PSU-ETF launched, subscription to open on March 18

Goldman Sachs Asset Management on Friday launched the much-awaited exchange-traded fund (ETF) of select Central public sector units (CPSE).

CPSE-ETF is an open-ended scheme comprising 10 major PSUs such as ONGC, Gail and Coal India. The new fund offer will open for subscription on March 18 for anchor investors (investing above Rs 10 crore) and the next day for non-anchor and retail investors.

“Equity ETFs are yet to gain traction here. Through the CPSE-ETF, the government is trying to make this product popular,” Alok Tandon, Joint Secretary, disinvestment department said.

The new index is another option of government divesting stake in public sector enterprises, he said. The government plans to raise up to Rs 3,000 crore from this scheme in the outgoing fiscal, Tandon added.