Relatively low valuation and growing demand and consumption for Oil and Gas provides great opportunities for investment
FinTech BizNews Service
Mumbai, July 5, 2024: ICICI Prudential Mutual Fund has announced the launch of ICICI
Prudential Nifty Oil & Gas ETF. The offering aims to provide returns that correspond to the
returns provided by the Nifty Oil & Gas Index, subject to tracking errors.
The Nifty Oil & Gas Index features 15 companies from the Oil, Gas & Petroleum Industry.
These companies are chosen from the Nifty 500 based on their market value that is freely
available for trading. The selection ensures that no single company has more than 33%
weight, and the top three companies together do not exceed 62% of the index. This
approach ensures a well-balanced and diversified exposure to the sector.
Speaking on the launch of the product, Chintan Haria, Principal - Investment Strategy at ICICI
Prudential AMC, said, "ICICI Prudential Nifty Oil & Gas ETF is designed to provide investors
with access to a sector that is pivotal to the economy and is currently undervalued. The oil
and gas sector is the driving force of modern economic growth, and with growing demand
and consumption, it presents a significant investment opportunity. Our ETF aims to allow
investors to capitalise on the resurgence in global interest in this sector."
Portfolio Snapshot:
Top 10 constituents by weightage Weightage (%)
Reliance Industries Ltd. 34.14
Oil & Natural Gas Corporation Ltd. 15.31
Indian Oil Corporation Ltd. 8.70
Bharat Petroleum Corporation Ltd. 8.49
GAIL (India) Ltd. 8.47
Hindustan Petroleum Corporation Ltd. 4.55
Oil India Ltd. 3.70
Petronet LNG Ltd. 3.55
Adani Total Gas Ltd. 3.53
Indraprastha Gas Ltd. 2.52
