The ETF aims to provide investors with high liquidity, minimal credit risk, and a low-duration investment avenue, making it suitable for short-term parking of funds. It tracks the Nifty 1D Rate Index, which reflects the returns earned by market participants in the overnight market, with government securities as collateral.
The fund will invest 95% to 100% of its assets in Tri-Party REPOs, government securities repos, reverse repos, and similar overnight instruments. Up to 5% can be held in cash and equivalents. The NFO offer price is ₹1,000 per unit.
Jignesh Shah, who recently joined SBI Mutual Fund in June 2025, will manage the fund. He also manages other fixed income ETFs for the AMC.
While the scheme aims to closely mirror the index returns before expenses, the fund house has cautioned that returns are subject to tracking error and there is no guarantee of achieving the stated objective.