The HDFC S & P BSE 500 ETF, managed by HDFC Asset Management Company Limited, aims to mirror the BSE 500 Index performance while adhering to market cap weighting principles for investment strategy.

This ETF employs a replication strategy to closely track the BSE 500 Index (TRI), maintaining a minimal tracking error of 0.06%, ensuring efficient performance alignment with its benchmark.

Portfolio concentration reveals a significant tilt toward the banking sector, with HDFC Bank and ICICI Bank constituting 13.19% of the total allocation, indicating potential concentration risk.

In the past year, the fund experienced a decline of 5.5%, highlighting the importance of performance consistency and risk-adjusted returns in evaluating its effectiveness amid market fluctuations.

With an AUM of ₹18.03 Cr and an expense ratio of 0.3%, the fund is positioned for accessibility, managed by a team with extensive experience, ensuring operational efficiency and investor confidence.