The Mirae Asset BSE India Defence ETF is an open-ended exchange-traded fund that seeks to replicate or track the BSE India Defence Total Return Index. The accompanying Fund of Fund will invest in units of the ETF, providing indirect exposure to the same index.
Both new fund offers (NFOs) will open for subscription on February 2.
The NFO for the ETF will close on February 10, while the NFO for the Fund of Fund will remain open until February 16.
The ETF will reopen for continuous sale and repurchase on February 16, followed by the Fund of Fund on February 24.
According to the fund house, the BSE India Defence Index captures companies across the defence manufacturing value chain, including system integrators, platform manufacturers and ecosystem enablers involved in indigenisation. The index includes both public sector undertakings and private sector players, with exposure spread across platforms, electronics, ammunition, systems integration and manufacturing enablers.
Mirae Asset said the schemes aim to reflect structural trends in India’s defence sector, supported by policy measures such as mandatory indigenisation norms, the Defence Acquisition Procedure (DAP) 2020 and the Defence Procurement Manual (DPM) 2025. These frameworks are designed to provide multi-year visibility for defence procurement and production.
Siddharth Srivastava, Head – ETF Products and Fund Manager at Mirae Asset Investment Managers (India), said India’s defence spending has increased steadily, alongside efforts to localise production and expand export capabilities, creating long-term opportunities for domestic manufacturers.
The minimum investment during the NFO period for both schemes is ₹5,000, with additional investments allowed in multiples of ₹1. The schemes will be managed by fund managers Ekta Gala and Akshay Udeshi.
Investors in the Fund of Fund will bear the expenses of both the FOF and the underlying ETF, as per regulatory norms.
