscription on August 7 and will close on August 21, 2026. The Axis Nifty Energy ETF will open on August 12 and close on August 21. The ETF will be listed on the stock exchanges.
Both schemes aim to generate returns, before expenses, that correspond to the performance of the Nifty Energy Total Return Index (TRI), subject to tracking error.
The schemes will provide exposure to companies across the energy value chain, including oil and gas, power generation, transmission and distribution, renewable energy, energy equipment and related infrastructure.
According to Axis Mutual Fund, India’s energy sector is undergoing a structural transformation amid rising demand for electricity, expansion of renewable energy capacity, investments in transmission infrastructure and efforts to strengthen energy security.
India is projected to add more than 580 GW of power generation capacity over the next decade, the fund house said, adding that renewable energy is expected to account for a significant share of this expansion.
Commenting on the launch, B. Gopkumar, MD & CEO, Axis AMC, said energy remains a critical component of economic growth and that demand across the energy ecosystem is expected to increase with industrialisation, urbanisation and digitalisation.
The underlying Nifty Energy index comprises up to 40 stocks from the Nifty 500 universe associated with the energy theme. Stocks are weighted based on free-float market capitalisation, subject to stock-level and industry-level caps to limit concentration.
No individual stock can have a weight of more than 10%, while no industry can account for more than 25% at the time of rebalancing.
The index is reconstituted and rebalanced twice a year, in March and September, based on a rules-based methodology.
The Axis Nifty Energy Index Fund and Axis Nifty Energy ETF will be managed by Nandik Mallik and Rohit Gautam. The schemes are positioned as thematic passive investment products for investors seeking exposure to India’s long-term energy sector growth.
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