Bharat 22 ETF Allotment Status & Listing

by Shiv Kukreja on November 27, 2017

in ETF, Featured

This post is written by Shiv Kukreja, who is a Certified Financial Planner and runs a financial planning firm, Ojas Capital in Delhi/NCR. He can be reached at skukreja@investitude.co.in

ICICI Prudential has initiated the allotment process of Bharat 22 ETF and I think most of the investors must have received the allotment SMS or mail from ICICI Pru or their respective brokers or DPs by now. If you have not received any such intimation mail/SMS regarding the same, then you can check your allotment status from this link available on the website of ICICI Pru AMC – Bharat 22 Allotment Status.

Bharat 22 ETF offer period started on November 15 for the non-anchor investors and closed on November 17. It received an overwhelming response from the anchor investors, Qualified Institutional Buyers (QIBs) and Non-Institutional Investors (NIIs) and got subscription worth Rs. 31,750 crore approximately. Though retail category and retirement fund categories remained undersubscribed, but given their share of reservation, it was nowhere a bad response from either of them.

Units Allotted @ Rs. 35.97 Per Unit – Retail applicants, who submitted an application of Rs. 2 lakh worth of Bharat 22 units, have been allotted 5,560 units @ Rs. 35.97 per unit, which makes it Rs. 1,99,993.20 as against Rs. 2 lakh investment. So, it is 100% allotment this time around for a government backed ETF. Investors will get the balance investment amount credited directly to their respective bank accounts.

Discount of 3% – Allotment Price of Rs. 35.97 a unit has already incorporated the discount of 3% committed by the government. It makes its market value to be Rs. 37.08 a unit. However, as compared to Friday’s closing level of 3,748.85 for the S&P BSE Bharat 22 Index, the allotment price of Rs. 35.97 translates into a notional gain of 4.22% before listing.

PAN, DP ID – Client ID Required –  You can check the allotment status of your investment in this ETF by entering your PAN number and DP ID – Client ID as you visit the allotment status link for this ETF.

Contact ICICI Pru AMC or CAMS for Allotment Issues or Queries – If you have not received any intimation, message or mail regarding its allotment and if it is not there in your demat account as well, you can either contact ICICI Prudential AMC on its toll-free no. 1800 000 6666 or 1800222 999 or its Registrar, Computer Age Management Services (CAMS) on 1800 200 2267 or 1800 419 2267.

Expected Listing on November 28 or 29 – Units of this ETF will be credited to our demat accounts on Monday and listing is expected within 2 working days post allotment.

If you have any more info about its allotment or any other query regarding Bharat 22 ETF, please share it here. I’ll try to respond to it as soon as possible.

{ 16 comments… read them below or add one }

HANDA November 27, 2017 at 7:54 PM

What is the NSE/BSE code for listing?

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Shiv Kukreja November 28, 2017 at 9:12 AM

NSE Code – BHARATIWIN, BSE Code – 540787

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Ravi November 28, 2017 at 9:14 AM

*BHARAT 22 ETF*

*Listing will be On 28th Nov 2017*
Security symbol: BHARATIWIN

Series:GR

ISIN:INF109KB15Y7

Exchange: BSE and NSE

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Shiv Kukreja November 28, 2017 at 10:16 AM

Thanks Ravi!

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Ravi November 27, 2017 at 8:25 PM

Hi, Is it worth holding the allotted units from a long term perspective rather than sell on the listing day itself? Please advise.

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Shiv Kukreja November 28, 2017 at 9:15 AM

It is as good as a predominantly PSU index, and I think it should give good returns over a long period of time. But, as I think the market stands overheated, it is better to book profits and wait for a correction to buy at lower levels.

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Indra November 28, 2017 at 8:26 AM

Where I can see the online listing for Bharat 22 ETF

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Shiv Kukreja November 28, 2017 at 10:17 AM
Mohinder Arora November 28, 2017 at 10:09 AM

At the time of investment in Bharat 22ETF a broker told me that the unit price of this fund is Rs 10 and you will be alloted no of units @9.70 with 3% discount. But today when i heard about the listing of this fund. It’s price is Rs 35.97? How it is possible? Are they a playing games with our money?

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Shiv Kukreja November 28, 2017 at 11:06 AM

Hi Mohinder,
That broker misguided you. Rs. 10 is the face value of this ETF, but the government has issued it at a premium of Rs. 25.97 (including 3% discount). This ETF tracks BSE’s Bharat 22 Index and its value is very close to 1/100 (or 1%) of Bharat 22 Index.

However, Rs. 10 or Rs. 35.97, it doesn’t affect your investment at all. At Rs. 10, you would have got 20000 units allotted for an application of Rs. 2 lakh. At Rs. 35.97, you have been allotted 5560 units. Gain (or loss) would have been the same in both the cases as your investment amount is the same. So, please don’t worry, nobody is playing any game with your money. Broker community is all about mis-selling without proper dissemination of knowledge. You should be proactive in getting the right information before putting your money in any of the products getting sold to you.

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Mohinder Arora November 28, 2017 at 4:03 PM

Thanks Kukreja ji for your valuable comment. It’s very good information you have given us. Thanks dear

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Shiv Kukreja November 28, 2017 at 11:48 PM

Thanks Mr. Arora!

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sshri November 28, 2017 at 3:59 PM

Shiv Kukreja Ji,

I am curious to understand how the ETF will work…
If there are 10000 rs in the ETF initially, then 1692 will be invested in L&T.
Q1
Now if the share price of L&T doubles, will it be sold.
Q2
If the price falls to half, will more be bought.
Q3
How will incremental money into the ETF be invested.
Q4
Is there not a overall cap of 15 % per stock… then how can LnT have so much weight age…
Q5
If the high weighage stocks do well, will there be a compulsion to sell the stocks to keep below 15%
Q6
How will sector wise limit be kept…

All these probably don’t matter to me as I am a lay investor, but will be nice to know…
regards,
ss

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Shiv Kukreja November 28, 2017 at 11:48 PM

Hi Mr. SSHRI,
1 & 2. This ETF will track the Bharat 22 Index and will have share allocation exactly as per that index. Bharat 22 Index will have Annual Rebalancing and this ETF too will do such rebalancing following Bharat 22 Index.

3. Like shares of a company, units of this ETF are also fixed. Investors will be buying & selling those units only and no incremental units will be issued. So, there is no question of any incremental money flowing in.

4. Overall cap of 15% to a stock and 20% to a sector is applicable to the Bharat 22 Index and it is subject to an annual rebalancing in March. Bharat 22 Index got created based on July 31, 2017 data and L&T’s weight in the index must have been below 15% at that time.

5. Yes, if high weightage stocks do well, then Bharat 22 Index will cut its exposure to those stocks and tracking that index, this ETF will also have to do the same and increase stake in those stocks which get higher weightage in the index.

6. Sector weightage will be maintained in the same way as it is done for the stocks.

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Jagdish November 29, 2017 at 11:07 PM

I have applied bharat 22 ETF through cams RS.35000 but today I got refunded that money to my bank account that means it is not allotted me?what is allotment criteria?

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Shiv Kukreja November 30, 2017 at 1:31 PM

Hi Jagdish,
You should check the reason for non-allotment with ICICI Prudential AMC – toll-free no. 1800 000 6666 or 1800222 999 or its Registrar, Computer Age Management Services (CAMS) – 1800 200 2267 or 1800 419 2267.

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