Govt may not issue fresh tranches for two exchange-traded funds
New Delhi: After raising ₹16,500 crore in the sixth edition of the central public sector enterprises exchange-traded fund (CPSE ETF) on 31 January, it may be time for a pause.
The finance ministry may not issue fresh tranches of its two ETFs in the near future to prevent the government’s stake in NTPC Ltd, Power Grid Corp. of India Ltd, and Power Finance Corp. Ltd (PFC) falling below 51%, a ministry official said.
“Though technically, these three stocks can be taken out of the ETFs and replaced with new ones, at present, good CPSE stocks are hard to find,” the official said on condition of anonymity.
