The Zerodha Nifty 1D Rate Liquid ETF, managed by Zerodha Asset Management, aims to replicate the Nifty 1D Rate Index, focusing on passive investment in Tri Party repo on government securities.

This ETF employs a tracking method to closely follow the Nifty 1D Rate Index, ensuring minimal tracking error of just 0.02%, which aligns with its objective of providing consistent returns.

The portfolio is heavily concentrated with 99.47% allocated to Tri Party repo on government securities, posing potential concentration risk, while cash and equivalents comprise a mere 0.53%.

Over the past year, the ETF has delivered a robust return of 5.6%, showcasing its effectiveness in tracking the benchmark, although longer-term performance metrics are not available.

With an AUM of ₹5360.7 Cr and an expense ratio of 0.27%, this ETF offers a cost-effective investment vehicle, managed by experienced fund manager Kedarnath Mirajkar since January 2025.