Further, sources suggest that the ETF
had seen strong participation from non-resident investors, high-networth investors, retail investors, top-tier corporates and foreign institutional investors.
"The response shows that there is enough investor appetite for debt products. Today, at least 70 per cent of debt flows are in short-term assets. This offering has pulled in significant long-term money," said Radhika Gupta, chief executive officer of Edelweiss Asset Management Company (AMC).
With the management fee of the ETF
at a measly 0.0001 per cent, there were reservations about how the product will get wide distribution. Gupta says this has been a digitally-driven distribution. "All our digital partners whether it is Paytm Money, HDFC Securities, Zerodha or ICICI Securities, have facilitated this NFO."
was opened on December 12. On the first day, institutional investors participated to build the anchor book.
According to market sources, public and private sector banks, along with Life Insurance Corporation of India has participated in the anchor book of the ETF.
To allow access to investors without demat account, the ETF was also offered through a fund of fund structure by Edelweiss AMC.