NFO Alert: SBI and Baroda BNP Paribas Mutual Funds Launch New ETFs

2 mutual fund houses, SBI Mutual Fund and Baroda BNP Paribas Mutual Fund, have announced new fund offers (NFOs) set to begin on August 4, 2025. While SBI’s fund focuses on short-term cash management, Baroda BNP’s scheme is aimed at gold-based investing.

SBI NIFTY 1D Rate Liquid ETF

SBI Mutual Fund will launch the SBI NIFTY 1D Rate Liquid ETF – Growth. It’s an open-ended exchange-traded fund tracking the NIFTY 1D Rate Index. The NFO will run from August 4 to August 7, 2025, with units priced at ₹1,000.

The fund will invest 95-100% in Tri-Party Repos, Reverse Repos, and overnight maturity securities. It excludes corporate bonds, derivatives, or foreign securities. The fund has no exit load and a minimum investment requirement of ₹5,000.

Post allotment, the ETF will be listed on NSE and BSE. Units can be traded in multiples of one. Large investors with amounts over ₹25 crore can transact directly with the AMC in lots of 500 units.

The scheme will be managed by Jignesh Shah. It follows a passive investment approach and tracks the index without active security selection. NAV will be declared daily at 11 PM.

Fund Costs and Index Info

The total expense ratio can go up to 1%. Additional charges may apply for B-30 city investments. Brokerage and GST are not part of the TER. The NIFTY 1D Rate Index is based on overnight repo rates published by CCIL.

Baroda BNP Paribas Gold ETF Fund of Fund

Baroda BNP Paribas Mutual Fund has announced a gold-focused fund of funds. The NFO is scheduled from August 4 to August 14, 2025. Units will be priced at ₹10 each. Minimum application is ₹1,000, with SIPs starting at ₹250.

The scheme will invest 95-100% in Baroda BNP Paribas Gold ETF, which holds physical gold. Performance is benchmarked to the domestic gold price as per the LBMA AM fixing. It carries a high-risk rating.

Redemption within 15 days will attract a 1% exit load. The fund will be managed by Gurvinder Singh Wasan, Madhav Vyas, and Swapna Shelar.

Read More: Best Gold ETFs in India in August 2025 Based on 5yr CAGR!

Conclusion 

Both schemes are open-ended and require demat accounts for transactions. Investors can use SIPs or lump-sum routes. Allotment, NAV disclosures, and redemptions will follow standard regulatory timelines.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions. 

Mutual Fund Investments are subject to market risks, read all the related documents carefully before investing.