Nifty Indices AUM surges to Rs 5.8 trillion as global interest grows

With the new additions in 2023, the number of Nifty index-linked global passive funds has gone up to 21

The assets under management (AUM) of funds tracking Nifty indices, both domestic and international, have surged to Rs 5.8 trillion with an annualised growth rate of 53 per cent in the past 10 years, the National Stock Exchange (NSE) said on Wednesday.

According to the index provider, seven new passive funds tracking Nifty indices were launched in Japan and Korea in 2023.

“Six products are tracking Nifty50 and one product is tracking Nifty50 2x leverage index. These products have garnered AUM of about $550 million,” the NSE said.  

“Investment by large global asset managers is growing in India, given the performance of our economy and favourable demographic profile,” said Ashishkumar Chauhan, managing director (MD) and chief executive officer (CEO), NSE.

With new additions in 2023, the number of Nifty index-linked global passive funds has gone up to 21.

The products offered by asset managers include iShares Blackrock, DWS, First Trust, Nomura Asset Management, Mirae Asset Global Investments, Samsung Asset Management, Fubon Asset Management, Global X and Kiwoom Asset Management.

“We are seeing a strong demand from global asset managers for launching India-focused passive products. 2023 has been a historic year for NSE indices with seven passive products launched outside India on Nifty indices during the year and they also garnered good AUM. We expect this trend to continue and many more India-focused passive products are expected to be launched outside India in 2024 as well,” said Mukesh Agarwal, MD & CEO, NSE Indices.