Both schemes will seek to replicate or track the performance of the BSE India Sector Leaders Total Return Index (TRI), subject to tracking error. The schemes will follow a rules-based investment strategy rather than relying on active stock selection by the fund manager.
The underlying index is designed to provide exposure to companies identified as sector leaders from the BSE 500 universe. Its portfolio spans multiple sectors, including financial services, information technology, telecommunications and oil and gas, among others.
The strategy aims to capture companies that demonstrate leadership within their respective sectors. The index methodology determines the portfolio constituents and their allocation, with the funds seeking to mirror the index.
UTI BSE India Sector Leaders ETF vs Index Fund
The two schemes track the same benchmark but differ in their structure.
The UTI BSE India Sector Leaders ETF will be an open-ended exchange-traded scheme tracking the BSE India Sector Leaders TRI. Investors can buy and sell ETF units on the stock exchange after listing. The minimum investment during the NFO is ₹5,000, followed by investments in multiples of ₹1.
The UTI BSE India Sector Leaders Index Fund will also track the same index but will be available as a mutual fund scheme. It will offer Regular and Direct Plans, with only the Growth option. The minimum initial investment during the NFO is ₹1,000, with subsequent investments also starting at ₹1,000.
There is no entry load or exit load for either scheme, according to the fund house.Fund managers and benchmark
Sharwan Kumar Goyal will manage the funds, with Ayush Jain and Lokesh Kulthia serving as assistant fund managers.
The benchmark for both schemes is the BSE India Sector Leaders TRI.
The investment objective of both funds is to generate returns that correspond to the performance of the underlying index over the long term, before fees and expenses and subject to tracking error. As with other market-linked products, there is no assurance that the investment objective will be achieved.
The ETF and index fund will therefore give investors exposure to a basket of sector-leading companies through a passive, index-based strategy, rather than through an actively managed portfolio.
First Published: Aug 31, 2026 12:06 PM IST
