HDFC Mutual Fund launches metal-focused ETF, FoF; NFOs opeN

HDFC Asset Management Company (HDFC AMC), the investment manager of HDFC Mutual Fund, has launched the HDFC Nifty Metal ETF and the HDFC Nifty Metal ETF Fund of Fund (FOF), offering investors exposure to India’s metals and mining sector.

The New Fund Offer (NFO) for the HDFC Nifty Metal ETF opened on July 20, 2026, and will close on July 24, 2026. The NFO for the HDFC Nifty Metal ETF FOF will remain open until August 3, 2026.

According to HDFC AMC, the schemes offer diversified exposure to companies across steel, aluminium, copper, zinc, mining and allied metals through the Nifty Metal Index (TRI).

The HDFC Nifty Metal ETF seeks to replicate the performance of the Nifty Metal Index (TRI), subject to tracking error. The HDFC Nifty Metal ETF FOF will invest predominantly in units of the ETF, enabling investors to access the underlying portfolio through the mutual fund route without requiring a demat or trading account.

“The metals sector is potentially poised to benefit from sustained infrastructure spending, manufacturing expansion and rising demand from renewable energy, electric vehicles, artificial intelligence and data centres,” HDFC AMC said.

The company added that government initiatives, global supply chain realignment and India’s position as a metals producer could support the sector’s long-term growth.

Commenting on the launch, Navneet Munot, managing director and chief executive officer of HDFC Asset Management Company Limited, said, “In line with our effort to continually widen our bouquet of investment solutions, we are pleased to launch the HDFC Nifty Metal ETF and HDFC Nifty Metal ETF FOF. The metals sector plays an important role across infrastructure, manufacturing, and several emerging areas of the economy, and these products can offer investors an efficient means of gaining exposure to this sector.”

The HDFC Nifty Metal ETF will be managed by Abhishek Mor and Arun Agarwal, while the HDFC Nifty Metal ETF FOF will be managed by Nandita Menezes and Arun Agarwal.

During the NFO period, the minimum investment amount for the HDFC Nifty Metal ETF FOF is ₹100 and any amount thereafter. For the HDFC Nifty Metal ETF, the minimum investment amount is ₹500 and any amount thereafter.

The HDFC Nifty Metal ETF will not levy any entry or exit load. The HDFC Nifty Metal ETF FOF will have no entry load, while an exit load of 1 per cent will be applicable if units are redeemed or switched out within 15 days from the date of allotment. No exit load will be charged thereafter.

The risk level for both the HDFC Nifty Metal ETF and the HDFC Nifty Metal ETF FOF, along with their respective benchmarks, has been classified as “very high”.

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