Description

Groww Mutual Fund is launching the Groww Nifty PSU Bank ETF NFO on BSE StAR MF Platform from March 6 to March 20, 2026, with tentative allotment on March 30, 2026.

Summary

BSE has informed members that Groww Mutual Fund will launch the Groww Nifty PSU Bank ETF as a New Fund Offer (NFO) on the BSE StAR MF Platform. The NFO opens March 6, 2026, and closes March 20, 2026, with a tentative allotment date of March 30, 2026. Both a regular plan and a direct plan are being offered under the equity category.

Key Points

  • NFO period: March 6, 2026 to March 20, 2026 (extended till midnight on March 20 for lumpsum purchases)
  • Two schemes offered: Groww Nifty PSU Bank ETF and Groww Nifty PSU Bank ETF - Direct Plan (both Equity category)
  • Tentative allotment date: March 30, 2026
  • Clear funds must be available in ICCL Account by 6:00 PM on March 24, 2026
  • Transactions where client has not initiated funds by 9:00 AM on T+1 day will be cancelled
  • CC with N flag will be reported to RTA/AMC for cancelled transactions
  • Pending transactions (where payment is initiated) will remain in the system till 3:00 PM on the last day of funds payout to AMC or T+5, whichever is earlier
  • Cheques and OTM payments are acceptable during NFO period subject to clear fund receipt by 6:00 PM on March 24, 2026

Regulatory Changes

No regulatory changes. This is a standard NFO launch notification.

Compliance Requirements

  • Members (brokers/distributors) must ensure client funds are initiated by 9:00 AM on T+1 day to avoid transaction cancellation
  • Clear funds must be available in ICCL Account by 6:00 PM on March 24, 2026 for allotment eligibility
  • Cheque and OTM payments must result in clear funds in ICCL account by the deadline to qualify for unit allotment

Important Dates

  • March 6, 2026: NFO opens
  • March 20, 2026: NFO closes (extended till midnight for lumpsum purchases on BSE StAR MF)
  • March 24, 2026: Deadline for clear funds in ICCL Account (by 6:00 PM)
  • March 30, 2026: Tentative allotment date

Impact Assessment

This NFO provides investors access to a new passive equity ETF tracking the Nifty PSU Bank index via the BSE StAR MF platform. The offering is relevant for mutual fund distributors and their clients seeking exposure to public sector banking stocks. Operational impact is limited to members managing NFO transactions on BSE StAR MF, who need to monitor fund initiation timelines to avoid cancellations.

Impact Justification

Routine NFO launch announcement for a new ETF tracking PSU Bank index; relevant to mutual fund distributors and investors on BSE StAR MF platform but limited broader market impact.