National Stock Exchange of India (NSE), Index Services subsidiary, NSE Index has launched three new Target Maturity Indexes. These are Nifty AAA CPSE Bond Plus SDL April 2027 60:40 Index, Nifty G-Sec June 2027 Index and Nifty SDL September 2027 Index.
The three indices have a target maturity structure with maturity dates of April 30, 2027, June 30, 2027 and September 30, 2027 respectively.
Further, all the three indices have a base date of March 16, 2022 and a base price of 1000. The indices will be reviewed at the end of each calendar quarter.
NSE Indices said in a statement that the index is expected to attract investors who wish to invest in debt portfolios with a target maturity theme. It is expected to act as a benchmark for asset managers and be the reference index tracked by passive funds such as exchange-traded funds (ETFs), index funds and structured products.
According to NSE indices, Nifty AAA CPSE Bonds Plus SDL April 2027 60:40 index has 60% allocation to nine AAA-rated bonds issued by PSUs and 40% allocation to thirteen state development loans (SDLs) as on the base date. index. Whereas the Nifty G-Sec June 2027 Index has 100% allocation to the five most liquid government securities (G-Secs). In addition, the Nifty SDL September 2027 Index has the highest allocation of 100% of the outstanding amount for fifteen State Development Loans (SDLs) issued by States/UTs.
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