Kotak Nifty Bank ETF

The Kotak Nifty Bank ETF, managed by Kotak Mahindra Asset Management Company Limited, aims to replicate the Nifty Bank Index, providing market cap weighted exposure to the banking sector.

Utilizing a replication strategy, this ETF closely tracks the Nifty Bank Index TRI, with a minimal tracking error of 0.03%, ensuring efficient performance alignment with its benchmark.

The portfolio exhibits significant concentration, with top holdings including HDFC Bank Ltd. at 28.6% and ICICI Bank Ltd. at 26.0%, leading to a high sector concentration in banks at 99.8%.

Performance has been robust, with a 1-year change of +1.3% and a 3-year CAGR of 12.6%, reflecting the fund's ability to deliver returns aligned with its investment objective.

With a fund size of ₹4970.1 Cr and a low expense ratio of 0.15%, the ETF offers an attractive cost structure, enhancing its appeal for investors seeking liquidity in the banking sector.