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Date: 2025-12-22 Category: Not Applicable State: Union Government Country: India

Mirae Asset Nifty 500 Healthcare ETF

Issued by Securities and Exchange Board of India · Not Applicable

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Executive Summary & Key Takeaways

**Executive Summary** This document is the Draft Scheme Information Document for the Mirae Asset Nifty 500 Healthcare ETF, an open-ended scheme replicating/tracking the Nifty 500 Healthcare Total Return Index. The offer for sale of units opens and closes on dates to be announced (XX/XX/XXXX). The scheme aims to generate returns commensurate with the performance of the Nifty 500 Healthcare Total Return Index, subject to tracking error. **Key Points / Main Content** * **Scheme Overview:** * Name: Mirae Asset Nifty 500 Healthcare ETF. * Type: Open-ended scheme replicating/tracking the Nifty 500 Healthcare Total Return Index. * Investment Objective: Generate returns commensurate with the Nifty 500 Healthcare Total Return Index, subject to tracking error. * Benchmark: Nifty 500 Healthcare TRI (Total Return Index). * **NFO and Ongoing Offer:** * NFO Price: Units offered at 1/1000th value of the Nifty 500 Healthcare Index as of the allotment date. * NFO Subscription: Minimum application amount is Rs. 5,000. * Ongoing Subscription/Redemption: Available on NSE and BSE in minimum lots of 1 Unit, and in Creation Unit Size directly with the Fund. * Large investors (amount greater than INR 25 crores) can transact directly with the Fund. * NFO Opens: XX/XX/XXXX * NFO Closes: XX/XX/XXXX * **Asset Allocation:** * 95-100% in securities included in Nifty 500 Healthcare Index. * 0-5% in money market instruments and debt/liquid schemes. * The scheme shall adhere to the following limits should it engage in Stock Lending: Not more than 20% of the net assets can generally be deployed in Stock Lending and Not more than 5% of the net assets can generally be deployed in Stock Lending to any single approved intermediary i.e. broker. * **Expenses:** * Estimated Annual Scheme Recurring Expenses: Up to 1.00% of daily net assets. * Exit Load: Not Applicable for investors transacting on the exchange and for redemptions made by Market Makers/ Large Investors directly with the AMC. * **Other Key Information:** * Listing: Units will be listed on the Capital Market Segment of NSE and BSE. * NAV Disclosure: Daily NAV will be updated on the AMC website and AMFI website by 11.00 p.m. * Indicative NAV (INAV): The AMC shall also calculate indicative NAV and will be updated during the market hours on its website. * Fund Management: Managed passively, replicating the Nifty 500 Healthcare Index. * The list of Market Makers will be updated on the AMC website. * **Redemption Direct with the Fund:** * Possible if: Traded price discount is > 1%, No quotes for 3 days, or Total bid size is < half creation unit size. **Impact Analysis** **Retail Investors (transacting on exchanges):** * **Impact:** Ability to invest in a diversified portfolio of healthcare stocks with low tracking error, and potentially benefit from the growth of the healthcare sector. * **Action Required:** Consult a financial advisor to determine if the product suits their investment profile. Buy or sell units on the stock exchanges. **Market Makers and Large Investors (transacting directly with the AMC):** * **Impact:** Ability to manage liquidity efficiently through direct transactions in Creation Unit Sizes. * **Action Required:** Monitor market conditions, track INAV for arbitrage opportunities, maintain necessary accounts (Demat), follow trading regulations to subscribe/redeem units in creation unit size. **AMC (Mirae Asset Investment Managers (India) Private Limited):** * **Impact:** Responsible for managing the ETF and ensuring it adheres to the stated investment objective and regulatory requirements. * **Action Required:** Manage the portfolio, track the index, ensure regulatory compliance, maintain communication with stakeholders, calculate and disclose NAV and INAV, appoint and oversee Market Makers.

Key Entities Referenced

Mirae Asset Nifty 500 Healthcare ETF: An open-ended scheme replicating/tracking Nifty 500 Healthcare Total Return Index Nifty 500 Healthcare Total Return Index: The benchmark index for the Mirae Asset Nifty 500 Healthcare ETF Securities and Exchange Board of India (Mutual Funds) Regulations, 1996: Regulations governing the scheme. SID follows these regulations. National Stock Exchange (NSE): One of the stock exchanges where the ETF is listed. BSE Limited (BSE): One of the stock exchanges where the ETF is listed.
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DRAFT SCHEME INFORMATION DOCUMENT SECTION I SO-1 Mirae Asset Nifty 500 Healthcare ETF (An open-ended scheme replicating/tracking Nifty 500 Healthcare Total Return Index) (Scrip Code for NSE & BSE will be added after listing of the units) SO-3 Note: The above Product Labelling assigned during the NFO is based on internal assessment of the scheme characteristics or model portfolio and the same may vary post NFO when the actual investments are made. Offer for Sale of Units at 1/1000th value of the Nifty 500 Healthcare Index as on the date of allotment for applications received during the New Fund Offer (“NFO”) period and at approximately indicative NAV based prices (along with applicable charges and execution variations) during the Ongoing Offer for applications directly received at AMC. New Fund Offer opens on: - XX/XX/XXXX New Fund Offer closes on: -XX/XX/XXXX Scheme re-opens on: - XX/XX/XXXX The subscription list may be closed earlier by giving at least one day’s notice in one daily newspaper, however the NFO period shall be open for minimum 3 working days. The Trustee reserves the right to extend the closing date of the New Fund Offer Period, subject to the condition that the subscription list of the NFO period shall not be kept open for more than 15 days. The units of the Scheme are listed on the National Stock Exchange of India Ltd. (NSE) and BSE Limited (BSE). All investors including Market Makers and Large Investors can subscribe (buy) / redeem (sell) units on a continuous basis on the NSE/BSE on which the Units are listed during the trading hours on all the trading days. In addition, Market Makers can directly subscribe to / redeem units of the Scheme on all Business Days with the Fund in ‘Creation Unit Size’ at NAV based prices on an ongoing basis. Large Investors can transact directly with the Fund for an amount greater than INR 25 crores. Name of Mutual Fund: Mirae Asset Mutual Fund Name of Asset Management Company: Mirae Asset Investment Managers (India) Private Limited CIN: U65990MH2019PTC324625 Name of Trustee Company: Mirae Asset Trustee Company Private Limited CIN: U65191MH2007FTC170231 Registered & Corporate Office: Unit No.606, Windsor Building, Off. C.S.T Road, Kalina, Santacruz (East), Mumbai – 400098 Tel. No.: 022-678 00 300 Fax No.: 022- 6725 3940 - 47 Website: www.miraeassetmf.co.in E-mail: miraeasset@miraeassetmf.co.in Page 1 of 67 Scheme Information Document - Mirae Asset Nifty 500 Healthcare ETFThe particulars of the Scheme have been prepared in accordance with Securities and Exchange Board of India (Mutual Funds) Regulations, 1996 (hereinafter referred to as SEBI (Mutual Funds) Regulations) as amended till date and circulars issued thereunder filed with SEBI, along with Due Diligence Certificate from the Asset Management Company. The units being offered for public subscription have not been approved or recommended by SEBI nor has SEBI certified the accuracy or adequacy of the SID. The Scheme Information Document sets forth concisely the information about Mirae Asset Nifty 500 Healthcare ETF that a prospective investor ought to know before investing. Before investing, investors should also ascertain about any further changes to this SID after the date of this Document from the Mutual Fund/ Investor Service Centers/ Website/ Distributors or Brokers. The Investors are advised to refer to the Statement of Additional Information (SAI) for details of Mirae Asset Mutual Fund, standard risk factors, special considerations, tax and legal issues and general information on www.miraeassetmf.co.in SAI is incorporated by reference (is legally a part of the SID). For a free copy of the current SAI, please contact your nearest Investor Service Centre or log on to our website. The SID (Section I and II) should be read in conjunction with SAI and not in isolation. This SID is dated XX/XX/XXXX Page 2 of 67 Scheme Information Document - Mirae Asset Nifty 500 Healthcare ETFTable of Contents SECTION I ............................................................................................................................................................ 1 PART I. HIGHLIGHTS/SUMMARY OF THE SCHEME ............................................................................... 5 DUE DILIGENCE BY THE ASSET MANAGEMENT COMPANY ................................................................. 12 PART II. INFORMATION ABOUT THE SCHEME ........................................................................................ 13 A. HOW WILL THE SCHEME ALLOCATE ITS ASSETS? ..................................................................... 13 B. WHERE WILL THE SCHEME INVEST? ............................................................................................. 16 C. WHAT ARE THE INVESTMENT STRATEGIES?............................................................................... 16 D. HOW WILL THE SCHEME BENCHMARK ITS PERFORMANCE? ................................................. 18 E. WHO MANAGES THE SCHEME? ....................................................................................................... 18 F. HOW IS THE SCHEME DIFFERENT FROM EXISTING SCHEMES OF THE MUTUAL FUND? .. 20 G. HOW HAS THE SCHEME PERFORMED ............................................................................................ 21 H. ADDITIONAL SCHEME RELATED DISCLOSURES ........................................................................ 21 PART III- OTHER DETAILS ....................................................................................................................... 21 A. COMPUTATION OF NAV .................................................................................................................... 21 B. NEW FUND OFFER (NFO) EXPENSES ............................................................................................... 22 C. ANNUAL SCHEME RECURRING EXPENSES ................................................................................... 23 D. LOAD STRUCTURE ............................................................................................................................... 25 SECTION II ........................................................................................................................................................ 26 I. INTRODUCTION ................................................................................................................................. 26 A. DEFINITIONS/INTERPRETATION ..................................................................................................... 26 B. RISK FACTORS ..................................................................................................................................... 26 C. RISK MITIGATION STRATEGIES ...................................................................................................... 31 II. INFORMATION ABOUT THE SCHEME: ................................................................................... 31 A. WHERE WILL THE SCHEME INVEST ............................................................................................... 31 B. WHAT ARE THE INVESTMENT RESTRICTIONS? .......................................................................... 40 C. FUNDAMENTAL ATTRIBUTES .......................................................................................................... 45 D. INDEX METHODOLOGY ......................................................................................................................... 48 E. PRINCIPLES OF INCENTIVE STRUCTURE FOR MARKET MAKERS .......................................... 50 F. OTHER SCHEME SPECIFIC DISCLOSURES: .................................................................................... 50 III. OTHER DETAILS ................................................................................................................................... 62 A. PERIODIC DISCLOSURES ................................................................................................................... 62 B. TRANSPARENCY/NAV DISCLOSURE .............................................................................................. 65 C. TRANSACTION CHARGES AND STAMP DUTY- ............................................................................ 65 D. ASSOCIATE TRANSACTIONS ............................................................................................................ 65 E. TAXATION............................................................................................................................................. 65 F. RIGHTS OF UNITHOLDERS ................................................................................................................ 66 G. LIST OF OFFICIAL POINTS OF ACCEPTANCE ................................................................................ 66 H. PENALTIES, PENDING LITIGATION OR PROCEEDINGS, FINDINGS OF INSPECTIONS OR INVESTIGATIONS FOR WHICH ACTION MAY HAVE BEEN TAKEN OR IS IN THE PROCESS OF BEING TAKEN BY ANY REGULATORY AUTHORITY ........................................................................... 66 Page 3 of 67 Scheme Information Document - Mirae Asset Nifty 500 Healthcare ETFDISCLAIMER OF NSE: As required, a copy of this Scheme Information Document has been submitted to National Stock Exchange of India Limited (hereinafter referred to as NSE). NSE has given vide its letter NSE/LIST/ 5913 dated September 17, 2025 permission to the Mutual Fund to use the Exchange's name in this Scheme Information Document as one of the stock exchanges on which the Mutual Fund's units are proposed to be listed subject to, the Mutual Fund fulfilling various criteria for listing. The Exchange has scrutinized this Scheme Information Document for its limited internal purpose of deciding on the matter of granting the aforesaid permission to the Mutual Fund. It is to be distinctly understood that the aforesaid permission given by NSE should not in any way be deemed or construed that the Scheme Information Document has been cleared or approved by NSE; nor does it in any manner warrant, certify or endorse the correctness or completeness of any of the contents of this Scheme Information Document; nor does it warrant that the Mutual Fund's units will be listed or will continue to be listed on the Exchange; nor does it take any responsibility for the financial or other soundness of the Mutual Fund, its sponsors, its management or any scheme of the Mutual Fund. Every person who desires to apply for or otherwise acquire any units of the Mutual Fund may do so pursuant to independent inquiry, investigation and analysis and shall not have any claim against the Exchange whatsoever by reason of any loss which may be suffered by such person consequent to or in connection with such subscription /acquisition whether by reason of anything stated or omitted to be stated herein or any other reason whatsoever. DISCLAIMER OF BSE: “BSE Ltd. (“the Exchange”) has given vide its letter no. LO/IPO/AB/MF/IP/40/2025-26 dated September 17, 2025 permission to use the Exchange’s name in this SID as one of the Stock Exchanges on which this Mutual Fund’s Units are proposed to be listed. The Exchange has scrutinized this SID for its limited internal purpose of deciding on the matter of granting the aforesaid permission to. The Exchange does not in any manner: - i) warrant, certify or endorse the correctness or completeness of any of the contents of this SID; or ii) warrant that this scheme’s units will be listed or will continue to be listed on the Exchange; or iii) take any responsibility for the financial or other soundness of this Mutual Fund, its promoters, its management or any scheme or project of this Mutual Fund; and it should not for any reason be deemed or construed that this SID has been cleared or approved by the Exchange. Every person who desires to apply for or otherwise acquires any unit of this Fund may do so pursuant to independent inquiry, investigation and analysis and shall not have any claim against the Exchange whatsoever by reason of any loss which may be suffered by such person consequent to or in connection with such subscription/ acquisition whether by reason of anything stated or omitted to be stated herein or any other reason whatsoever. DISCLAIMER NSE INDICES LIMITED NSE Indices Ltd Disclaimer: NSE INDICES LIMITED do not guarantee the accuracy and/or the completeness of the Nifty500 Healthcare Index or any data included therein and NSE INDICES LIMITED shall have not have any responsibility or liability for any errors, omissions, or interruptions therein. NSE INDICES LIMITED does not make any warranty, express or implied, as to results to be obtained by the Issuer, owners of the product(s), or any other person or entity from the use of the Nifty500 Healthcare Index or any data included therein. NSE INDICES LIMITED makes no express or implied warranties, and expressly disclaims all warranties of merchantability or fitness for a particular purpose or use with respect to the index or any data included therein. Without limiting any of the foregoing, NSE INDICES LIMITED expressly disclaim any and all liability for any claims, damages or losses arising out of or related to the Products, including any and all direct, special, punitive, indirect, or consequential damages (including lost profits), even if notified of the possibility of such damages. Page 4 of 67 Scheme Information Document - Mirae Asset Nifty 500 Healthcare ETFPart I. HIGHLIGHTS/SUMMARY OF THE SCHEME Sr. No. Title Description I. Name of the scheme Mirae Asset Nifty 500 Healthcare ETF II. Category of the Scheme Other Schemes - Exchange Traded Fund (ETF) III. Scheme type An open-ended scheme replicating/tracking Nifty 500 Healthcare Total Return Index IV. Scheme code It is to be obtained from NSDL and will be updated at the time of filing SO-7 launch SID with SEBI. V. Investment objective The investment objective of the scheme is to generate returns, before expenses, that are commensurate with the performance of the Nifty 500 SO-5 Healthcare Total Return Index, subject to tracking error. There is no assurance that the investment objective of the scheme will be achieved. VI. Liquidity/listing details The Units of the ETF will be listed on the Capital Market Segment of the National Stock Exchange of India Ltd (NSE) /BSE Limited (BSE) and/or any other recognised stock exchanges as may be decided by the AMC from time to time. All investors including Market Makers and Large Investors can subscribe (buy) / redeem (sell) Units of the Scheme on a continuous basis on the NSE and/ or BSE on which the Units are listed during the trading hours on all the trading days. The Units of the Scheme may be bought or sold on all trading days at prevailing listed price on such Stock Exchange(s). Alternatively, the Market Makers may subscribe to and/or redeem the units of the Scheme with the Mutual Fund on any business day during the ongoing offer period commencing not later than 5(five) business days from the date of allotment at approximately indicative NAV based prices (along with applicable charges and execution variations) for applications directly received at AMC, provided the units offered for subscription and/or redemption are not less than Creation Unit size & in multiples thereof. Large investors can subscribe/redeem directly with the AMC for an amount greater than INR 25 crores. The price of Units of the Scheme in the secondary market on the Stock Exchange(s) will depend on demand and supply at that point of time. There is no minimum trade amount, although Units are normally traded in round lots of 1 Unit. In addition, Market Makers can directly subscribe to/ redeem Units of the Scheme on all Business Days with the Fund in ‘Creation Unit Size’ and Large investors can subscribe to/ redeem Units of the Scheme for an amount greater than INR 25 crores on all Business Days on an ongoing basis. The AMC will appoint atleast two Market Maker(s) to provide for the liquidity in secondary market on an ongoing basis. The Market Maker(s) would offer two-way quotes (buy and sell quotes) in the secondary market for ensuring liquidity in the Units of the Scheme. Page 5 of 67 Scheme Information Document - Mirae Asset Nifty 500 Healthcare ETFThe list of Market Makers will be updated on our website, https://www.miraeassetmf.co.in. Presently, following Market Makers have been appointed by the AMC: • Mirae Asset Capital Markets (India) Private Limited. • Kanjalochana Finserve Private Limited • East India Securities Limited • Parwati Capital Markets Privates Limited • Vaibhav Stock & Derivatives Broking Private Limited • IRage Broking Services LLP For Market makers: The number of units of the Scheme that Market Makers/authorized participant can subscribe to is 2,00,000 units and in multiples thereafter. Redemption of units directly with the Mutual Fund (other than Market Makers): Investors other than Market Makers can redeem units directly with the Fund for less than Creation Unit size at approximately indicative NAV based prices (along with applicable charges and execution variations) of units without any exit load if: i. Traded price (closing price) of the ETF units is at discount of more than 1% to the day end NAV for 7 continuous trading days, or ii. No quotes for such ETFs are available on stock exchange(s) for 3 consecutive trading days, or iii. Total bid size on the exchange is less than half of creation units size daily, averaged over a period of 7 consecutive trading days. Such instances shall be tracked by the AMC on an ongoing basis and in case any of the above-mentioned scenarios arise, the same shall be disclosed on the website of the Mutual Fund. Under these circumstances, investors, as specified above, can redeem units of the Scheme directly with the fund house without any exit load. The aforesaid criteria for the direct redemption with the fund house are also available at the website of the AMC. The mutual fund will track the aforesaid liquidity criteria and display it on its website viz., https://www.miraeassetmf.co.in/ if the same is triggered, no exit load would be applicable in such cases. Redemption by NRIs/FIIs/FPI Credit balances in the account of a NRIs/FIIs/FPI unitholder may be redeemed by such unit holder subject to any procedures laid down by the RBI. Payment to NRI/FII/FPI, unit holder will be subject to the relevant laws/guidelines of RBI as are applicable from time to time (subject to deduction of tax at source as applicable). The Fund will not be liable for any delays or for any loss on account of exchange fluctuations while converting the rupee amount in US Dollar or any other currency. In case of redemptions by NRIs, requisite TDS will be deducted from the respective redemption proceeds. Page 6 of 67 Scheme Information Document - Mirae Asset Nifty 500 Healthcare ETFNote: The mutual fund will rely on the NRI status and his account details as recorded in the depository system. Any changes to the same can be made only through the depository system. Mutual fund will repurchase units from Market Maker and large investors on any business day provided the value of units offered for repurchase is not less than creation unit size. VII. Benchmark (Total Return Nifty 500 Healthcare TRI (Total Return Index) Index) Rationale for adoption of benchmark: The Trustees have adopted Nifty 500 Healthcare Index as the benchmark index. As per its investment objective, the investment would primarily be in Securities which are constituents of the benchmark index. Thus, the composition of the aforesaid benchmark index is such that it is most suited for comparing performance of the Scheme. VIII. NAV disclosure The AMC will calculate and disclose the first NAV under the Scheme not later than 5 Business Days from the date of allotment of units under SO-41 the NFO Period. Subsequently, the AMC shall update the NAVs on the website of the Mutual Fund https://www.miraeassetmf.co.in/ and on the website of Association of Mutual Funds in India - AMFI (www.amfiindia.com) by 11.00 p.m. on every Business Day. Indicative NAV (iNAV): The AMC shall also calculate indicative NAV and will be updated during the market hours on its website https://www.miraeassetmf.co.in. Indicative NAV will not have any bearing on the creation or redemption of units directly with the Fund by the Market Makers /Large Investors. Indicative NAV shall be disclosed on Stock exchange(s), where the units will be listed, on continuous basis within a maximum time lag of 15 seconds during the trading hours. For transactions by Market Makers / large investors directly with the AMCs, intra-day NAV based on the executed price at which the securities representing the underlying index are purchased / sold will be applicable. Further Details in Section II. IX. Applicable timelines Timeline for • Dispatch of redemption proceeds: 3 working days from the date of redemption • Dispatch of IDCW (if applicable) etc.: Not Applicable as the Scheme does not have IDCW Option X. Plans and Options The Scheme does not offer any Plans/Options for investment. Plans/Options and sub options under the Scheme XI. Load Structure Exit Load: Page 7 of 67 Scheme Information Document - Mirae Asset Nifty 500 Healthcare ETFFor investors transacting directly with the AMC: No Exit load will be levied on redemptions made by Market Makers/ Large Investors directly with the AMC For investors transacting on the exchange: Not Applicable. XII. Minimum Application During NFO Period: Rs. 5,000 per application and in multiples of Re. Amount/switch in 1 thereafter. Units will be allotted in whole figures and the balance amount will be refunded. On Continuous Basis: Market Maker: Application for subscription of Units directly with the Fund in Creation Unit Size at NAV based prices in exchange of Portfolio Deposit and Cash Component. Large Investors: Minimum amount of Rs. 25 crores for transacting directly with the AMC. Other investors (including Market Maker, Large Investors and Regulated Entities): Units of the Scheme can be subscribed (in lots of 1 Unit) during the trading hours on all trading days on the NSE and BSE on which the Units are listed. XIII. Minimum Additional On Continuous Basis: Purchase Amount Market Maker: Application for subscription of Units directly with the Fund in Creation Unit Size at NAV based prices in exchange of Portfolio Deposit and Cash Component. Large Investors: Minimum amount of Rs. 25 crores for transacting directly with the AMC. Other investors (including Market Maker, Large Investors and Regulated Entities): Units of the Scheme can be subscribed (in lots of 1 Unit) during the trading hours on all trading days on the NSE and BSE on which the Units are listed. XIV. Minimum Redemption: Redemption/switch out amount Market Maker: Application for redemption of Units directly with the Fund in Creation Unit Size. Large Investors: Minimum amount of Rs. 25 crores for redeeming directly with the AMC. Other investors (including Market Maker, Large Investors and Regulated Entities): Units of the Scheme can be redeemed (in lots of 1 Unit) during the trading hours on all trading days on the NSE and BSE on which the Units are listed. SO-34 XV. New Fund Offer Period NFO opens on XX/XX/XXX NFO closes on XX/XX/XXX Page 8 of 67 Scheme Information Document - Mirae Asset Nifty 500 Healthcare ETFThis is the period during which a new scheme sells its The Trustee may close subscription list earlier by giving at least one units to the investors day’s notice in one daily national newspaper. The Trustee reserves the right to extend the closing date of the NFO Period, subject to the condition that the entire NFO period including the extension, shall not be kept open for more than 15 days. Further, the NFO shall remain open for subscription for a minimum period of 3 working days in accordance with clause 1.10.1A of SEBI Master Circular dated June 27, 2024. Any such extension shall be announced by way of a notice – cum – addendum as prescribed by the SEBI regulation. Any modification to the New Fund Offer Period shall be announced by way of an Addendum uploaded on website of the AMC - i.e. https://www.miraeassetmf.co.in/ XVI. New Fund Offer Price Offer for Sale of Units at 1/1000th value of the Nifty 500 Healthcare Index as on the date of allotment for applications received during the This is the price per unit that New Fund Offer (“NFO”) period and at approximately indicative NAV the investors have to pay to based prices (along with applicable charges and execution variations) invest during the NFO during the Ongoing Offer for applications directly received at AMC. SO-53 XVII. Segregated portfolio/side The Scheme has the provision to segregate a portfolio comprising of debt pocketing disclosure or money market instrument affected by a credit event. For Details, kindly refer SAI XVIII Swing pricing disclosure Not Applicable XIX. Stock lending/short selling Subject to the SEBI Regulations as applicable from time to time, the Scheme may participate in stock lending upto the limits as mentioned in the Asset allocation section. For Details, kindly refer SAI XX. How to Apply and other Application form and Key Information Memorandum may be obtained SO-35 details from Official Points of Acceptance (OPAs) / Investor Service Centres (ISCs) of the AMC or RTA or Distributors or can be downloaded from our website www.miraeassetmf.co.in. The list of the OPA / ISC are available on our website as well. Investors intending to trade in Units of the Schemes, through the SO-57(c) exchange platform will be required to provide demat account details in the application form. The application forms for subscriptions/redemptions (applicable for Market Makers /Large Investors) should be submitted at any of the ISCs/Official Points of Acceptance of the AMC. For details, kindly refer Section II. XXII Investor services Contact Details for general service requests and complaint resolution: Ms. Venuka Amla Mirae Asset Investment Managers (India) Pvt. Ltd. 606, 6th Floor, Windsor Bldg, Off CST Road, Kalina, Santacruz (E), Mumbai - 400 098. Telephone Nos.: 6780 0300 e-mail: customercare@miraeasset.com Page 9 of 67 Scheme Information Document - Mirae Asset Nifty 500 Healthcare ETFInvestors may contact any of the ISCs or the AMC by calling the investor line of the AMC at "1800 2090 777" or visit the website at www.miraeassetmf.co.in for complete details. XXIII Specific attribute of the Nil scheme (such as lock in, duration in case of target maturity scheme/close ended schemes) (as applicable) XXIV. Special product /facility The following facilities shall be available under the Scheme during the available on ongoing basis NFO: • Switching • Transaction through electronic mode (For Large Investors and Market Makers) • Auto Switch The Following facilities are available during Continuous offer period: • Transaction through electronic mode (For Large Investors and Market Makers) • Mirae Asset MF Mobile Application Facility Systematic Investment Plan, Systematic Transfer Plan, Systematic Withdrawal Plan are not available under this scheme XXV Weblink A weblink for Daily TER and TER for last 6 months: https://www.miraeassetmf.co.in/downloads/statutory-disclosure/total- expense-ratio A weblink for scheme factsheet: https://www.miraeassetmf.co.in/downloads/factsheet XXVI Creation Unit Size Creation Unit is fixed number of units of the Scheme, which is exchanged for a basket of securities underlying the index called the "Portfolio Deposit" and a "Cash Component" or cash of equivalent value. The Portfolio Deposit and Cash Component are defined as follows: Portfolio Deposit: Portfolio Deposit consists of pre-defined basket of securities that represent the underlying index and announced by AMC from time to time. Cash Component: Cash component represents the difference between the applicable net asset value of a creation unit and the market value of the Portfolio deposit. The Portfolio Deposit and Cash Component may change from time to time due to change in NAV and will be announced by the AMC on its website. The Creation Unit size for the scheme shall be 2,00,000 units approx. For redemption of Units, it is vice versa i.e., fixed number of units of the Scheme and a cash component is exchanged for Portfolio Deposit. The Portfolio Deposit and the cash component will change from time to time as decided by AMC. The Creation Unit size may be changed Page 10 of 67 Scheme Information Document - Mirae Asset Nifty 500 Healthcare ETFby the AMC at their discretion and the notice of the same shall be published on website of Mutual Fund (www.miraeassetmf.co.in). The Market Makers shall transact with the AMC only in multiples of creation unit size. Page 11 of 67 Scheme Information Document - Mirae Asset Nifty 500 Healthcare ETFDUE DILIGENCE BY THE ASSET MANAGEMENT COMPANY It is confirmed that: (i) The Draft Scheme Information Document submitted to SEBI is in accordance with the SEBI (Mutual Funds) Regulations, 1996 and the guidelines and directives issued by SEBI from time to time. (ii) All legal requirements connected with the launching of the Scheme as also the guidelines, instructions, etc., issued by the Government and any other competent authority in this behalf, have been duly complied with. (iii) The disclosures made in the Scheme Information Document are true, fair and adequate to enable the investors to make a well-informed decision regarding investment in the Scheme. (iv) The intermediaries named in the Scheme Information Document and Statement of Additional Information are registered with SEBI and their registration is valid, as on date. (v) The contents of the Scheme Information Document including figures, data, yields etc. have been checked and are factually correct. (vi) A confirmation that the AMC has complied with the compliance checklist applicable for Scheme Information Documents and other than cited deviations/ that there are no deviations from the regulations (vii) Notwithstanding anything contained in this Scheme Information Document, the provisions of the SEBI (Mutual Funds) Regulations, 1996 and the guidelines there under shall be applicable. (viii) The Trustees have ensured that the Mirae Asset Nifty 500 Healthcare ETF approved by them is a new product offered by Mirae Asset Mutual Fund and is not a minor modification of any existing scheme/fund/product. Sd/- Date: 05/12/2025 Name: Rimmi Jain Place: Mumbai Designation: Head – Compliance, Legal and Company Secretary Page 12 of 67 Scheme Information Document - Mirae Asset Nifty 500 Healthcare ETFPart II. INFORMATION ABOUT THE SCHEME A. HOW WILL THE SCHEME ALLOCATE ITS ASSETS? Under normal circumstances, the asset allocation will be as follows: Indicative allocation Types of Instruments (% of tot al assets) Minimum Maximum Securities included in Nifty 500 Healthcare Index 95 100 Money market instruments* including Tri Party REPO/ debt securities, 0 5 SO-21 Instruments and/or units of debt/liquid schemes of domestic Mutual Funds. *Money Market Instruments will include TREPS, Commercial Paper, Certificates of Deposit, Treasury Bills, Bills Rediscounting, Repos, short-term Government securities and any other such short-term instruments as may be allowed under the regulations prevailing from time to time. The Asset Allocation portion shall also include subscription and redemption cash flow which may be undeployed due to various reasons (dividend from underlying securities, rebalancing or balances for running cost of the scheme, residual amount due to execution on rounding off etc). Subject to SEBI (MF) Regulations, 1996 and in accordance with Clause 12.11 of SEBI Master Circular dated June 27, 2024 on Securities Lending Scheme, and framework for short selling and borrowing and lending of securities, the Scheme intends to engage in Stock Lending. The Scheme shall adhere to the following limits should it engage in Stock Lending: (a) Not more than 20% of the net assets can generally be deployed in Stock Lending (b) Not more than 5% of the net assets can generally be deployed in Stock Lending to any single approved intermediary i.e. broker. The scheme shall not intent to undertake / invest / engage in: SO-18 • Securities Debt • Debt Instrument with Special features (AT1 and AT2 bonds) • Debt Instrument with Structured Obligations / Credit Enhancements • Foreign securities including ADR/GDR/Foreign equity and overseas ETFs. • Units of ReITs and InVITs • Credit default swaps • Repo in Corporate Debt Securities • Short selling • Unlisted debt instruments • Bespoke or complex debt products • Unrated debt and money market instruments (except G-Secs, T-Bills and other money market instruments) • Inter Scheme Transactions Exposure to equity derivatives of the index itself or its constituent stocks may be undertaken when equity shares are unavailable, insufficient or for rebalancing in case of corporate actions for a temporary period. The exposure to derivatives will be rebalanced to align with the underlying index changes in weights or constituents. Index futures/options are meant to be an efficient way of buying/selling an index compared to buying/selling a portfolio of physical shares representing an index for ease of execution and settlement. It can help in reducing the Tracking Error in the Scheme. Index futures/options may avoid the need for trading in individual components of the index, which may not be possible at times, keeping in mind the circuit filter Page 13 of 67 Scheme Information Document - Mirae Asset Nifty 500 Healthcare ETFsystem and the liquidity in some of the individual stocks. Index futures/options can also be helpful in reducing the transaction costs and the processing costs on account of ease of execution of one trade compared to several trades of shares comprising the underlying index and will be easy to settle compared to physical portfolio of shares representing the underlying index. In case of investments in index futures/options, the risk/reward would be the same as investments in portfolio of shares representing an index. However, there may be a cost attached to buying an index future/option. The Scheme will not maintain any leveraged or trading positions. Exposure to such derivatives will be restricted to 20% of net assets of the scheme. The SO-18 above deviation shall not exceed for more than 7 days for the asset allocation table. The Scheme may invest in derivatives upto 20% of the net assets of the Scheme for non- hedging purposes. The cumulative gross exposure to equity, derivatives, debt instruments and money market instruments SO-17 including debt/liquid schemes of domestic mutual fund will not exceed 100% of the net assets of the scheme in accordance with Clause 12.24 of SEBI Master Circular dated June 27, 2024. Cash or cash equivalents with residual maturity of less than 91 days may be treated as not creating any SO-14 exposure. SEBI vide letter dated November 3, 2021 has clarified that Cash Equivalent shall consist of Government Securities, T-Bills and Repo on Government Securities having residual maturity of less than 91 days. In accordance with Clause 3.4 of SEBI Master Circular dated June 27, 2024, the underlying index shall comply with the portfolio concentration norms as prescribed. Debt securities include, but are not limited to, Debt securities of the Government of India, State and Local Governments, Government Agencies, Statutory Bodies, Public Sector Undertakings, Public Sector Banks or Private Sector Banks or any other Banks, Financial Institutions, Development Financial Institutions, and Corporate Entities, collateralized debt securities or any other instruments as may be prevailing and permissible under the Regulations from time to time). The Debt Securities (including money market instruments) referred to above could be fixed rate or floating rate, listed, unlisted, privately placed, unrated among others, as permitted by regulation. Pending deployment of funds of a Scheme in securities in terms of investment objectives of the Scheme, a mutual fund can invest the funds of the Scheme in short term deposits of scheduled commercial banks in accordance with Clause 12.16 of SEBI Master Circular dated June 27, 2024. Further, the Scheme may, for meeting liquidity requirements invest in units of money market/liquid schemes SO-13 of Mirae Asset Mutual Fund and/or any other mutual fund provided that aggregate inter-scheme investment made by all schemes under the same management or in schemes under the management of any other asset management company shall not exceed 5% of the net asset value of the mutual fund. The AMC shall not charge any investment management fees with respect to such investment. Indicative Table (Actual instrument/percentages may vary subject to applicable SEBI circulars) SO-19 Sr. no Type of Instrument Percentage of exposure Circular references* 1. Securities Lending Upto 20% of the net Clause 12.11 of SEBI Master assets can be deployed in Circular dated June 27, 2024 Stock Lending Upto 5% of the net assets can be deployed in Stock Lending to any single approved intermediary i.e. broker. Page 14 of 67 Scheme Information Document - Mirae Asset Nifty 500 Healthcare ETF2. Equity Derivatives Upto 20% Clause 12.25 of SEBI Master Circular dated June 27, 2024 3. Equity Derivatives for Upto 20% Clause 12.25 of SEBI Master non-hedging purposes Circular dated June 27, 2024 SO-20 4. Securitized Debt 0% Clause 12.15 of SEBI Master Circular dated June 27, 2024 5. Overseas Securities 0% Clause 12.19 of SEBI Master Circular dated June 27, 2024 6. Debt Instruments with 0% Clause 12.3 of SEBI Master Circular Credit enhancement / dated June 27, 2024 Structured Obligations 7. Repo in Corporate Debt 0% Clause 12.18 of SEBI Master Securities Circular dated June 27, 2024 8. Short Selling 0% Clause 12.11 of SEBI Master Circular dated June 27, 2024 9. Credit default swaps 0% Clause 12.28 of SEBI Master Circular dated June 27, 2024 10. Debt instruments having 0% Clause 12.2 of SEBI Master Circular Special Features dated June 27, 2024 11. ReITS and InVITS 0% Clause 12.21 of SEBI Master Circular dated June 27, 2024 12. Unrated debt and money 0% Clause 12.1.5 of SEBI Master market instruments Circular dated June 27, 2024 13. Unlisted Debt Instruments 0% Clause 12.1.5 of SEBI Master Circular dated June 27, 2024 14. Fund of Fund Schemes 0% Clause 9A of Seventh Schedule of SEBI (Mutual Funds) Regulations, 1996 15. Units of Mutual Fund 5% Clause 4 of the seventh schedule on Scheme ‘Restriction on Investments’ of SEBI (Mutual Funds) Regulations, 1996 SO-19 *SEBI circular references (wherever applicable) in support of exposure limits of different types of asset classes in asset allocation is provided. Rebalancing due to passive breach SO-22 In accordance with Clause 3.5.3.11 and 3.6.7 of SEBI Master Circular dated June 27, 2024 in case of change in constituents of the index due to periodic review, the portfolio of the Scheme shall be rebalanced within 7 calendar days. Any transactions undertaken in the scheme portfolio in order to meet the redemption and subscription obligations shall be done while ensuring that post such transactions replication of the portfolio with the index is maintained at all points of time. In the event of involuntary corporate action, the Scheme shall dispose the security not forming part of the underlying index within 7 calendar Days from the date of allotment/ listing. Page 15 of 67 Scheme Information Document - Mirae Asset Nifty 500 Healthcare ETFRebalancing of deviation due to short term defensive consideration Subject to SEBI (MF) Regulations, the asset allocation pattern indicated above may change from time to time, SO-24 keeping in view market conditions, market opportunities, applicable regulations and political and economic factors. It must be clearly understood that the percentages can vary substantially depending upon the perception of the Investment Manager; the intention being at all times to seek to protect the interests of the SO-23 Unit holders. As per Clause 1.14.1.2 of SEBI Master Circular dated June 27, 2024, such changes in the investment pattern will be for short term and for defensive consideration only. The Scheme shall rebalance the portfolio in case of any deviation to the asset allocation. Such rebalancing shall be done within 7 Calendar days from the date of occurrence of deviation. Where the portfolio is not rebalanced within 7 Calendar Days, justification for the same including details of efforts taken to rebalance the portfolio shall be placed before the Investment Committee and reasons for the same shall be recorded in writing. The Investment committee shall then decide on the course of action. However, at all times the portfolio will adhere to the overall investment objectives of the Schemes. Tracking Error The Scheme, in general, will hold all the securities that constitute the underlying Index in the same proportion as the index. Expectation is that, over a period of time, the tracking error of the Scheme relative to the performance of the Underlying Index will be relatively low. The AMC would monitor the tracking error of the Scheme on an ongoing basis and would seek to minimize tracking error to the maximum extent possible. Under normal market circumstances such tracking error is not expected to exceed 2% p.a for daily 12 month rolling return. However, in case of events like, dividend received from underlying securities, and market volatility during rebalancing of the portfolio following the rebalancing of the Underlying Index, etc. or in abnormal market circumstances, the tracking error may exceed the above limits and the same shall be brought to the notice of Trustees with corrective actions taken by the AMC, if any. Since the Scheme is an exchange traded fund, it will endeavor that at no point of time the Scheme will deviate from the index. B. WHERE WILL THE SCHEME INVEST? SO-29 The corpus of the Scheme will invest in Securities which are constituents of Nifty 500 Healthcare Index and in Money Market Instruments. The corpus of the Scheme will be invested in various types of securities (including but not limited to) such as: 1. Equity and Equity Related Instruments of companies constituting Nifty 500 Healthcare Index 2. Debt & Money Market Instruments 3. Investment in Derivatives Detailed definition and applicable regulations/guidelines for each instrument shall be included in Section II. C. WHAT ARE THE INVESTMENT STRATEGIES? The Mirae Asset Nifty 500 Healthcare ETF will be managed passively with investments in stocks in the same SO-27 proportion as in the Nifty 500 Healthcare Index. The investment strategy of the Scheme will be to invest in a basket of securities forming part of Nifty 500 Healthcare Index in similar weight proportion. The investment strategy would revolve around reducing the tracking error to the least possible through regular rebalancing of the portfolio, considering the change in weights of stocks in the Index as well as the incremental collections/redemptions in the Scheme. A part of the funds may be invested in debt and money market instruments, to meet the liquidity requirements. Page 16 of 67 Scheme Information Document - Mirae Asset Nifty 500 Healthcare ETFSubject to the Regulations and the applicable guidelines the Scheme may invest in the schemes of Mutual Funds. The investment strategy shall be in line with the asset allocation mentioned under “Part II - A: How will the Scheme allocate its assets?”. Though every endeavour will be made to achieve the objective of the Scheme, the AMC/Sponsors/Trustee does not guarantee that the investment objective of the Scheme will be achieved. No guaranteed returns are being offered under the Scheme. RISK CONTROL The scheme aims to track the Nifty 500 Healthcare Index (before expenses) as closely as possible. The index is tracked on a regular basis and changes to the constituent’s or their weights, if any, are replicated in the underlying portfolio with the purpose of minimizing tracking error. ETF being a passive investment carries lesser risk as compared to active fund management. The portfolio follows the index and therefore the level of stock concentration in the portfolio and its volatility would be the same as that of the index, subject to tracking error. Thus, there is no additional element of volatility or stock concentration on account of fund manager decisions. The fund manager would endeavor to keep cash levels at the minimal to control tracking error. Investment in Derivatives: SO-28 The Scheme may take derivatives position based on the opportunities available subject to the guidelines provided by SEBI from time to time and in line with the overall investment objective of the Scheme. Derivatives can be traded over the exchange or can be structured between two counter-parties. Those transacted over the exchange are called Exchange Traded derivatives whereas the other category is referred to as OTC (Over the Counter) derivatives. Derivative products are leveraged instruments and can provide disproportionate gains as well as disproportionate losses to the investor. Execution of such strategies depends upon the ability of the fund manager to identify such opportunities. Identification and execution of the strategies to be pursued by the fund manager involve uncertainty and decision of fund manager may not always be profitable. No assurance can be given that the fund manager will be able to identify or execute such strategies. The risks associated with the use of derivatives are different from or possibly greater than, the risks associated with investing directly in securities and other traditional investments. For detailed derivative strategies, please refer to SAI. Policy for Investment decisions The investment policy of the AMC has been determined by the Investment Committee (“IC”) which has been ratified by the Boards of the AMC and Trustee. At the strategic level, the broad investment philosophy of the AMC and the authorized exposure limits are spelt out in the Investment Policy of the AMC. During trading hours, the Fund Managers have the discretion to take investment decisions for the Scheme within the limits defined in the Investment Policy, these decisions and the reasons thereof are communicated to the CEO for post facto approval. The designated Fund Manager(s) of the Scheme will be responsible for taking day-to-day investment decisions and will inter-alia be responsible for asset allocation, security selection and timing of investment decisions. Page 17 of 67 Scheme Information Document - Mirae Asset Nifty 500 Healthcare ETFPortfolio Turnover Policy Portfolio Turnover measures the volume of trading that occurs in a Scheme’s portfolio during a given time period. The Scheme is an open-ended Exchange Traded Fund and it is expected that there may be a number of subscriptions and repurchases on a daily basis through Stock Exchange(s) or Market Makers and Large Investors. Generally, turnover will depend upon the extent of purchase and redemption of units and the need to rebalance the portfolio on account of change in the composition, if any, and corporate actions of securities included in Nifty 500 Healthcare Index. However, it will be the endeavor of the Fund Manager to maintain an optimal portfolio turnover rate commensurate with the investment objective of the Scheme and the purchase/ redemption transactions on an ongoing basis in the Scheme. D. HOW WILL THE SCHEME BENCHMARK ITS PERFORMANCE? Benchmark (Total Returns Index): Nifty 500 Healthcare Total Return Index Rationale for adoption of benchmark: The Trustees have adopted Nifty 500 Healthcare Index as the benchmark index. As per its investment objective, the investment would primarily be in Securities which are constituents of the benchmark index. Thus, the composition of the aforesaid benchmark index is such that it is most suited for comparing performance of the Scheme. E. WHO MANAGES THE SCHEME? SO-33 Sr. Particulars Details Details No. i. Name Ms. Ekta Gala Mr. Ritesh Patel ii. Age 32 years 34 Years iii. Educational B. Com & Inter CA (IPCC) Bachelors in Financial Market, CMT L-2 Qualification Candidate iv. Past experience Ms. Ekta Gala has over 7 years of Mr. Ritesh Patel has over 13 years of experience as a dealer. Prior to this experience in the field of Commodities assignment, Ms. Ekta Gala was associated Market. Prior to this assignment, Mr. Patel with ICICI Prudential Asset Management has worked as Aditya Birla Money Ltd, Company Ltd. IIFL Securities, Ventura Securities and choice broking Pvt. Ltd. The other schemes being managed by Ms. The other schemes being managed by Ekta Gala are: Mr. Ritesh Patel are 1. Mirae Asset Nifty 100 ESG 1. Mirae Asset Gold ETF Sector Leaders ETF 2. Mirae Asset Nifty 50 ETF 2. Mirae Asset Nifty 100 Low 3. Mirae Asset Nifty Bank ETF Volatility 30 ETF 4. Mirae Asset Nifty Financial 3. Mirae Asset Nifty 50 ETF Services ETF 4. Mirae Asset Nifty Bank ETF 5. Mirae Asset Nifty Midcap 150 5. Mirae Asset Nifty Financial ETF Services ETF 6. Mirae Asset Nifty Next 50 ETF 6. Mirae Asset Nifty India 7. Mirae Asset BSE Sensex ETF Manufacturing ETF 8. Mirae Asset Silver ETF 7. Mirae Asset Nifty Midcap 150 9. Mirae Asset Nifty IT ETF ETF 10. Mirae Asset Multi Asset 8. Mirae Asset Nifty Next 50 ETF Allocation Fund 9. Mirae Asset BSE Sensex ETF 11. Mirae Asset Nifty500 Multicap Page 18 of 67 Scheme Information Document - Mirae Asset Nifty 500 Healthcare ETF10. Mirae Asset Hang Seng TECH 50:25:25 ETF ETF Fund of Fund 12. Mirae Asset Nifty LargeMidcap 11. Mirae Asset Nifty 100 ESG 250 Index Fund Sector Leaders Fund of Fund 13. Mirae Asset Nifty 50 Index Fund 12. Mirae Asset Nifty India 14. Mirae Asset Gold ETF Fund of Manufacturing ETF Fund of Fund Fund 15. Mirae Asset Nifty Total Market 13. Mirae Asset NYSE FANG + Index Fund ETF Fund of Fund 16. Mirae Asset Multi Factor Passive 14. Mirae Asset S&P 500 Top 50 FOF ETF Fund of Fund 17. Mirae Asset Gold Silver Passive 15. Mirae Asset Nifty 200 Alpha 30 FoF ETF 18. Mirae Asset Smallcap 250 ETF 16. Mirae Asset Nifty IT ETF 17. Mirae Asset Nifty Smallcap 250 Momentum Quality 100 ETF 18. Mirae Asset Nifty Smallcap 250 Momentum Quality 100 ETF Fund of Fund 19. Mirae Asset Nifty MidSmallcap400 Momentum Quality 100 ETF 20. Mirae Asset Nifty MidSmallcap400 Momentum Quality 100 ETF Fund of Fund 21. Mirae Asset Nifty EV and New Age Automotive ETF 22. Mirae Asset Nifty200 Alpha 30 ETF Fund of Fund 23. Mirae Asset Nifty500 Multicap 50:25:25 ETF 24. Mirae Asset Nifty PSU Bank ETF 25. Mirae Asset Nifty Metal ETF 26. Mirae Asset Nifty LargeMidcap 250 Index Fund 27. Mirae Asset Nifty 50 Index Fund 28. Mirae Asset Nifty Total Market Index Fund 29. Mirae Asset Nifty India New Age Consumption ETF 30. Mirae Asset Nifty India New Age Consumption ETF Fund of Fund 31. Mirae Asset BSE 200 Equal Weight ETF 32. Mirae Asset BSE 200 Equal Weight ETF Fund of Fund 33. Mirae Asset BSE Select IPO ETF 34. Mirae Asset BSE Select IPO ETF Fund of Fund 35. Mirae Asset Nifty50 Equal Weight ETF Page 19 of 67 Scheme Information Document - Mirae Asset Nifty 500 Healthcare ETF36. Mirae Asset Nifty India Internet ETF 37. Mirae Asset Nifty Energy ETF Mirae Asset Nifty Smallcap 250 ETF v. Tenure for which NIL since it’s a new scheme the fund manager has been managing the scheme F. HOW IS THE SCHEME DIFFERENT FROM EXISTING SCHEMES OF THE MUTUAL FUND? The existing ETFs of Mirae Asset Mutual Fund are as below: 1. Mirae Asset Nifty 50 ETF 2. Mirae Asset Nifty Next 50 ETF 3. Mirae Asset Nifty Financial Services ETF 4. Mirae Asset Nifty India Manufacturing ETF 5. Mirae Asset Nifty Midcap 150 ETF 6. Mirae Asset Nifty 100 Low Volatility 30 ETF 7. Mirae Asset BSE Sensex ETF 8. Mirae Asset Nifty 200 Alpha 30 ETF 9. Mirae Asset Nifty Smallcap 250 Momentum Quality 100 ETF 10. Mirae Asset Nifty MidSmallcap400 Momentum Quality 100 ETF 11. Mirae Asset Nifty500 Multicap 50:25:25 ETF 12. Mirae Asset Nifty India New Age Consumption ETF 13. Mirae Asset BSE 200 Equal Weight ETF 14. Mirae Asset BSE Select IPO ETF 15. Mirae Asset Nifty 100 ESG Sector Leaders ETF 16. Mirae Asset NYSE FANG + ETF 17. Mirae Asset S&P 500 TOP 50 ETF 18. Mirae Asset Hang Seng TECH ETF 19. Mirae Asset Nifty Bank ETF 20. Mirae Asset Nifty IT ETF 21. Mirae Asset Nifty EV and New Age Automotive ETF 22. Mirae Asset Nifty PSU Bank ETF 23. Mirae Asset Nifty Metal ETF 24. Mirae Asset Gold ETF 25. Mirae Asset Silver ETF 26. Mirae Asset Nifty 8-13 yr G-Sec ETF 27. Mirae Asset Nifty 1D Rate Liquid ETF - IDCW 28. Mirae Asset Nifty 1D Rate Liquid ETF – Growth 29. Mirae Asset Nifty50 Equal Weight ETF 30. Mirae Asset Nifty India Internet ETF 31. Mirae Asset Nifty Energy ETF 32. Mirae Asset Nifty Smallcap 250 ETF The table showing the differentiation of the Scheme with the existing ETFs of Mirae Asset Mutual Fund is available at: https://www.miraeassetmf.co.in/downloads/statutory-disclosure/other-disclosure/offer- documents-data Page 20 of 67 Scheme Information Document - Mirae Asset Nifty 500 Healthcare ETFG. HOW HAS THE SCHEME PERFORMED? This is a new scheme and does not have any performance track record. H. ADDITIONAL SCHEME RELATED DISCLOSURES This is a new Scheme and therefore, the requirement of following additional disclosures shall not be applicable for the Scheme: i. Scheme’s portfolio holdings (top 10 holdings by issuer and fund allocation towards various sectors are available on functional website link) ii. Disclosure of name and exposure to Top 7 issuers, stocks, groups and sectors as a percentage of NAV of the scheme in case of debt and equity ETFs/index funds through a functional website link that contains detailed description iii. Functional website link for Portfolio Disclosure iv. Portfolio Turnover Ratio v. The Aggregate Investment in the Scheme by For any other disclosure w.r.t investments by key personnel and AMC directors including regulatory provisions in this regard kindly refer SAI. vi. Investments of AMC in the Scheme The AMC shall not invest in any of the schemes unless full disclosure of its intention to invest has SO-58 been made in the Scheme Information Document and that the AMC shall not be entitled to charge any fees on such investment Part III- OTHER DETAILS A. COMPUTATION OF NAV SO-41 The NAV of the Units of the Scheme will be computed by dividing the net assets of the Scheme by the number of Units outstanding on the valuation date. NAV of Units under the Options there under can be calculated as shown below: NAV = (Market or Fair Value of Scheme’s investments + Current assets including Accrued Income - Current Liabilities and provisions including accrued expenses) _____________________________________________________________ No. of Units outstanding under the Scheme/Option. The NAV, the sale and repurchase prices of the Units will be calculated and announced at the close of each working day. The NAVs of the Scheme will be computed and units will be allotted upto 4 decimals. Computation of NAV will be done after taking into account Income Distribution Cum Capital Withdrawal paid, if any, and the distribution tax thereon, if applicable. The valuation of the Schemes’ assets and calculation of the Schemes’ NAVs shall be subject to audit on an annual basis and such regulations as may be prescribed by SEBI from time to time. SO-42 Illustration on Computation of NAV: If the net assets of the Scheme are Rs.10,65,44,345.34 and units outstanding are 1,00,00,000 then the NAV per unit will be computed as follows: Page 21 of 67 Scheme Information Document - Mirae Asset Nifty 500 Healthcare ETF10,65,44,345.34 / 1,00,00,000 = Rs. 10.6544 p.u. (rounded off to four decimals) Methodology for calculation of sale and re-purchase price of the units of mutual fund scheme: • Ongoing Price for subscription (purchase)/ switch-in (from other schemes/ plans of the mutual fund) by investors. (This is the price you need to pay for purchase/ switch-in): The Sale Price for a valid purchase will be the Applicable NAV. i.e. Sale Price = Applicable NAV For a valid purchase request of Rs. 10,000 where the applicable NAV is Rs. 11.1234, the units allotted will be: = 10,000 (i.e. purchase amount 11.1234 (i.e. applicable NAV) = 899.006 units (rounded to three decimals) Other charges/expenses, if any, borne by the investors have not been considered in the above illustration. • Ongoing Price for redemption (sale)/ switch-outs (to other schemes/plans of the mutual fund) by investors. (This is the price you will receive for redemptions/ switch-outs): The Repurchase Price for a valid repurchase will be the applicable NAV reduced by any exit load (say 1%). i.e. applicable NAV - (applicable NAV X applicable exit load). For a valid repurchase request where the applicable NAV is Rs. 12.1234, the repurchase price will be: = 12.1234 - (12.1234 X 1.00%) = 12.1234 - 0.1212 = Rs. 12.0022 Therefore, for a repurchase of 899.006 units, the proceeds received by the investor will be - = 899.006 (units) * 12.0022 (Repurchase price) = Rs. 10,790.02 (rounded to two decimals) Other charges/expenses, if any, borne by the investors have not been considered in the above illustration. The Mutual Fund may charge the load within the stipulated limit of 3% and without any discrimination to any specific group. The Repurchase Price however, will not be lower than 97% of the NAV. For other details such as policies w.r.t computation of NAV, rounding off, investment in foreign securities, procedure in case of delay in disclosure of NAV etc. refer to SAI. B. NEW FUND OFFER (NFO) EXPENSES These expenses are incurred for the purpose of various activities related to the NFO like sales and distribution fees paid marketing and advertising, registrar expenses, printing and stationary, bank charges etc. NFO expenses shall be borne by the AMC. No NFO expenses will be charged to the Scheme. Page 22 of 67 Scheme Information Document - Mirae Asset Nifty 500 Healthcare ETFC. ANNUAL SCHEME RECURRING EXPENSES These are the fees and expenses for operating the scheme. These expenses include Investment Management and Advisory Fee charged by the AMC, Registrar and Transfer Agents’ fee, marketing and selling costs etc. as given in the table below: The AMC has estimated that upto 1.00% of the daily net assets of the scheme will be charged to the scheme as expenses. For the actual current expenses being charged, the investor should refer to the website of the mutual fund https://www.miraeassetmf.co.in/downloads/statutory-disclosure/total-expense-ratio % p.a. of daily Net Assets* Expense Head (Estimated p.a.) Investment Management & Advisory Fee Upto 1.00% Audit fees/fees and expenses of trustees Custodial Fees Registrar & Transfer Agent Fees including cost of providing account statements / IDCW / redemption cheques/ warrants Marketing & Selling Expenses including Agents Commission and statutory advertisement Costs related to investor communications Costs of fund transfer from location to location SO-43 Cost towards investor education & awareness- upto 1 bps Brokerage & transaction cost pertaining to distribution of units Goods & Services Tax on expenses other than investment and advisory fees Goods & Services Tax on brokerage and transaction cost Other Expenses (to be specified as per Reg 52 of SEBI MF Regulations) * Maximum Total expenses ratio (TER) permissible under Regulation 52 Upto 1.00% (6) (b) *Other expenses: Any other expenses which are directly attributable to the Scheme, may be charged with approval of the Trustee within the overall limits as specified in the Regulations except those expenses which are specifically prohibited. For the actual current expenses being charged, the investor should refer to the website of the Mutual Fund. The purpose of the above table is to assist the investor in understanding the various costs & expenses that the investor in the Scheme will bear directly or indirectly. These estimates have been made in good faith as per the information available to the AMC and the above expenses (including investment management and advisory fees) are subject to inter-se change and may increase/decrease as per actual and/or any change in the Regulations, as amended from time to time. All scheme related expenses including commission paid to distributors, by whatever name it may be called and in whatever manner it may be paid, shall necessarily be paid from the scheme only within the regulatory limits and not from the books of the Asset Management Companies (AMC), its associate, sponsor, trustee or any other entity through any route. Page 23 of 67 Scheme Information Document - Mirae Asset Nifty 500 Healthcare ETFIn addition to the limits as specified in Regulation 52(6) of SEBI (Mutual Funds) Regulations 1996 [‘SEBI Regulations’] or the Total Recurring Expenses (Total Expense Limit) as specified above, the following costs or expenses may be charged to the scheme namely:- a. GST payable on investment and advisory service fees (‘AMC fees’) charged by Mirae Asset Investment Managers (India) Private Limited (‘Mirae Asset AMC)’; Within the Total Expense Limit chargeable to the Scheme, following will be charged to the Scheme: - GST on other than investment and advisory fees, if any, (including on brokerage and transaction costs on execution of trades) shall be borne by the Scheme; - Investor education and awareness initiative fees of 5% of total TER Charged to the Scheme, subject to maximum of 0.5 bps of AUM. - b. Brokerage and transaction cost incurred for the purpose of execution shall be charged to the schemes (a) up to 12 bps and 5 bps for cash market transactions and derivatives transactions respectively. Any payment towards brokerage & transaction costs, over and above the said 12 bps and 5 bps for cash market transactions and derivatives transactions respectively may be charged to the Scheme within the maximum limit of Total Expense Ratio (TER) as prescribed under Regulation 52 of the SEBI (Mutual Funds) Regulations, 1996 The current expense ratios will be updated on the AMC website https://miraeassetmf.co.in/downloads/regulatory at least 3 working days prior to the effective date of the change. Further, the notice of change in base TER (i.e. TER excluding additional expenses provided in Regulation 52(6A) (b) and 52(6A)(c) of SEBI (Mutual Funds) Regulations, 1996) in comparison to previous base TER charged to the scheme will be communicated to investors of the scheme through notice via email or SMS at least three working days prior to effecting such change. However, any decrease in TER due to decrease in applicable limits as prescribed in Regulation 52 (6) (i.e. due to increase in daily net assets of the scheme) would not require issuance of any prior notice to the investors. The above change in the base TER in comparison to previous base TER charged to the scheme shall be intimated to the Board of Directors of AMC along with the rationale recorded in writing. The changes in TER shall also be placed before the Trustees on quarterly basis along with rationale for such changes. Illustration of impact of expense ratio on scheme’s returns (by providing simple example) SO-44 Particulars NAV Opening NAV per unit A 10.000 Gross Scheme Returns @ 8.75% B 0.875 Expense Ratio @ 1.00 % p.a. C = (A x 1.00%) 0.100 Closing NAV per unit D = A + B - C 10.775 Net 1 Year Return E/A - 1 7.75% *Distribution/Brokerage expense is not levied in ETF The above calculation is provided to illustrate the impact of expenses on the scheme returns and should not be construed as indicative Expense Ratio, yield or return. Page 24 of 67 Scheme Information Document - Mirae Asset Nifty 500 Healthcare ETFD. LOAD STRUCTURE SO-47 Exit Load is an amount which is paid by the investor to redeem the units from the scheme. Load amounts are variable and are subject to change from time to time. For the current applicable structure, please refer to the website of the AMC (https://www.miraeassetmf.co.in/) or may call at ‘1800 2090 777’ or your distributor. Type of Load Load chargeable (as %age of NAV) Exit • For investors transacting directly with the AMC: No Exit load will be levied on redemptions made by Market Maker / Large Investors directly with the AMC. • For investors transacting on the exchange: Not Applicable. Investors other than Market Makers can redeem units directly with the Fund for less than Creation Unit size at approximately indicative NAV based prices (along with applicable charges and execution variations) during the Ongoing Offer for units without any exit load if: • Traded price (closing price) of the ETF units is at discount of more than 1% to the day end NAV for 7 continuous trading days, or • No quotes for such ETFs are available on stock exchange(s) for 3 consecutive trading days, or • Total bid size on the exchange is less than half of creation units size daily, averaged over a period of 7 consecutive trading days. Such instances shall be tracked by the AMC on an ongoing basis and in case if any of the above mentioned scenario arises, the same shall be disclosed on the website of the Mutual Fund. For any change in exit load, AMC will issue an addendum and display it on the website/Investor Service Centres. The Mutual Fund may charge exit load within the stipulated limit of 3% and without any discrimination to any SO-47 specific group. The Repurchase Price however, will not be lower than 97% of the NAV. The Trustee reserves the right to modify/alter the load structure and may decide to charge on the Units with prospective effect, subject to the maximum limits as prescribed under the SEBI Regulations. At the time of changing the load structure, the AMC shall take the following steps: • Arrangements shall be made to display the changes/modifications in the SID in the form of a notice in all the Mirae Asset ISCs’ and distributors’ offices and on the website of the AMC. • The notice–cum-addendum detailing the changes shall be attached to SIDs and Key Information Memoranda. The addendum will be circulated to all the distributors so that the same can be attached to all SIDs and Key Information Memoranda already in stock. • The introduction of the exit load along with the details shall be stamped in the acknowledgement slip issued to the investors on submission of the application form and may also be disclosed in the statement of accounts issued after the introduction of such load. • A public notice shall be given in respect of such changes in one English daily newspaper having nationwide Page 25 of 67 Scheme Information Document - Mirae Asset Nifty 500 Healthcare ETFcirculation as well as in a newspaper published in the language of region where the Head Office of the Mutual Fund is situated. • Any other measures which the mutual funds may feel necessary. The AMC may change the load from time to time and in case of an exit/repurchase load this may be linked to the period of holding. It may be noted that any such change in the load structure shall be applicable on prospective investment only. The exit load (net off GST, if any, payable in respect of the same) shall be credited to the Scheme of the Fund. The distributors should disclose all the commissions (in the form of trail commission or any other mode) payable to them for the different competing schemes of various mutual funds from amongst which the scheme is being recommended to the investor. Section II I. Introduction A. Definitions/interpretation Please refer the definitions/interpretation as disclosed under: https://www.miraeassetmf.co.in/downloads/statutory-disclosure/other-disclosure/offer-documents-data B. Risk factors Standard Risk Factors: • Investment in Mutual Fund units involves investment risks such as trading volumes, settlement risk, liquidity risk, default risk including the possible loss of principal • As the price / value / interest rate of the securities in which the Scheme invests fluctuates, the value of your investment in the scheme can go up or down depending on various factors and forces affecting capital markets and money markets. • Past performance of the Sponsor/ AMC/ Mutual Fund does not guarantee the future performance of the Scheme. • The name of the Scheme does not in any manner indicate its quality or its future prospects and returns. • The Sponsor is not responsible or liable for any loss resulting from the operation of the Scheme beyond the initial contribution of Rs. 1 lakh made by it towards setting up the Fund. • The present scheme is not a guaranteed or assured return scheme. Scheme Specific Risk Factors SO-8 • Risk Factors associated with Exchange Traded Schemes The Scheme is subject to the specific risks that may adversely affect the Scheme’s NAV, return and / or ability to meet its investment objective. The specific risk factors related to the Scheme include, but are not limited to the following: Passive Fund Investment Risks 1. Market Risk The NAV of the Scheme will react to the securities market movements. The Investor may lose money over short or long periods due to fluctuation in the Scheme’s NAV in response to factors such as economic, political, social instability or diplomatic developments, changes in interest rates and perceived trends in stock prices, market movements and over longer periods during market downturns. Investments may be adversely affected by the Page 26 of 67 Scheme Information Document - Mirae Asset Nifty 500 Healthcare ETFpossibility of expropriation or confiscatory taxation, imposition of withholding taxes on Dividend or interest payments, limitations on the removal of funds or other assets of the Scheme. The Scheme may not be able to immediately sell certain types of illiquid Securities. The purchase price and subsequent valuation of restricted and illiquid Securities may reflect a discount, which may be significant, from the market price of comparable Securities for which a liquid market exists. 2. Market Trading Risks 1. Absence of prior Active Market: Although the Scheme is listed on NSE/BSE, there can be no assurance that an active secondary market will develop or be maintained. Hence there would be time when trading in the Units of the Scheme would be infrequent. 2. Trading in Units may be Halted: Trading in the Units of the Scheme on NSE/BSE may be halted because of market conditions or for reasons that in view of NSE/BSE or SEBI, trading in the Units of the Scheme are not advisable. In addition, trading of the Units of the Scheme are subject to trading halts caused by extraordinary market volatility and pursuant to NSE and SEBI ‘circuit filter’ rules. There can be no assurance that the requirements of NSE/BSE necessary to maintain the listing of the Units of the Scheme will continue to be met or will remain unchanged. 3. Lack of Market Liquidity: The Scheme may not be able to immediately sell certain types of illiquid Securities. The purchase price and subsequent valuation of restricted and illiquid Securities may reflect a discount, which may be significant, from the market price of comparable Securities for which a liquid market exists. 4. Units of the Scheme May Trade at prices Other than NAV: The Units of the Scheme may trade above or below their NAV. The NAV of the Scheme will fluctuate with changes in the market value of the holdings of the Scheme. The trading prices of the Units of the Scheme will fluctuate in accordance with changes in their NAV as well as market supply and demand for the Units of the Scheme. However, given that Units of the Scheme can be created and Redeemed in Creation Units directly with the Fund, it is expected that large discounts or premiums to the NAV of Units of the Scheme will not sustain due to arbitrage opportunity available. 5. Regulatory Risk: Any changes in trading regulations by NSE/BSE or SEBI may affect the ability of market maker to arbitrage resulting into wider premium/discount to NAV. 6. Reinvestment Risk: This risk refers to the interest rate levels at which cash flows received from the Securities in the Scheme are reinvested. The additional income from reinvestment is the “interest on interest” component. The risk is that the rate at which interim cash flows can be reinvested may be lower than that originally assumed. 7. Risk of Substantial Redemptions: Substantial Redemptions of Units within a limited period of time could require the Scheme to liquidate positions more rapidly than would otherwise be desirable, which could adversely affect the value of both the Units being Redeemed and that of the outstanding Units of the Scheme. The risk of a substantial Redemption of the Units may be exacerbated where an investment is made in the Scheme as part of a structured product with a fixed life and where such structured products utilize hedging techniques. Please also refer Statement of Additional Information for additional details. 8. Regardless of the period of time in which Redemptions occur, the resulting reduction in the NAV of the Scheme could also make it more difficult for the Scheme to generate profits or recover losses. The Trustee, in the general interest of the Unit holders of the Scheme offered under this SID and keeping in view of the unforeseen circumstances/unusual market conditions, may limit the total number of Units which can be Redeemed on any Working Day depending on the total “Saleable Underlying Stock” available with the Fund. 3.Volatility Risk The equity markets and Derivative markets are volatile and the value of Securities, Derivative contracts and other instruments correlated with the equity markets may fluctuate dramatically from day to day. This volatility may cause the value of investment in the Scheme to decrease. Page 27 of 67 Scheme Information Document - Mirae Asset Nifty 500 Healthcare ETF4.Redemption Risk Investors may note that even though the Scheme is an open-ended Scheme, the Scheme would ordinarily repurchase Units in Creation Unit Size from Market Makers/large investors. Thus Unit holdings less than creation unit size for Market Makers and Large investors can only be sold through the secondary market on the Exchange unless any of the scenarios mentioned below have occurred: i. Traded price (closing price) of the ETF units is at discount of more than 1% to the day end NAV for 7 continuous trading days, or ii. No quotes for such ETFs are available on stock exchange(s) for 3 consecutive trading days, or iii. Total bid size on the exchange is less than half of creation units size daily, averaged over a period of 7 consecutive trading days. 5. Asset Class Risk The returns from the types of Securities in which the Scheme invests may underperform returns of general Securities markets or different asset classes. Different types of Securities tend to go through cycles of out- performance and under-performance in comparison of Securities markets. 6. Passive Investments As the Scheme proposes to invest not less than 95% of the net assets in the securities of the underlying Index, the Scheme will not be actively managed. The Scheme which is linked to the underlying index may be affected by a general decline in the Indian markets relating to its underlying index. The Scheme as per its investment objective invests in in Securities which are constituents of its underlying index regardless of its investment merit. The AMC does not attempt to individually select stocks or to take defensive positions in declining markets. The index methodology may be changed by the index provider in future due to several externalities. The change in the methodology of the index may affect the future portfolio and/or performance of the index and the scheme. 7. Tracking Error and Tracking Difference Risk SO-10 The Fund Manager would not be able to invest the entire corpus exactly in the same proportion as in the underlying index due to certain factors such as the fees and expenses of the Scheme, corporate actions, cash balance, changes to the underlying index and regulatory restrictions, which may result in Tracking Error with the underlying index. The Scheme’s returns may therefore deviate from those of the underlying index. “Tracking Error” is defined as the standard deviation of the difference between daily returns of the underlying index and the NAV of the Scheme. Tracking Difference” is the annualized difference of daily returns between the Index and the NAV of the scheme (difference between fund return and the index return). Tracking Error and Tracking difference may arise including but not limited to the following reasons: • Expenditure incurred by the Fund. • Available funds may not be invested at all times as the Scheme may keep a portion of the funds in cash to meet Redemptions, for corporate actions or otherwise. • Securities trading may halt temporarily due to circuit filters. • Corporate actions such as debenture or warrant conversion, rights issuances, mergers, change in constituents etc. • Rounding-off of the quantity of shares in the underlying index. • Dividend payout. • Index providers undertake a periodical review of the scrips that comprise the underlying index and may either drop or include new scrips. In such an event, the Fund will try to reallocate its portfolio but the available investment/reinvestment opportunity may not permit absolute mirroring immediately. Page 28 of 67 Scheme Information Document - Mirae Asset Nifty 500 Healthcare ETFSEBI Regulations (if any) may impose restrictions on the investment and/or divestment activities of the Scheme Such restrictions are typically outside the control of the AMC and may cause or exacerbate the Tracking Error. It will be the endeavor of the fund manager to keep the tracking error as low as possible. However, in case of events like, dividend received from underlying securities, rights issue from underlying securities, and market volatility during rebalancing of the portfolio following the rebalancing of the underlying index, etc. or in abnormal market circumstances may result in tracking error. There can be no assurance or guarantee that the Scheme will achieve any particular level of tracking error relative to performance of the Index. Risks Associated with Equity and Equity related Investments: • Equity and equity related securities are volatile and prone to price fluctuations on a daily basis. The liquidity of investments made in the Scheme may be restricted by trading volumes and settlement periods. Settlement periods may be extended significantly by unforeseen circumstances. The inability of the Scheme to make intended securities purchases, due to settlement problems, could cause the Scheme to miss certain investment opportunities. Similarly, the inability to sell securities held in the Scheme portfolio would result at times, in potential losses to the Scheme, should there be a subsequent decline in the value of securities held in the Scheme portfolio. Also, the value of the Scheme investments may be affected by interest rates, changes in law/ policies of the government, taxation laws and political, economic or other developments which may have an adverse bearing on individual Securities, a specific sector or all sectors. • Investments in equity and equity related securities involve a degree of risk and investors should not invest in the equity Schemes unless they can afford to take the risk of losing their investment. Risks Associated with Debt & Money Market Instruments • Price-Risk or Interest-Rate Risk: Fixed income securities such as bonds, debentures and money market instruments run price-risk or interest-rate risk. Generally, when interest rates rise, prices of existing fixed income securities fall and when interest rates drop, such prices increase. The extent of fall or rise in the prices is a function of the existing coupon, days to maturity and the increase or decrease in the level of interest rates. • Credit Risk: In simple terms this risk means that the issuer of a debenture/ bond or a money market instrument may default on interest payment or even in paying back the principal amount on maturity. Even where no default occurs, the price of a security may go down because the credit rating of an issuer goes down. It must, however, be noted that where the Scheme has invested in Government securities, there is no credit risk to that extent. • Liquidity or Marketability Risk: This refers to the ease with which a security can be sold at or near to its valuation yield-to-maturity (YTM). The primary measure of liquidity risk is the spread between the bid price and the offer price quoted by a dealer. Liquidity risk is today characteristic of the Indian fixed income market. • Reinvestment Risk: Investments in fixed income securities may carry reinvestment risk as interest rates prevailing on the interest or maturity due dates may differ from the original coupon of the bond. Consequently, the proceeds may get invested at a lower rate. • Pre-payment Risk: Certain fixed income securities give an issuer the right to call back its securities before their maturity date, in periods of declining interest rates. The possibility of such prepayment may force the fund to reinvest the proceeds of such investments in securities offering lower yields, resulting in lower interest income for the fund. Page 29 of 67 Scheme Information Document - Mirae Asset Nifty 500 Healthcare ETF• Spread Risk: In a floating rate security the coupon is expressed in terms of a spread or mark up over the benchmark rate. In the life of the security this spread may move adversely leading to loss in value of the portfolio. The yield of the underlying benchmark might not change, but the spread of the security over the underlying benchmark might increase leading to loss in value of the security. • Concentration Risk: The Scheme portfolio may have higher exposure to a single sector, subject to maximum of 20% of net assets, depending upon availability of issuances in the market at the time of investment, resulting in higher concentration risk. Any change in government policy / businesses environment relevant to the sector may have an adverse impact on the portfolio. • Different types of securities in which the scheme would invest as given in the SID carry different levels and types of risk. Accordingly the scheme’s risk may increase or decrease depending upon its investment pattern. E.g. corporate bonds carry a higher amount of risk than Government securities. Further even among corporate bonds, bonds, which are AA rated, are comparatively more risky than bonds, which are AAA rated. Risks Associated with Derivatives The risks associated with the use of derivatives are different from or possibly greater than the risks associated with investing directly in securities and other traditional instruments. Such risks include mispricing or improper valuation and the inability of derivatives to correlate perfectly with underlying assets, rates and indices. Trading in derivatives carries a high degree of risk although they are traded at a relatively small amount of margin which provides the possibility of great profit or loss in comparison with the principal investment amount. The options buyer’s risk is limited to the premium paid, while the risk of an options writer is unlimited. However the gains of an options writer are limited to the premiums earned. The writer of a call option bears a risk of loss if the value of the underlying asset increases above the exercise price. The loss can be unlimited as underlying asset can increase to any levels. The writer of a put option bears the risk of loss if the value of the underlying asset declines below the exercise price and the loss is limited to strike price. Investments in futures face the same risk as the investments in the underlying securities. The extent of loss is the same as in the underlying securities. However, the risk of loss in trading futures contracts can be substantial, because of the low margin deposits required, the extremely high degree of leverage involved in futures pricing and the potential high volatility of the futures markets. The derivatives are also subject to liquidity risk as the securities in the cash markets. The derivatives market in India is nascent and does not have the volumes that may be seen in other developed markets, which may result in volatility in the values. For further details please refer to section “Investments Limitations and Restrictions in Derivatives” in this SID. Risk factors associated with processing of transaction through Stock Exchange Mechanism The trading mechanism introduced by the stock exchange(s) is configured to accept and process transactions for mutual fund units in both Physical and Demat Form. The allotment and/or redemption of Units through NSE and/or BSE or any other recognised stock exchange(s), on any Business Day will depend upon the modalities of processing viz. collection of application form, order processing/settlement, etc. upon which the Fund has no control. However, units of the Scheme can only be subscribed in demat mode. Moreover, transactions conducted through the stock exchange mechanism shall be governed by the operating guidelines and directives issued by respective recognized stock exchange(s). Risk factors associated with Securities Lending In accordance with the Regulations and applicable guidelines, the Fund may engage in stock lending activities. The Securities will be lent by the Approved Intermediary against collateral received from borrower, for a fixed period of time, on expiry of which the securities lent will be returned by the borrower. There are risks inherent to securities lending, including the risk of failure of the other party, in this case the approved intermediary which is the clearing corporations of the Stock exchanges, to comply with the terms of Page 30 of 67 Scheme Information Document - Mirae Asset Nifty 500 Healthcare ETFthe agreement entered into between the lender of securities i.e. the Scheme and the approved intermediary. Such failure can result in the possible loss of rights to the collateral put up by the borrower of the securities, the inability of the approved intermediary to return the securities deposited by the lender and the possible loss of any corporate benefits accruing to the lender from the securities deposited with the approved intermediary. The risk is adequately covered as Securities Lending & Borrowing (SLB) is an Exchange traded product. Exchange offers an anonymous trading platform and gives the players the advantage of settlement guarantee without the worries of counter party default. However, the Fund may not be able to sell such lent securities during contract period or have to recall the securities which may be at higher than the premium at which the security is lent. Risks associated with segregated portfolio 1) Investor holding units of segregated portfolio may not able to liquidate their holding till the time recovery of money from the issuer. 2) Security comprises of segregated portfolio may not realise any value. 3) Listing of units of segregated portfolio in recognised stock exchange does not necessarily guarantee their liquidity. There may not be active trading of units in the stock market. Further trading price of units on the stock market may be significantly lower than the prevailing NAV. Risk Associated while transacting through Email (Applicable only for large investors and market makers): The AMC allows investors for transacting in mutual fund units through email. This may involve certain risks which the investor should carefully consider. Investors should note that email-based instructions are inherently vulnerable to risks such as interception, unauthorized access, phishing, spoofing, failed delivery and unintended transmission and should ensure appropriate safeguards are in place when using such mode of transaction. The AMC does not accept any responsibility or liability for any loss, damages or inconvenience caused due to errors, delays, non - receipt or unauthorized access associated with transacting through email. SO-9 C. Risk mitigation strategies Risks Associated with Equity and Equity Related Investments Market Risk: Market risk is inherent to an equity scheme. Being a passively managed scheme, it will invest in the securities included in its Underlying Index. Risks Associated with Debt & Money Market Instruments Credit Risk - The fund has a rigorous credit research process. There is a regulatory and internal cap on exposure to each issuer. This ensures a diversified portfolio and reduced credit risk in the portfolio. While these measures are expected to mitigate the above risks to a large extent, there can be no assurance that these risks would be completely eliminated. II. Information about the scheme: A. Where will the scheme invest? Equity and Equity Related Instruments The Scheme would invest in stocks constituting the Nifty 500 Healthcare Index in the similar proportion (weightage) as in the Index and endeavour to track the benchmark index. Page 31 of 67 Scheme Information Document - Mirae Asset Nifty 500 Healthcare ETFThe Scheme may take derivatives position based on the opportunities available subject to the guidelines issued by SEBI from time to time and in line with the overall investment objective of the Scheme. These may be taken to hedge the portfolio, rebalance the same or to undertake any other strategy as permitted under the SEBI Regulations. Debt & Money Market Instruments: The Scheme will invest in debt and money market instruments. It retains the flexibility to invest across all the securities in the debt and money markets. Debt securities and Money Market Instruments will include but will not be limited to: a. Securities created and issued by the Central and State Governments as may be permitted by RBI (including but not limited to coupon bearing bonds, zero coupon bonds and treasury bills). b. Securities guaranteed by the Central and State Governments (including but not limited to coupon bearing bonds, zero coupon bonds and treasury bills). c. Debt securities of domestic Government agencies and statutory bodies, which may or may not carry a Central/State Government guarantee. d. Corporate debt (of both public and private sector undertakings). e. “money market instruments” includes commercial papers, commercial bills, treasury bills, Government securities having an unexpired maturity up to one year, call or notice money, certificate of deposit, usance bills, and any other like instruments as specified by the Reserve Bank of India from time to time; subject to regulatory approvals where applicable. f. Certificate of Deposits (CDs). g. Commercial Paper (CPs). A part of the net assets may be invested in the Collateralized Borrowing & Lending Obligations (CBLO) or in an alternative investment as may be provided by RBI to meet the liquidity requirements. h. The non-convertible part of convertible securities. i. Any other domestic fixed income securities as permitted by SEBI / RBI from time to time. j. Any other instruments/securities, which in the opinion of the fund manager would suit the investment objective of the scheme subject to compliance with extant Regulations. The Investment Manager will invest only in those debt securities that are rated investment grade by a domestic credit rating agency authorized to carry out such activity, such as CRISIL, ICRA, CARE, FITCH, etc. The securities may be acquired through Initial Public Offerings (IPOs), secondary market operations, private placement, rights offer or negotiated deals. The Scheme shall not enter into any repurchase and reverse repurchase obligations in all securities held by it. The scheme does not intend to invest into any credit default swaps. Overview of Debt Markets in India Indian fixed income market, one of the largest and most developed in South Asia, is well integrated with the global financial markets. Screen based order matching system developed by the Reserve Bank of India (RBI) for trading in government securities, straight through settlement system for the same, settlements guaranteed by the Clearing Page 32 of 67 Scheme Information Document - Mirae Asset Nifty 500 Healthcare ETFCorporation of India and innovative instruments like TREPS have contributed in reducing the settlement risk and increasing the confidence level of the market participants. The RBI reviews the monetary policy six times a year giving the guidance to the market on direction of interest rate movement, liquidity and credit expansion. The central bank has been operating as an independent authority, formulating the policies to maintain price stability and adequate liquidity. Bonds are traded in dematerialized form. Credit rating agencies have been playing an important role in the market and are an important source of information to manage the credit risk. Government (Central and State) is the largest issuer of debt in the market. Public sector enterprises, quasi government bodies and private sector companies are other issuers. Insurance companies, provident funds, banks, mutual funds, financial institutions, corporates and FPIs are major investors in the market. Government loans are available up to 40 years maturity. Variety of instruments available for investments including plain vanilla bonds, floating rate bonds, money market instruments, structured obligations and interest rate derivatives make it possible to manage the interest rate risk effectively. Indicative levels of the instruments as on November 28, 2025 are as follows: Instrument Maturity Tenure Yield Liquidity TREPS / Repo Short Overnight 5.42 Very High 3 months CP* 6.67 High CP / CD / T Bills Short 3 months CD 5.97 1 Year CP* 6.76 1 Year CD 6.43 Central Government securities Low to High 10 years 6.51 Medium Source: Bloomberg *Data is for NBFC. Investment in Derivatives: The Scheme may take derivatives position based on the opportunities available subject to the guidelines provided by SEBI from time to time and in line with the overall investment objective of the Scheme. Derivatives can be traded over the exchange or can be structured between two counter-parties. Those transacted over the exchange are called Exchange Traded derivatives whereas the other category is referred to as OTC (Over the Counter) derivatives. Concepts and Examples of investing into Derivatives Derivatives are financial contracts of pre-determined fixed duration, whose values are derived from the value of an underlying primary financial instrument, commodity or index, such as: interest rates, exchange rates, commodities and equities. • Futures A futures contract is an agreement between the buyer and the seller for the purchase and sale of a particular asset at a specific price on a specific future date. The price at which the underlying asset would change hands in the future is agreed upon at the time of entering into the contract. The actual purchase or sale of the underlying asset involving payment of cash and delivery of the instrument does not take place until the contracted date of delivery. A futures contract involves an obligation on both the parties to fulfill the terms of the contract. Currently, futures contracts have a maximum expiration cycle of 3-months. Three contracts are available at any time for trading, with 1 month, 2 months and 3 months expiry respectively. Futures contracts typically expire on Page 33 of 67 Scheme Information Document - Mirae Asset Nifty 500 Healthcare ETFthe last Thursday of the month. For example, a contract with the January expiration expires on the last Thursday of January. A futures contract on the stock market index gives its owner the right and obligation to buy or sell the portfolio of stocks characterized by the index. Stock index futures are cash settled; there is no delivery of the underlying stocks. Let us assume that the Nifty Index at the beginning of the month October 2018 was 5070 and three index futures as under were available: Expiry Month Bid Price Offer Price October 18 5075 5080 November 18 5085 5090 December 18 5095 5100 The Scheme could buy an index future of October, 2018 at the offer price of Rs. 5080. The Fund will be required to pay the initial margin as required by the exchanges. The following is a hypothetical example of a typical trade in index future and the costs associated with the trade. Actual Purchase of Particulars Index Future Stocks Index as on beginning October 2018 5070 5070 October 2018 Futures Price 5080 - 1.Carry Cost associated with Futures 10 (5080-5070) 2.Brokerage Cost @ 0.02% for Index Future and 1.016 1.521 0.03% for Cash Markets (0.02% of 5080) (0.03% of 5070) 3.Securities Transaction Tax (STT) NIL 1.2675 STT on purchase of index futures – NIL (0% of 5080) (0.025% of 5070) STT on purchase of stocks – 0.025% 4.Gain on Surplus Funds (Assumed 6% returns on 18.74 75% of the money left after paying margin of 25% (6%*(100% of 5070 – 25% of NIL 5080)*30/365) Spot Market Price at the expiry of October 5569 5569 Contract 5.Brokerage Cost on Sale @ 0.02% for Index 1.114 1.671 Future and 0.03% for Cash Markets (0.02% of 5569) (0.03% of 5569) 6.Securities Transaction Tax STT on sale of index 1.114 1.392 future – 0.025% (0.025% of 5569) (0.025% of 5569) STT on sale of stocks – 0.025% Total Cost -5.50 5.85 (1+2+3-4+5+6) Please note that the above example is based on assumptions and is used only for illustrative purposes (including an assumption that there will be a gain pursuant to investment in index futures). As can be seen in the above example, the costs associated with the trade in futures are less than that associated with the trade in actual stock. Thus, in the above example the futures trade seems to be more profitable than the trade in actual stock. However, buying of the index future may not be beneficial as compared to buying stocks if the execution and brokerage costs on purchase of index futures are high and the return on surplus funds are low. The actual returns may vary based on actuals and depends on final guidelines / procedures and trading mechanism as envisaged by stock exchanges and other regulatory authorities. • Options Page 34 of 67 Scheme Information Document - Mirae Asset Nifty 500 Healthcare ETFAn option is a contract which provides the buyer of the option (also called the holder) the right, without the obligation, to buy or sell a specified asset at an agreed price on or upto a particular date. For acquiring this right, the buyer has to pay a premium to the seller. The seller on the other hand has the obligation to buy or sell that specified asset at the agreed price. The premium is determined considering number of factors such as the underlying asset's market price, the number of days to expiration, strike price of the option, the volatility of the underlying asset and the risk less rate of return. The strike price, the expiration date and the market lots are specified by the exchanges. An option contract may be of two kinds, viz., a call option or a put option. An option that provides the buyer the right to buy is a call option. The buyer of the call option (known as the holder of the option) can call upon the seller of the option (known as writer of the option) and buy from him the underlying asset at the agreed price at any time on or before the expiry date of the option. The seller of the option has to fulfill the obligation on exercise of the option. The right to sell is called a put option. Here, the buyer of the option can exercise his right to sell the underlying asset to the seller of the option at the agreed price. Options are of two types: European and American. In a European option, the holder of the option can only exercise his right on the date of expiration. In an American option, he can exercise this right anytime between the purchase date and the expiration date. Example of options Buying a Call option: Assume that the Scheme buys a call option at the strike price of Rs. 5,000 and pays a premium of Rs. 100. If the market price of the underlying stock on the date of expiry of the option is Rs. 5,400 (i.e. more than Rs. 5,000 which is the strike price of an option), the Scheme will exercise the option. However, it may not result into profit. The profit is made only in those circumstances when the intrinsic value (5400 (spot price)- 5000(strike price)) is greater than cost paid i.e. option premium (100). If on the date of the expiry of the option, the market price of the underlying stock is Rs. 4,900, the Scheme will not exercise the option and it shall lose the premium of Rs. 100. Thus, in the above example, the loss for the Scheme, as the buyer of the option, is limited to the premium paid by him while the gains are unlimited. Writing a Call Option: Assume that the Scheme writes a call option at the strike price of Rs. 5,000 and earns a premium of Rs. 100. If the market price of the underlying stock on the date of expiry increases to Rs. 5,400 (i.e. more than Rs. 5,000) then the option is exercised. The Scheme earns the premium of Rs. 100/- but loses the difference between the market price and the exercise price i.e. Rs. 400/-. In case the market price of the underlying stock decreases to Rs. 4,900, the Scheme gets to keep the premium of Rs.100. Buying a Put Option: Assume that the Scheme buys a put option at the strike price of Rs. 5,000 and pays a premium of Rs. 100. If the market price of the underlying stock decreases to Rs. 4,850 (i.e. less than strike price of 5000) the Scheme would be protected from the downside and would exercise the put option. However, it may not result into profit. The profit is resulted only when the intrinsic value (5000 (strike price)– 4850(spot price)) is greater than the cost paid i.e. option premium of 100. Whereas if the stock price moves up to say Rs. 5,150 the Scheme may let the option expire and forego the premium. Writing a Put Option: Assume that the Scheme writes a put option at the strike price of Rs. 5,000 and earns a premium of Rs. 100. If the market value of the underlying stock decreases to Rs. 4,850, the put option will be exercised and the Scheme will earn the premium of Rs. 100 but looses the difference between the exercise price and the market price which is Rs. 150. However if the market price of the underlying stock is Rs. 5,150, the option- holder will not exercise the option. As a result of which the option will expire and the Scheme will earn the premium income of Rs. 100. Page 35 of 67 Scheme Information Document - Mirae Asset Nifty 500 Healthcare ETFA forward contract is a transaction in which the buyer and the seller agree upon the delivery of a specified quality (if commodity) and quantity of underlying asset at a predetermined rate on a specified future date. Please note that the above examples are based on assumptions and are used only for illustrative purposes. Risks associated with investment strategy which may be followed by the fund managers for investment in derivatives: Execution of investment strategies depends upon the ability of the fund manager to identify such opportunities which may not be available at all times. Identification and execution of the strategies to be pursued by the fund manager involve uncertainty and decision of fund manager may not always be profitable. The Scheme may face execution risk, whereby the rates seen on the screen may not be the rate at which the ultimate execution of the derivative transaction takes place. INTRODUCTION TO EXCHANGE TRADED FUNDS Exchange Traded Fund (ETF) ETFs are innovative products that provide exposure to an index or a basket of securities or physical gold that trade on the exchange like a single stock. ETFs have a number of advantages over traditional open-ended Index Funds as they can be bought and sold on the exchange at prices that are usually close to the actual intra-day NAV of the Scheme. ETFs are an innovation to traditional mutual funds as ETFs provide Investors a fund that closely tracks the performance of an index / physical gold with the ability to buy/sell on an intra-day basis. Unlike listed close ended funds, which trade at substantial premiums or more frequently at discounts to NAV, ETFs are structured in a manner which allows to create new Units and Redeem outstanding Units directly with the fund, thereby ensuring that ETFs trade close to their actual NAVs. ETFs are usually passively managed funds wherein subscription /redemption of units work on the concept of exchange with underlying securities. In other words, Large Investors/institutions can Purchase Units by depositing the underlying Securities with the Fund/AMC and can Redeem by receiving the underlying shares in exchange of Units. Units can also be bought and sold directly on the exchange. ETFs have all the benefits of indexing such as diversification, low cost and transparency. As ETFs are listed on the exchange, costs of distribution are much lower and the reach is wider. These savings in cost are passed on to the Investors in the form of lower costs. Furthermore, exchange traded mechanism helps reduce minimal collection, disbursement and other processing charges. The structure of ETFs is such that it protects long-term Investors from inflows and outflows of short-term Investor. This is because the Fund does not bear extra transaction cost when buying/selling due to frequent Subscriptions and Redemptions. Tracking Error of ETFs is likely to be low as compared to a normal Index Fund. Due to the creation/redemption of units through the in-kind mechanism the fund can keep lesser funds in cash. Also, time lag between buying/selling units and the underlying shares is much lower. ETFs are highly flexible and can be used as a tool for gaining instant exposure to the equity markets, equitizing cash or for arbitraging between the cash and futures market. Benefits of ETFs 1. Can be easily bought / sold like any other stock on the exchange through terminals spread across the country. 2. Can be bought/sold anytime during market hours at prices that are expected to be close to actual NAV of the schemes. Thus, investor invests at real-time prices as opposed to end of day prices. Page 36 of 67 Scheme Information Document - Mirae Asset Nifty 500 Healthcare ETF3. No separate form filling for buying / selling units. It is just a phone call to your broker or a click on the net. 4. Ability to put limit orders. 5. Minimum investment for an ETF is one unit. 6. Protects long-term investors from the inflows and outflows of short-term investors. 7. Flexible as it can be used as a tool for gaining instant exposure to the respective equity/gold markets, equitizing cash, hedging or for arbitraging between the cash and futures market. 8. Helps in increasing liquidity of underlying cash market. 9. Aids low cost arbitrage between futures and cash market. 10. An investor can get a consolidated view of his investments without adding too many different account statements as the Units issued would be in demat form. Uses of ETFs 1. Investors with a long-term horizon 2. Allows diversification of portfolio at one shot thereby reducing scrip specific risk at a low cost. Gold ETFs reduce risk of holding physical gold. 3. FIIs, Institutions and Mutual Funds 4. Allows easy asset allocation, hedging and equitizing cash at a low cost. 5. Arbitrageurs 6. Low impact cost to carry out arbitrage between the cash and the futures market. 7. Investors with a shorter-term horizon 8. Allows liquidity due to ability to trade during the day and expected to have quotes near NAV during the course of trading day. Risks of ETFs 1. Absence of Prior Active Market: Although the units of ETFs are listed on the Exchange for trading, there can be no assurance that an active secondary market will develop or be maintained. 2. Lack of Market Liquidity: Trading in units of ETFs on the Exchange on which it is listed may be halted because of market conditions or for reasons that, in the view of the concerned stock exchange or market regulator, trading in the ETF units is inadvisable. In addition, trading in the units of ETFs is subject to trading halts caused by extraordinary market volatility pursuant to ‘circuit filter’ rules. There can be no assurance that the requirements of the concerned stock exchange necessary to maintain the listing of the units of ETFs will continue to be met or will remain unchanged. 3. Units of Exchange Traded Funds May Trade at prices Other than NAV: Units of ETFs may trade above or below their NAV. The NAV of units of ETFs may fluctuate with changes in the market value of a Scheme’s holdings. The trading prices of units of ETF will fluctuate in accordance with changes in their NAVs as well as market supply and demand. However, given that ETFs can be created / redeemed in creation units, directly with the fund, large discounts or premiums to the NAVs will not sustain due to arbitrage possibility available. Comparison of ETFs v/s Open Ended Funds v/s Close Ended Funds: Open Ended Closed Ended Fund Exchange Traded Fund Fund Fund Size Flexible Fixed Flexible NAV Daily Daily Real time (indicative NAV) Liquidity Fund itself Stock Market Stock Market / Fund itself provider Page 37 of 67 Scheme Information Document - Mirae Asset Nifty 500 Healthcare ETFSale price At NAV plus Significant premium / Very close to actual NAV of Load, if any discount to NAV Scheme Availability Fund itself Through Exchange where Through Exchange where listed listed / Fund itself. portfolio Disclosed Disclosed monthly Daily disclosure monthly Intra-day Not possible Expensive Possible at low cost trading An illustration of the working of ETF is given below: Seller ETF Units Cash C Buy/ Sell Market Makers/ Large a Investors National Stock Exchange s Market Making/ h Arbitrage Subscription / Cash ETF Units a Redemption in kind (in C Cs Creation Unit Size) a ah b s s B Mirae Asset Mutual Fund h h u a a y s s / h h S Procedure for creation of Nifty 500 Healthcare ETF units in Creation Unit size: B Be u ul The Fund/AMC allows cash/exchange of Portfolio Deposit for Purchase of Units of the Sc yheme in Creation Unit yl size by Large Investors/Market Makers. / / C The Fund/AMC allows cash/exchange of Portfolio Deposit for Purchase of Units of the ScSheme in Creation Unit Sa size by Large Investors/Market Makers. e es l l h • Creation of Units in exchange of Portfolio Deposit: l Cash l C C a a The requisite Securities constituting the Portfolio Deposit have to be transferred to the Scheme’s Depository s s Participant account while the Cash Component has to be paid to the Custodian/AMC. On confirmation of the h h same by the Custodian/AMC, the AMC will create and transfer the eqCuaisvha lent number of UniCtsa sohf the Scheme into the Investor’s Depository Participant account and pay/ recover the Cash Component an d transaction handling charges, if any. • Creation of Units in Cash: Subscription of Nifty 500 Healthcare ETF Units in Creation Unit Size will be made by payment of requisite amount, as determined by the AMC equivalent to the cost incurred towards the purchase of predefined basket of securities that represent the underlying index (i.e. portfolio deposit), Cash Component and transaction handling charges, if any, only by means of payment instruction of Real Time Gross Settlement (RTGS) / National Electronic Funds Transfer (NEFT) or Funds Transfer Letter / Transfer Cheque of a bank where the Scheme has a collection account. • The Creation Unit will be subject to transaction handling charges incurred by the Fund/AMC. Such transaction handling charges shall be recoverable from the transacting Authorized Participant or Large Investor. Page 38 of 67 Scheme Information Document - Mirae Asset Nifty 500 Healthcare ETF• The Portfolio Deposit and/or Cash Component for units of the Scheme may change from time to time due to changes in the Underlying Index on account of corporate actions and changes to the index constituents. • The investors are requested to note that the Units of the Scheme will be credited into the Investor’s Depository Participant account only on receipt of Cash Component and transaction handling charges, if any. ‘Creation Unit size’ is fixed number of units of the Scheme, which is exchanged for a basket of securities underlying the designated index called the Portfolio Deposit and a Cash Component equal to the value of 150,000 Units of the Scheme and/or subscribed in cash equal to the value of said predefined units of the Scheme. Each Creation Unit size consists of 30,000 Units of Nifty 500 Healthcare ETF. Each unit of Nifty 500 Healthcare will be approximately equal to the 1/100th value of the Nifty 500 Healthcare Index. ‘Portfolio Deposit’ consists of pre- defined basket of securities that represent the underlying index as announced by AMC from time to time.’ Procedure for Redemption in Creation Unit size The requisite number of Units of the Scheme equivalent to the Creation Unit has to be transferred to the Fund’s Depository Participant account and the Cash Component to be paid to the AMC/Custodian. • On confirmation of the same by the AMC, the AMC will transfer the Portfolio Deposit to the Investor’s Depository Participant account and pay/recover the Cash Component and transaction handling charges, if any. • The Fund allows cash Redemption of the Units of the Scheme in Creation Unit size by Large Investors/Authorized Participant. • Such Investors shall make Redemption request to the Fund/AMC whereupon the Fund/AMC will arrange to sell underlying portfolio Securities on behalf of the Investor. Accordingly, the sale proceeds of portfolio Securities, after adjusting the Cash Component and transaction handling charges will be remitted to the Investor. • Redemption proceeds will be sent to Market Makers/Large Investors within 3 Business Days of the date of redemption subject to confirmation with the depository records of the Scheme’s DP account. Note: 1. The Creation Unit size may be changed by the AMC at their discretion and the notice of the same shall be published on AMC’s website. 2. Transaction handling charges include brokerage, Securities transaction tax, regulatory charges if any, depository participant charges, uploading charges and such other charges that the mutual fund may have to incur in the course of cash subscription/redemption or accepting the Portfolio Deposit or for giving a portfolio of securities as consideration for a redemption request. Such transaction handling charges shall be recoverable from the transacting Authorized Participant or Large Investor. 3. The Portfolio Deposit and / or Cash Component for Nifty 500 Healthcare ETF may change from time to time due to change in NAV and due to any other market factors. 4. The Fund may from time to time change the size of the Creation Unit in order to equate it with marketable lots of the underlying securities. Procedure for Creation of Units along with example for creation and redemption of units in the ETF Each Creation Unit consists of 25,000 units XYZ ETF tracking XYZ Index. The Creation Unit is made up of 2 components i.e. Portfolio Deposit and Cash Component. The Portfolio Deposit will be determined by the Fund as per the weights of each security in the Underlying Index. The value of this Portfolio Deposit will change due to change in prices during the day. The number of shares of each security that constitute the Portfolio Deposit will Page 39 of 67 Scheme Information Document - Mirae Asset Nifty 500 Healthcare ETFremain constant unless there is any corporate action in the Underlying Index or there is a rebalance in the Underlying Index or the fund manager re-align the weights of the securities to reduce the tracking error. The example of Creation Unit is given below for an hypothetical XYZ Index: SECURITY Index Weight Quantity Price Value Reliance Industries Ltd 15.67 384 1,704.10 654,374.40 HDFC Bank Ltd 13.41 523 1,065.85 557,439.55 Housing Development Finance Corporation 8.80 210 1,754.65 368,476.50 Ltd Infosys Ltd 7.82 448 735.95 329,705.60 ICICI Bank Ltd 6.61 773 351.45 271,670.85 Tata Consultancy Services Ltd 6.35 127 2,082.15 264,433.05 Kotak Mahindra Bank Ltd 5.78 169 1,360.45 229,916.05 Hindustan Unilever Ltd 5.65 102 2,180.00 222,360.00 ITC Ltd 4.94 1,007 194.65 196,012.55 Bharti Airtel Ltd 3.90 285 559.85 159,557.25 Larsen & Toubro Ltd 3.35 149 943.65 140,603.85 Axis Bank Ltd 2.67 277 406.65 112,642.05 Asian Paints Ltd 2.25 56 1,687.45 94,497.20 Maruti Suzuki India Ltd 2.20 16 5,838.30 93,412.80 Bajaj Finance Ltd 2.18 31 2,831.00 87,761.00 State Bank of India 1.99 464 178.45 82,800.80 HCL Technologies Ltd 1.78 133 556.85 74,061.05 Nestle India Ltd 1.75 4 17,174.4 68,697.80 5 Sun Pharmaceutical Industries Limited 1.49 129 472.95 61,010.55 Mahindra & Mahindra Ltd 1.42 117 510.70 59,751.90 Total Value of Portfolio Deposit 100 4,129,184.80 Value of Portfolio Deposit 4,129,184.80 Value of Cash Component 20,815.20 Total Value of Creation Unit 4,150,000.00 Cash component arrived in the following manner: Value of portfolio deposit (A) 4,129,184.80 NAV as on 30 June 2020 166.0000 Creation Unit 25,000.00 Value of creation unit (B) 4,150,000.00 CASH COMPONENT (C = B-A) 20,815.20 *The above is just an example to illustrate the calculation of cash component. Cash Component (other charges) will vary depending upon the actual charges incurred like Custodial Charges, stamp duty and other incidental charges for creating units. B. What are the investment restrictions? The following investment limitations and other restrictions, inter alia, as contained in the Trust Deed and the Regulations apply to the Scheme: Page 40 of 67 Scheme Information Document - Mirae Asset Nifty 500 Healthcare ETF• No mutual fund under all its schemes should own more than ten per cent of any company’s paid up capital carrying voting rights or ten per cent of units of REITs issued by a single issuer, as the case may be. • The scheme shall not invest more than 10 per cent of its NAV in the equity shares or equity related instruments of any entity. Provided that, the limit of 10 per cent shall not be applicable for investments in case of index fund or exchange traded fund or sector or industry specific scheme. • A mutual fund scheme shall not invest more than 10% of its NAV in debt instruments comprising money market instruments and non-money market instruments issued by a single issuer which are rated not below investment grade by a credit rating agency authorized to carry out such activity under the Act. Such investment limit may be extended to 12% of the NAV of the scheme with the prior approval of the Board of Trustees and the Board of directors of the asset management company. Provided that such limit shall not be applicable for investments in Government Securities, treasury bills and TREPS. Provided further that investment within such limit can be made in mortgaged backed securitised debts which are rated not below investment grade by a credit rating agency registered with the SEBI. Further, in accordance with Clause 12.8 of SEBI Master dated June 27, 2024, the Scheme shall not invest more than: a) 10% of its NAV in debt and money market securities rated AAA; or b) 8% of its NAV in debt and money market securities rated AA; or c) 6% of its NAV in debt and money market securities rated A and below issued by a single Issuer. The above investment limits may be extended by up to 2% of the NAV of the scheme with prior approval of the Board of Trustees and Board of Directors of the AMC, subject to compliance with the overall 12% limit specified above. Considering the nature of the scheme, investments in such instruments will be permitted upto 5% of its NAV. • Debentures, irrespective of any residual maturity period (above or below one year), shall attract the investment restrictions as applicable for debt instruments. • The Scheme may invest in another scheme under the same asset management company or any other mutual fund without charging any fees, provided that aggregate inter-scheme investment made by all schemes under the management or in schemes under the management of any other asset management company shall not exceed 5% of the NAV of the mutual fund. • Pending deployment of funds of a scheme in securities in terms of investment objectives of the scheme a mutual fund can invest the funds of the scheme in short term deposits of scheduled commercial banks. The investment in these deposits shall be in accordance with Clause 12.16.1.8 of SEBI Master Circular dated June 27, 2024. • The mutual fund shall not borrow except to meet temporary liquidity needs of the mutual funds for the purpose of repurchase, redemption of units or payment of interest or dividend to the unitholders. Provided that the mutual fund shall not borrow more than 20 per cent of the net asset of the scheme and the duration of such a borrowing shall not exceed a period of six months. • Investment in unrated debt and money market instruments, other than government securities, treasury bills, derivative products such as Interest Rate Swaps (IRS), Interest Rate Futures (IRF), etc. by the Scheme shall Page 41 of 67 Scheme Information Document - Mirae Asset Nifty 500 Healthcare ETFnot exceed 5% of the net assets of the Scheme. However, all such investments shall be made with the prior approval of the Board of AMC and Trustees. • The Scheme shall not invest in unlisted debt instruments including commercial papers (CPs), other than (a) government securities, (b) other money market instruments and (c) derivative products such as Interest Rate Swaps (IRS), Interest Rate Futures (IRF), etc. However, the scheme may invest in unlisted Non-Convertible debentures (NCDs) not exceeding 10% of the debt portfolio of the scheme subject to the condition that such unlisted NCDs have a simple structure (i.e. with fixed and uniform coupon, fixed maturity period, without any options, fully paid up upfront, without any credit enhancements or structured obligations) and are rated and secured with coupon payment frequency on monthly basis. • Inter scheme transfers of investments from one scheme to another scheme in the same Mutual Fund shall be SO-30 allowed only if such transfers are done at the prevailing market price for quoted instruments on spot basis. Explanation - “Spot basis” shall have same meaning as specified by stock exchange for spot transactions. The securities so transferred shall be in conformity with the investment objective of the scheme to which such transfer has been made. Pursuant to Clause 12.30 of SEBI Master Circular dated June 27, 2024, ISTs may be allowed in the following scenarios: i. for meeting liquidity requirement in a scheme in case of unanticipated redemption pressure ii. for Duration/ Issuer/ Sector/ Group rebalancing No IST of a security shall be done, if there is negative news or rumours in the mainstream media or an alert is generated about the security, based on internal credit risk assessment. The Scheme shall comply with the guidelines for inter-scheme transfers as specified under clause 12.30 of SEBI Master Circular dated June 27, 2024. • The Mutual Fund shall buy and sell securities on the basis of deliveries and shall in all cases of purchases, take delivery of relevant securities and in all cases of sale, deliver the securities. The scheme may engage in Securities lending and the borrowing which shall be within the framework specified by SEBI. • The Scheme shall get the securities purchased or transferred in the name of the mutual fund on account of the concerned scheme, wherever investments are intended to be of long-term nature. • The Scheme shall not make any investment in: a) Any unlisted security of an associate or group company of the Sponsor; or b) Any security issued by way of private placement by an associate or group company of the sponsor; or c) The listed securities of group companies of the Sponsor which is in excess of 25% of the net assets. • The scheme shall not make any investment in any fund of funds scheme. • All investments by a mutual fund scheme in equity shares and equity related instruments shall only be made provided such securities are listed or to be listed. • The Mutual Fund having an aggregate of securities which are worth Rs.10 crores or more, as on the latest balance sheet date, shall subject to such instructions as may be issued from time to time by SEBI, settle their transactions entered on or after January 15, 1998 only through dematerialized securities. Further, all transactions in government securities shall be in dematerialized form. • As per clause 12.16 of SEBI Master Circular dated June 27, 2024 on investments in Short Term Deposits (STDs) of Scheduled Commercial Banks: Page 42 of 67 Scheme Information Document - Mirae Asset Nifty 500 Healthcare ETFi. Total investment of the Scheme in Short term deposit(s) of all the Scheduled Commercial Banks put together shall not exceed 15% of the net assets. However, this limit can be raised upto 20% of the net assets with prior approval of the trustees. Further, investments in Short Term Deposits of associate and sponsor scheduled commercial banks together shall not exceed 20% of total deployment by the Mutual Fund in short term deposits. ii. “Short Term” for parking of funds by Mutual Funds shall be treated as a period not exceeding 91 days iii. The Scheme shall not invest more than 10% of the net assets in short term deposit(s), of any one scheduled commercial bank including its subsidiaries. iv. The Scheme shall not invest in short term deposit of a bank which has invested in that Scheme. AMC shall also ensure that the bank in which a scheme has Short term deposit do not invest in the said scheme until the scheme has Short term deposit with such bank. The above conditions are not applicable to term deposits placed as margins for trading in cash and derivative market. v. Asset Management Company (AMC) shall not be permitted to charge any investment management and advisory fees for parking of funds in short term deposits of scheduled commercial banks. vi. The investments in short term deposits of scheduled commercial banks will be reported to the Trustees along with the reasons for the investment which, inter-alia, would include comparison with the interest rates offered by other scheduled commercial banks. Further, AMC shall ensure that the reasons for such investments are recorded in the manner prescribed in clause 12.23 of SEBI Master Circular dated June 27, 2024. • The Scheme will not invest in debt instruments with special features. • No loans for any purpose can be advanced by the Scheme. • In accordance with clause 12.16.1.9 SEBI Master Circular dated June 27, 2024, the aforesaid limits shall not be applicable to term deposits placed as margins for trading in cash and derivatives market. • Pursuant to Clause 3.4 of SEBI Master Circular dated June 27, 2024, the underlying index shall comply with the below restrictions: a) The index shall have a minimum of 10 stocks as its constituents. b) For a sectoral/ thematic Index, no single stock shall have more than 35% weight in the index. For other than sectoral/ thematic indices, no single stock shall have more than 25% weight in the index. c) The weightage of the top three constituents of the index, cumulatively shall not be more than 65% of the Index. d) The individual constituent of the index shall have a trading frequency greater than or equal to 80% and an average impact cost of 1% or less over previous six months. • The Scheme will comply with SEBI regulations and any other regulations applicable to the investments of Funds from time to time. The Trustee may alter the above restrictions from time to time to the extent that changes in the regulations may allow. All investment restrictions shall be applicable at the time of making investment Page 43 of 67 Scheme Information Document - Mirae Asset Nifty 500 Healthcare ETFInvestments Limitations and Restrictions in Derivatives In accordance with clause 12.25 of SEBI Master Circular dated June 27, 2024, the following investment restrictions shall apply with respect to investment in Derivatives: Sr. Particulars No. 1 The cumulative gross exposure through equity, debt and derivative positions will not exceed 100% of the net assets of the scheme. However, cash or cash equivalents with residual maturity of less than 91 days shall be treated as not creating any exposure. 2 The Scheme shall not write options or purchase instruments with embedded written options. 3 The total exposure related to option premium paid shall not exceed 20% of the net assets of the scheme. 4 Exposure due to hedging positions may not be included in the above-mentioned limits subject to the following: a. Hedging positions are the derivative positions that reduce possible losses on an existing position in securities and till the existing position remains. b. Hedging positions shall not be taken for existing derivative positions. Exposure due to such positions shall be added and treated under gross cumulative exposure limits mentioned under Point 1. c. Any derivative instrument used to hedge shall have the same underlying security as the existing position being hedged. d. The quantity of underlying associated with the derivative position taken for hedging purposes shall not exceed the quantity of the existing position against which hedge has been taken. 5 • The scheme may enter into plain vanilla Interest Rate Swaps (IRS) for hedging purposes. The value of the notional principal in such cases shall not exceed the value of respective existing assets being hedged by the scheme. • In case of participation in IRS is through over the counter transactions, the counter party shall be an entity recognized as a Market Maker by RBI and exposure to a single counterparty in such transactions shall not exceed 10% of the net assets of the scheme. However, if mutual funds are transacting in IRS through an electronic trading platform offered by the Clearing Corporation of India Ltd. (CCIL) and CCIL is the central counterparty for such transactions guaranteeing settlement, the single counterparty limit of 10% shall not be applicable. 6 Exposure due to derivative positions taken for hedging purposes in excess of the underlying position against which the hedging position has been taken, shall be treated under gross cumulative exposure limits mentioned under Point 1. 7 Each position taken in derivatives shall have an associated exposure as defined below. Exposure is the maximum possible loss that may occur on a position. However, certain derivative positions may theoretically have unlimited possible loss. Exposure in derivative positions shall be computed as follows: Position Exposure Long Future Futures Price * Lot Size * Number of Contracts Short Future Futures Price * Lot Size * Number of Contracts Option bought Option Premium Paid * Lot Size * Number of Contracts 8 Derivatives transac tions shall be disclosed in the half-yearly portfolio / annual report of the schemes in line with requirements under SEBI Regulations. In accordance with clause 7.5 of SEBI Master Circular dated June 27, 2024, the following conditions shall apply to the Scheme’s participation in the derivatives market. Please note that the investment restrictions applicable to the Scheme’s participation in the derivatives market will be as prescribed or varied by SEBI or by the Trustees (subject to SEBI requirements) from time to time. Position limit for the Fund in index options contracts Page 44 of 67 Scheme Information Document - Mirae Asset Nifty 500 Healthcare ETF• The Fund’s position limit in all index options contracts on a particular underlying index shall be Rs.500 Crores or 15% of the total open interest of the market in index options, whichever is higher, per Stock Exchange. • This limit would be applicable on open positions in all options contracts on a particular underlying index. Position limit for the Fund in index futures contracts • The Fund’s position limit in all index futures contracts on a particular underlying index shall be Rs.500 Crores or 15% of the total open interest of the market in index futures, whichever is higher, per Stock Exchange. • This limit would be applicable on open positions in all futures contracts on a particular underlying index. Additional position limit in index derivatives for hedging for the Fund In addition to the position limits above, the Fund may take exposure in equity index derivatives subject to the following limits: • Short positions in index derivatives (short futures, short calls and long puts) shall not exceed (in notional value) the Fund’s holding of stocks. • Long positions in index derivatives (long futures, long calls and short puts) shall not exceed (in notional value) the Fund’s holding of cash, government securities, T-Bills and similar instruments. Position limit for the Fund for stock based derivative contracts The combined futures and options position limit shall be 20% of the applicable Market Wide Position Limit (MWPL). Position limit for the Scheme The position limit/disclosure requirements for the Scheme shall be as follows: • For stock option and stock futures contracts, the gross open position across all derivative contracts on a particular underlying stock of the Scheme shall not exceed the higher of: 1% of the free float market capitalization (in terms of number of shares) OR 5% of the open interest in the derivative contracts on a particular underlying stock (in terms of number of contracts (Shares)). • For index based contracts, the Fund shall disclose the total open interest held by its scheme or all schemes put together in a particular underlying index, if such open interest equals to or exceeds 15% of the open interest of all derivative contracts on that underlying index. • This position limits shall be applicable on the combined position in all derivative contracts on an underlying stock at a stock exchange. The Trustee may alter the above restrictions from time to time to the extent that changes in the Regulations may allow and as deemed fit in the general interest of the Unit Holders. Apart from the investment restrictions prescribed under SEBI (MF) Regulations, the Fund does not follow any SO-19 internal norms vis-a-vis limiting exposure to a particular scrip or sector etc. C. Fundamental Attributes SO-59 Following are the Fundamental Attributes of the scheme, in terms of Clause 1.14 of SEBI Master Circular for Mutual Funds dated June 27, 2024: (i) Type of scheme An open-ended scheme replicating/tracking Nifty 500 Healthcare Total Return Index Open ended – Exchange Traded Fund Page 45 of 67 Scheme Information Document - Mirae Asset Nifty 500 Healthcare ETF(ii) Investment Objective The investment objective of the scheme is to generate returns, before expenses, that are commensurate with the performance of the Nifty 500 Healthcare Index, subject to tracking error. There is no assurance that the investment objective of the scheme will be achieved. • Main Objective - Growth • Investment pattern Asset allocation: Indicative allocation T ypes of Instruments (% of total assets) Minimum Maximum Securities included in the Nifty 500 Healthcare Index 95 100 Money market instruments including Tri Party REPO/ debt securities, 0 5 Instruments and/or units of debt/liquid schemes of domestic Mutual Funds. In the event of the asset allocation falling outside the limits specified in the asset allocation table, the Fund Manager will rebalance the same within 7 days. However, at all times the portfolio will adhere to the overall investment objectives of the Scheme. Any alteration in the investment pattern will be for short-term defensive consideration as per Clause 1.14.1.2 of SEBI Master Circular dated June 27, 2024, the intention being at all times to protect the interests of the Unit Holders. (iii) Terms of Issue • Listing: The Units of the Scheme will be listed on the Capital Market Segment of the NSE and BSE. The AMC engages Market Makers for creating liquidity for the Units of the Scheme on the Stock Exchange(s) so that investors other than Market Makers and Large Investors are able to buy or redeem Units on the Stock Exchange(s) using the services of a stock broker. The Mutual Fund may at its sole discretion list the Units of the Scheme on any other recognized Stock Exchange(s) at a later date. The AMC/Trustee reserves the right to delist the Units of the Scheme from a particular stock exchange provided the Units are listed on at least one stock exchange. An investor can buy/sell Units on a continuous basis on the NSE and BSE on which the Units are listed during the trading hours like any other publicly traded stock at prices which may be close to the NAV of the Scheme. The price of the Units in the market will depend on demand and supply at that point of time. There is no minimum investment, although Units are purchased in round lots of 1. Page 46 of 67 Scheme Information Document - Mirae Asset Nifty 500 Healthcare ETFRedemption: The Unit Holder has the option to request for Redemption either in amount in rupees or in number of Units. The minimum redemption amount shall be ‘any amount’ or ‘any number of units’ as requested by the investor at the time of redemption request. Redemption Price: The Redemption Price of the Units is the price at which a Unit Holder can redeem Units of a scheme. It will be calculated as described below: Redemption Price = Applicable NAV - (Applicable NAV x Exit Load*) * Exit Load, whatever is applicable, will be charged. Redemption Price will be calculated for up to four decimal places for the Scheme. For example, if the Applicable NAV of a Scheme is Rs.10.5550, and it has a 2% Exit Load, the Redemption Price will be calculated as follows: Redemption Price = 10.5550 - (10.5550 X 2.00%) i.e. 10.4550 - 0.2110 = 10.3440 If the Scheme has no Exit Load, the Redemption Price will be equal to the Applicable NAV. The Securities Transaction Tax levied under the Income Tax Act, 1961, at the applicable rate on the amount of redemption will be reduced from the amount of redemption. To illustrate: If a Redemption of 4,900 units is sought by the Unit Holder at a Redemption Price of Rs. 10.3440 (as calculated above), the redemption amount is Rs. 50,685.60. Securities Transaction Tax (STT) for instance is 0.001%. This will be further reduced by the STT of Re. 0.50 (i.e. Rs. 50,685.60 x 0.001%), making the net redemption amount Rs. 50,685.10. If a Redemption of Rs. 10,000 is sought by the Unit Holder at a Net Redemption Price of Rs. 10.3440 (as calculated above), which will give 966.744 Units; the effective redemption amount will be grossed up to Rs. 10,204.08 (i.e. 10,000 ÷ (1-2%)) and 966.744 units (10,204.08 ÷ 10.555) will be redeemed. This is to ensure that the Unit Holder receives the net amount of Rs. 10,000 as desired. Investors may note that the Trustee has a right to modify the existing Load structure in any manner subject to a maximum as prescribed under the Regulations and with prospective effect only. Please refer section – LOAD STRUCTURE. Applicable NAV for Redemption / Switch-Out / Systematic Transfer Plan: In respect of valid Redemption applications accepted at a Designated Collection Centre up to 3 p.m. on a Business Day, the NAV of such day will be applicable. In respect of valid Redemption applications accepted at a Designated Collection Centre after 3 p.m. on a Business Day, the NAV of the next Business Day will be applicable. • Aggregate fees and expenses charged to the scheme For detailed fees and expenses charged to the scheme please refer to section- I Part - III ‘C – Annual Scheme Recurring Expenses’. Page 47 of 67 Scheme Information Document - Mirae Asset Nifty 500 Healthcare ETF• Any safety net or guarantee provided There is no assurance OR guarantee of returns. In accordance with Regulation 18(15A) of the SEBI (MF) Regulations and Clause 1.14.1.4 of SEBI Master Circular for Mutual Funds dated June 27, 2024, the Trustees shall ensure that no change in the fundamental attributes of the Scheme(s) and the Plan(s) / Option(s) thereunder or the trust or fee and expenses payable or any other change which would modify the Scheme(s) and the Plan(s) / Option(s) thereunder and affect the interests of Unitholders is carried out unless: • SEBI has reviewed and provided its comments on the proposal • A written communication about the proposed change is sent to each Unitholder and an advertisement is given in one English daily newspaper having nationwide circulation as well as in a newspaper published in the language of the region where the Head Office of the Mutual Fund is situated; and • The Unitholders are given an option for a period of atleast 30 calendar days to exit at the prevailing Net Asset Value without any exit load. D. Index methodology Eligibility Criteria for Selection of Constituent Stocks: • Companies should form a part of Nifty 500 at the time of reconstitution. • Companies should form a part of the Healthcare (Macro-economic) sector. • Final selection of 20 companies shall be done based on the free-float market capitalization of the companies. • Weightage of each stock in the index is be calculated based on its free-float market capitalization such that no single stock shall be more than 33% and weightage of top 3 stocks cumulatively shall not be more than 62% at the time of rebalancing. Index Re-Balancing: Index is re-balanced on semi-annual basis. The cut-off date is January 31 and July 31 of each year, i.e. For semi-annual review of indices, average data for six months ending the cut-off date is considered. Four weeks prior notice is given to market from the date of change. Index Governance: A professional team manages all NSE indices. There is a three-tier governance structure comprising the Board of Directors of NSE Indices Limited, the Index Advisory Committee (Equity) and the Index Maintenance Sub-Committee. The weightage of the constituents of Nifty 500 Healthcare Index along with impact cost as on November 30, 2025: Sr SECURITY_NAME WEIGHTAGE Impact Cost No. 1 SUN PHARMACEUTICAL INDUSTRIES LTD. 10.96% 0.02 2 CIPLA LTD. 7.13% 0.02 3 MAX HEALTHCARE INSTITUTE LTD. 6.97% 0.03 4 DIVI'S LABORATORIES LTD. 6.79% 0.03 5 DR. REDDY'S LABORATORIES LTD. 6.39% 0.02 6 APOLLO HOSPITALS ENTERPRISE LTD. 6.13% 0.01 7 LUPIN LTD. 4.19% 0.03 8 FORTIS HEALTHCARE LTD. 3.93% 0.04 Page 48 of 67 Scheme Information Document - Mirae Asset Nifty 500 Healthcare ETF9 LAURUS LABS LTD. 3.33% 0.04 10 TORRENT PHARMACEUTICALS LTD. 3.25% 0.03 11 AUROBINDO PHARMA LTD. 2.83% 0.03 12 ALKEM LABORATORIES LTD. 2.63% 0.04 13 GLENMARK PHARMACEUTICALS LTD. 2.43% 0.04 14 MANKIND PHARMA LTD. 2.10% 0.04 15 BIOCON LTD. 1.97% 0.04 16 ZYDUS LIFESCIENCES LTD. 1.95% 0.03 17 IPCA LABORATORIES LTD. 1.64% 0.06 KRISHNA INSTITUTE OF MEDICAL SCIENCES 18 1.42% 0.05 LTD. 19 ABBOTT INDIA LTD. 1.30% 0.06 20 ASTER DM HEALTHCARE LTD. 1.26% 0.05 21 J.B. CHEMICALS & PHARMACEUTICALS LTD. 1.20% 0.05 22 NEULAND LABORATORIES LTD. 1.18% 0.05 23 GLAND PHARMA LTD. 1.14% 0.04 24 NARAYANA HRUDAYALAYA LTD. 1.08% 0.05 25 SYNGENE INTERNATIONAL LTD. 1.02% 0.04 26 WOCKHARDT LTD. 1.01% 0.29 27 DR. LAL PATH LABS LTD. 0.97% 0.05 28 PIRAMAL PHARMA LTD. 0.95% 0.04 29 AJANTA PHARMACEUTICALS LTD. 0.90% 0.06 30 GLOBAL HEALTH LTD. 0.88% 0.06 31 GLAXOSMITHKLINE PHARMACEUTICALS LTD. 0.86% 0.05 32 JUBILANT PHARMOVA LTD. 0.74% 0.06 33 ONESOURCE SPECIALTY PHARMA LTD. 0.74% 0.08 34 SAI LIFE SCIENCES LTD. 0.73% 0.07 35 ERIS LIFESCIENCES LTD. 0.71% 0.08 36 GRANULES INDIA LTD. 0.69% 0.05 37 NATCO PHARMA LTD. 0.67% 0.04 38 PFIZER LTD. 0.63% 0.05 39 POLY MEDICURE LTD. 0.61% 0.07 40 COHANCE LIFESCIENCES LTD. 0.59% 0.08 41 RAINBOW CHILDRENS MEDICARE LTD. 0.55% 0.06 42 ASTRAZENCA PHARMA INDIA LTD. 0.47% 0.06 43 INDEGENE LTD. 0.45% 0.07 44 METROPOLIS HEALTHCARE LTD. 0.42% 0.06 45 ALEMBIC PHARMACEUTICALS LTD. 0.42% 0.08 46 VIJAYA DIAGNOSTIC CENTRE LTD. 0.41% 0.06 47 CONCORD BIOTECH LTD. 0.39% 0.08 48 DR. AGARWAL'S HEALTH CARE LTD. 0.34% 0.08 49 CAPLIN POINT LABORATORIES LTD. 0.32% 0.06 Page 49 of 67 Scheme Information Document - Mirae Asset Nifty 500 Healthcare ETF50 EMCURE PHARMACEUTICALS LTD. 0.30% 0.16 For additional details, please refer to index methodology on: https://www.niftyindices.com/Methodology/Method_NIFTY_Equity_Indices.pdf E. Principles of incentive structure for market makers The incentive structure shall be based on the performance of the Market Maker. It shall have recourse to factors such as trading volumes, bid-ask spread in units of ETFs and such other information as may be required to formalize performance-based incentive structure or a fixed monthly compensation at the discretion of the AMC and is to be decided between the AMC and the Market Maker. The incentives, if any, shall be charged to the respective scheme within the maximum permissible limit of TER. A transparent incentive structure for the MMs shall be put in place, and the incentives shall, inter alia, be linked to performance of the MMs in terms of generating liquidity in units of ETFs. F. Other Scheme Specific Disclosures: Listing and transfer of units The Units of the Scheme shall be listed on the Capital Market Segment of the NSE and BSE. The AMC engages Market Makers for creating liquidity for the Units of the Scheme on the Stock Exchange(s) so that investors other than Market Makers and Large Investors are able to buy or redeem Units on the Stock Exchange(s) using the services of a stock broker. The Mutual Fund may at its sole discretion list the Units of the Scheme on any other recognized Stock Exchange(s) at a later date. The AMC/Trustee reserves the right to delist the Units of the Scheme from a particular stock exchange provided the Units are listed on at least one stock exchange. An investor can buy/sell Units on a continuous basis on the NSE and BSE on which the Units are listed during the trading hours like any other publicly traded stock at prices which may be close to the NAV of the Scheme. The price of the Units in the market will depend on demand and supply at that point of time. There is no minimum investment, although Units are purchased in round lots of 1. Units held in Demat form are transferable (subject to lock-in period, if any and subject to lien, if any marked on the units) in accordance with the provisions of SEBI (Depositories and Participants) Regulations, 2018, as may be amended from time to time. Transfer can be made only in favor of transferees who are capable of holding Units and having a Demat Account. The delivery instructions for transfer of Units will have to be lodged with the DP in requisite form as may be required from time to time and transfer will be effected in accordance with such rules / regulations as may be in force governing transfer of securities in dematerialized mode. Further, for the procedure of release of lien, the investors shall contact their respective Depository. Page 50 of 67 Scheme Information Document - Mirae Asset Nifty 500 Healthcare ETFHowever, if a person becomes a holder of the Units consequent to operation of law or upon enforcement of a pledge, the Mutual Fund will, subject to production of satisfactory evidence, effect the transfer, if the transferee is otherwise eligible to hold the Units. Similarly, in cases of transfers taking place consequent to death, insolvency etc., the transferee’s name will be recorded by the Mutual Fund subject to production of satisfactory evidence. Please refer SAI for details on transmission, nomination, lien, pledge, duration of the Scheme and Mode of Holding. Dematerialization of units The Units of the Scheme will be available only in dematerialized (electronic) form. Investors intending to invest in Units of the Scheme will be required to have a beneficiary account with a SO-57 (a) Depository Participant (DP) of NSDL/ CDSL and will be required to and (b) mention in the application form DP’s Name, DP ID No. and Beneficiary Account No. with the DP at the time of purchasing Units directly from the fund in Creation Unit Size. The Units of the Scheme will be issued, traded and settled compulsorily in dematerialized (electronic) form. Minimum Target amount The Scheme seeks to collect a minimum subscription amount of Rs. 5 Crores under the Scheme during the NFO Period. Dividend Policy (IDCW) Not Applicable Allotment All Applicants whose monies towards purchase of Units have been realised by the Fund will receive a full and firm allotment of Units, provided also the applications are complete in all respects and are found to be in order. For applicants applying through ‘Applications Supported by Blocked Amount (ASBA)’, on allotment, the amount will be unblocked in their respective bank accounts and account will be debited only to the extent required to pay for allotment of Units applied in the application form. The AMC shall allot Units within 5 business days from the date of closure of the NFO period. Units will be allotted in whole figure. Offer for Sale of Units at 1/100th value of the Nifty 500 Healthcare Index as on the date of allotment for applications received during the New Fund Offer (“NFO”) period and at approximately indicative NAV based prices (along with applicable charges and execution variations) during the Ongoing Offer for applications directly received at AMC. Balance amount will be refunded to the investor. Example of issue of Unit during the NFO: Example of Units allotted to the Investor (Amt. in Rs.) Net amount invested by investor A 5,000 Allotment Price B 260 Units allotted rounded off to nearest C=A/B 19 lowest integer Value of units allotted D=B*C 4940 Balance fractional units refunded to E=A-D 60 investor Page 51 of 67 Scheme Information Document - Mirae Asset Nifty 500 Healthcare ETFThe Trustee retains the sole and absolute discretion to reject any application which is incomplete in any aspect. Dematerialization The Units of the Scheme will be available in dematerialized (electronic) form. The investor intending to invest in Units of the Scheme will be required to have a beneficiary account with a Depository Participant (DP) of the NSDL/CDSL and will be required to mention in the application form DP’s Name, DP ID No. and Beneficiary Account No. with the DP at the time of purchasing Units. The Units of the Scheme will be issued, traded and settled compulsorily in dematerialized (electronic) form. The Units allotted will be credited to the DP account of the Unit holder as per the details provided in the application form. However, the Trustee / AMC reserves the right to change the dematerialization/rematerialization process in accordance with the procedural requirements laid down by the Depositories, viz. NSDL/ CDSL and/or in accordance with the provisions laid under the Depositories Act, 1996 and the Regulations thereunder. An account statement will be sent by ordinary post/courier/secured SO-60 encrypted electronic mail to each Unit Holder, stating the number of Units purchased, not later than 5 business days from the close of the NFO Period. In case of specific request received from investors, Mutual Fund shall provide the account statement to the investors within 5 working days from the receipt of such request without any charges. Allotment of Units and dispatch of Account Statements to FPIs will be subject to RBI approval, if required. For investors who have given demat account details in the application form, the Units issued by the AMC shall be credited by the Registrar to the investors’ beneficiary account with the DP as per information provided in the application form and information of allotment will be accordingly sent by the Registrar. Refund If the Schemes fail to collect the minimum subscription amount of Rs. 5 Crores, the Mutual Fund shall be liable to refund the money to the applicants within 5 business days from the closure of the NFO. If application is rejected, full amount will be refunded within 5 business days from the closure of NFO. If refunded later than 5 business days, interest @15% p.a. for delayed period will be paid and charged to the AMC. Who can invest • Indian resident adult individuals, either singly or jointly (not This is an indicative list and investors shall exceeding three); consult their financial advisor to ascertain • Minor through parent / lawful guardian; (please see the note whether the scheme is suitable to their risk below) profile. Page 52 of 67 Scheme Information Document - Mirae Asset Nifty 500 Healthcare ETF• Companies, bodies corporate, public sector undertakings, association of persons or bodies of individuals and societies registered under the Societies Registration Act, 1860; • Partnership Firms constituted under the Partnership Act, 1932; • Limited Liability Partnerships (LLP); • A Hindu Undivided Family (HUF) through its Karta; • Banking Company as defined under the Banking Regulation Act, 1949; • Banks (including Co-operative Banks and Regional Rural Banks) and Financial Institutions; • Public Financial Institution as defined under the Companies Act, 1956; • Insurance Company registered with the Insurance Regulatory and Development Authority (IRDA); • Non-Resident Indians (NRIs) / Persons of Indian Origin (PIO) on full repatriation basis or on non-repatriation basis; • Foreign Portfolio Investors (FPI) (including overseas ETFs, Fund of Funds) registered with SEBI on repatriation basis; • Mutual Funds/ Alternative Investment Funds registered with SEBI • Army, Air Force, Navy and other para-military funds and eligible institutions; • Scientific and Industrial Research Organizations; • Provident / Pension / Gratuity and such other Funds as and when permitted to invest; • International Multilateral Agencies approved by the Government of India / RBI; and • The Trustee, AMC or Sponsor or their associates (if eligible and permitted under prevailing laws). • A Mutual Fund through its schemes if permitted by the regulatory authorities. • Special Purpose Vehicles (SPVs) approved by appropriate authority (subject to RBI approval). • Religious and Charitable Trusts, Wakfs or endowments of private trusts (subject to receipt of necessary approvals as required) and Private Trusts authorized to invest in mutual fund schemes under their trust deeds; • Qualified Foreign Investors subject to the conditions prescribed by SEBI, RBI, Income Tax authorities and the AMC, from time to time on repatriation basis. • Such other individuals/institutions/body corporate etc., as may be decided by the AMC from time to time, so long as wherever applicable they are in conformity with SEBI Regulations/RBI, etc. Note: 1. Minor Unit Holder on becoming major may inform the Registrar about attaining majority and provide his specimen signature duly authenticated by his banker as well as his details of bank account and a certified true copy of the PAN card as mentioned under the paragraph “Anti Money Laundering and Know Your Customer” to enable the Registrar to update their records and allow him to operate the Account in his own right. Page 53 of 67 Scheme Information Document - Mirae Asset Nifty 500 Healthcare ETFNote 2. Applicants under Power of Attorney: An applicant willing to transact through a power of attorney must lodge the photocopy of the Power of Attorney (PoA) attested by a Notary Public or the original PoA (which will be returned after verification) within 30 Days of submitting the Application Form / Transaction Slip at a Designated Collection Centre. Applications are liable to be rejected if the power of attorney is not submitted within the aforesaid period. Who cannot invest It should be noted that the following entities cannot invest in the scheme: • Any individual who is a foreign national or any other entity that is not an Indian resident under the Foreign Exchange Management Act, 1999, except where registered with SEBI as a FPI. However, there is no restriction on a foreign national from acquiring Indian securities provided such foreign national meets the residency tests as laid down by Foreign Exchange Management Act, 1999. • Overseas Corporate Bodies (OCBs) shall not be allowed to invest in the Scheme. These would be firms and societies which are held directly or indirectly but ultimately to the extent of at least 60% by NRIs and trusts in which at least 60% of the beneficial interest is similarly held irrevocably by such persons (OCBs.) • Non-Resident Indians residing in the Financial Action Task Force (FATF) Non-Compliant Countries and Territories (NCCTs) • “U.S. Person” under the U.S. Securities Act of 1933 and corporations or other entities organized under the laws of U.S. • Residents of Canada or any Canadian jurisdiction under the applicable securities laws. • The Fund reserves the right to include / exclude new / existing categories of investors to invest in the Scheme from time to time, subject to SEBI Regulations and other prevailing statutory regulations, if any. Subject to the Regulations, any application for subscription of Units may be accepted or rejected if found incomplete or due to unavailability of underlying securities, etc. For example, the Trustee may reject any application for the Purchase of Units if the application is invalid or incomplete or if, in its opinion, increasing the size of any or all of the Scheme's Unit capital is not in the general interest of the Unit Holders, or if the Trustee for any other reason does not believe that it would be in the best interest of the Scheme or its Unit Holders to accept such an application. The AMC / Trustee may need to obtain from the investor verification of identity or such other details relating to a subscription for Units as may be required under any applicable law, which may result in delay in processing the application. How to apply and other details Application form and Key Information Memorandum may be obtained SO-35 from Official Points of Acceptance (OPAs) / Investor Service Centres (ISCs) of the AMC or RTA or Distributors or can be downloaded from our website www.miraeassetmf.co.in. Page 54 of 67 Scheme Information Document - Mirae Asset Nifty 500 Healthcare ETFThe list of the OPA / ISC are available on our website as well. Investors intending to trade in Units of the Schemes, through the exchange platform will be required to provide demat account details in the application form. Please refer to the SAI and application form for the instructions. Where can you submit the filled-up Registrar & Transfer Agent: applications. KFin Technologies Limited Registered Office: Karvy Selenium, Tower B, Plot Number 31 & 32, Financial District, Gachibowli, Hyderabad - 500 034. Contact Persons: Mr. Babu PV Tel No. : 040 3321 5237 Email Id : babu.pv@kfintech.com Mr. 'P M Parameswaran' Tel No. : 040 3321 5396 Email Id : parameswaran.p@kfintech.com Website address: https://mfs.kfintech.com/mfs/ Branches: Applications can be submitted at collecting bankers and Investor Service Centers of Mirae Asset Investment Managers (India) Pvt. Ltd and KFin Technologies Limited. Details of which are furnished on back cover page of this document. Please refer the AMC website at the following link for the list of official points of acceptance, collecting banker details etc.: https://www.miraeassetmf.co.in/downloads/statutorydisclosure/other- disclosure Website of the AMC: Investor can also subscribe to the Units of the Scheme through the website of the AMC i.e. https://www.miraeassetmf.co.in/investor- center/investor-services Stock Exchanges: A Unit holder may purchase Units of the Scheme through the Stock Exchange infrastructure. Investors can hold units only in dematerialized form. MF Utility (MFU): A unitholder may purchase units of the Plan(s) under the Scheme through MFU. All financial and non-financial transactions pertaining to Schemes of Mirae Asset Mutual Fund can also be submitted through MFU either electronically or physically through the authorized Points of Service Page 55 of 67 Scheme Information Document - Mirae Asset Nifty 500 Healthcare ETF(“POS”) of MFUI. The list of POS of MFUI is published on the website of MFUI at www.mfuindia.com and may be updated from time to time. SO-61 Investors to note that it is mandatory to mention the bank account numbers in the applications/requests for redemption. The policy regarding reissue of All units can be reissued without any limit by the Scheme. repurchased units, including the maximum extent, the manner of reissue, the entity (the scheme or the AMC) involved in the same. Restrictions, if any, on the right to freely As the units of the Scheme are mandatorily to be held in demat mode, retain or dispose of units being offered. the same are freely transferable. Further, the unit holders will have to approach their DP for transfer, transmission, pledge related requests etc. which shall be done by the DP in accordance with the procedural requirements laid down by the Depositories, viz. NSDL/ CDSL and/or in accordance with the provisions laid under the Depositories Act, 1996 and the Regulations thereunder. RIGHT TO RESTRICT REDEMPTION AND / OR SUSPEND REDEMPTION OF THE UNITS: The Fund at its sole discretion reserves the right to restrict Redemption (including switchout) of the Units (including Plan /Option) of the Scheme of the Fund upon occurrence of the below mentioned events for a period not exceeding ten (10) working days in any ninety (90) days period subject to approval of the Board of Directors of the AMC and the Trustee. The restriction on Redemption (including switch-out) shall be applicable where the Redemption (including switch-out) request is for a value above Rs. 2,00,000/- (Rupees Two Lakhs). Further, no restriction shall be applicable to the Redemption / switch- out request upto Rs. 2,00,000/- (Rupees Two Lakhs). It is further clarified that, in case of redemption request beyond Rs. 2,00,000/- (Rupees Two Lakhs), no restriction shall be applicable on first Rs. 2,00,000/- (Rupees Two Lakhs). The Trustee / AMC reserves the right to restrict Redemption or suspend Redemption of the Units in the Scheme of the Fund on account of circumstances leading to a systemic crisis or event(s) that severely constrict market liquidity or the efficient functioning of the markets. A list of such circumstances under which the restriction on Redemption or suspension of Redemption of the Units in the Scheme of the Fund may be imposed are as follows: 1. Liquidity issues- when market at large becomes illiquid affecting almost all securities rather than any issuer specific security; or 2. Market failures / Exchange closures; or 3. Operational issues; or 4. If so directed by SEBI. It is clarified that since the occurrence of the abovementioned eventualities have the ability to impact the overall market and liquidity Page 56 of 67 Scheme Information Document - Mirae Asset Nifty 500 Healthcare ETFsituation, the same may result in exceptionally large number of Redemption requests being made and in such a situation the indicative timelines (i.e. within 3-4 Business Days) mentioned by the Fund in the scheme offering documents, for processing of requests for Redemption may not be applicable. Right To Limit Subscription: In the interest of the investors and in order to protect the portfolio from market volatility, the Trustees reserve the right to limit or discontinue subscriptions under the Scheme for a specified period of time or till further notice. Cut off timing for subscriptions/ In case of Purchase / Redemption directly with Mutual Fund (By redemptions/ switches Market Makers and Large Investors): This is the time before which your DIRECTLY FROM THE FUND application (complete in all respects) Direct transaction with AMCs shall be facilitated for investors only should reach the official points of for transactions above a specified threshold. In this regard, to begin acceptance. with any order placed for redemption or subscription directly with the AMC must be of greater than INR 25 Cr. The aforesaid threshold shall not be applicable for Market Makers. All direct transactions in units of ETFs by Market Makers or other eligible investors (as mentioned above) with AMCs shall be at intra- day NAV based on the actual execution price of the underlying portfolio. The requirement of “cut-off” timing shall not be applicable for direct transaction with AMCs in ETFs by Market Makers and other eligible investors. For Redemption of units directly with the Mutual Fund (other than Market Makers and Large Investors): Investors can directly approach the AMC for redemption of units of ETF, for transaction of upto INR 25 Cr. without any exit load, in case of the following scenarios: i. Traded price (closing price) of the ETF units is at discount of more than 1% to the day end NAV for 7 continuous trading days, or ii. No quotes for such ETFs are available on stock exchange(s) for 3 consecutive trading days, or iii. Total bid size on the exchange is less than half of creation units size daily, averaged over a period of 7 consecutive trading days. In case of the above scenarios, applications received from investors for redemption up to 3.00 p.m. on any trading day, shall be processed by the AMC at the closing NAV of the day. Such instances shall be tracked by the AMC on an ongoing basis and in case any of the above mentioned scenario arises, the same shall be disclosed on the website of the Mutual Fund. Settlement of Purchase/Sale of Units of the Scheme on NSE/ BSE Buying/Selling of Units of the Scheme on NSE/ BSE is just like buying/selling any other normal listed security. If an investor has Page 57 of 67 Scheme Information Document - Mirae Asset Nifty 500 Healthcare ETFbought Units, an investor has to pay the purchase amount to the broker/sub-broker such that the amount paid is realized before the funds pay-in day of the settlement cycle on the Stock Exchange(s). If an investor has sold Units, an investor has to deliver the Units to the broker/sub-broker before the securities pay- in day of the settlement cycle on the Stock Exchange(s). The Units (in the case of Units bought) and the funds (in the case of Units sold) are paid out to the broker on the pay-out day of the settlement cycle on the Stock Exchange(s). The Stock Exchange(s) regulations stipulate that the trading member should pay the money or Units to the investor within 24 hours of the pay-out. If an investor has bought Units, he should give standing instructions for ‘Delivery-In’ to his /her/its DP for accepting Units in his/her/its beneficiary account. An investor should give the details of his/her beneficiary account and the DP-ID of his/her/its DP to his/ her/its trading member. The trading member will transfer the Units directly to his/her/ its beneficiary account on receipt of the same from NSE’s/ BSE’s Clearing Corporation. An investor who has sold Units should instruct his/her/its Depository Participant (DP) to give ‘Delivery Out’ instructions to transfer the Units from his/her/its beneficiary account to the Pool Account of his/her/its trading member through whom he/she/it have sold the Units. The details of the Pool A/C (CM-BP-ID) of his/her trading member to which the Units are to be transferred, Unit quantity etc. should be mentioned in the Delivery Out instructions given by him/her to the DP. The instructions should be given well before the prescribed securities pay-in day. SEBI has advised that the Delivery Out instructions should be given at least 24 hours prior to the cut-off time for the prescribed securities pay-in to avoid any rejection of instructions due to data entry errors, network problems, etc. Minimum amount for ON THE EXCHANGE purchase/redemption/switches Investors can subscribe (buy) and redeem (sell) Units on a continuous basis on the NSE/ BSE on which the Units are listed. Subscriptions made through Stock Exchanges will be made by specifying the number of Units to be subscribed and not the amount to be invested. On the Stock Exchange(s), the Units of the scheme can be purchased/sold in minimum lot of 1 (one) Unit and in multiples thereof. DIRECTLY FROM THE FUND The Scheme offers for subscriptions/redemptions only for Market Makers in ‘Creation Unit Size’ on all Business Days at a price determined on the basis of approximately indicative NAV based prices (along with applicable charges and execution variations) during the Ongoing Offer for applications directly received at AMC. Large investors can subscribe/redeem directly with the AMC for an amount greater than Rs. 25 crores. Additionally, the difference in the value of portfolio and cost of purchase/sale of Portfolio Deposit on the Exchange for creation/redemption of scheme Units including the Cash Page 58 of 67 Scheme Information Document - Mirae Asset Nifty 500 Healthcare ETFComponent and transaction handling charges, if any, will have to be borne by the Market Makers /Large Investor. The Fund creates/redeems Units of Scheme in large size known as “Creation Unit Size”. Each “Creation Unit” consists of 30,000 Units of ETF. The value of the “Creation Unit” is the “Portfolio Deposit” and a “Cash Component” which will be exchanged for 30,000 Units of Scheme and/or subscribed in cash equal to the value of said predefined units of the Scheme. The Portfolio Deposit and Cash Component for the Scheme may change from time to time due to change in NAV. The subscription/redemption of Units of Scheme ETF in Creation Unit Size will be allowed both by means of exchange of Portfolio Deposit and by Cash (i.e. payments shall be made only by means of payment instruction of Real Time Gross Settlement (RTGS) / National Electronic Funds Transfer (NEFT) or Funds Transfer Letter/ Transfer Cheque of a bank where the Scheme has a collection account). The Fund may from time to time change the size of the Creation Unit in order to equate it with marketable lots of the underlying instruments. Accounts Statements The AMC shall send an allotment confirmation specifying the units allotted by way of email and/or SMS within 5 working days of receipt of valid application/transaction to the Unit holders registered e-mail address and/ or mobile number (whether units are held in demat mode or in account statement form). A Consolidated Account Statement (CAS) detailing all the transactions across all mutual funds and holding at the end of the month shall be sent to the Unit holders in whose folio(s) transaction(s) have taken place during the month by email on or before 12th of the succeeding month who have opted for e-CAS and on or before 15th day of the succeeding month to investors who have opted for delivery via physical mode. Half-yearly CAS shall be issued at the end of every six months (i.e. September/ March) on or before 18th day of succeeding month who have opted for e-CAS and on or before 21st day of the succeeding month to investors who have opted for delivery via physical mode, to all investors providing the prescribed details across all schemes of mutual funds and securities held in dematerialized form across demat accounts, if applicable. For further details, refer SAI. Dividend/ IDCW Not Applicable Page 59 of 67 Scheme Information Document - Mirae Asset Nifty 500 Healthcare ETFRedemption The redemption or repurchase proceeds shall be dispatched to the unitholders within three working days from the date of redemption or repurchase. For list of exceptional circumstances refer para 14.1.3 of SEBI Master Circular for Mutual Funds dated June 27, 2024. Non-Resident Investors For NRIs, Redemption proceeds will be remitted depending upon the source of investment as follows: (i) Repatriation basis When Units have been purchased through remittance in foreign exchange from abroad or by cheque / draft issued from proceeds of the Unit Holder's FCNR deposit or from funds held in the Unit Holder's Non Resident (External) account kept in India, the proceeds can also be sent to his Indian address for crediting to his NRE/FCNR/non- resident (Ordinary) account, if desired by the Unit Holder. (ii) Non-Repatriation basis When Units have been purchased from funds held in the Unit Holder's non-resident (Ordinary) account, the proceeds will be sent to the Unit Holder's Indian address for crediting to the Unit Holder's non-resident (Ordinary) account. For FPIs, the designated branch of the authorized dealer may allow remittance of net sale / maturity proceeds (after payment of taxes) or credit the amount to the Foreign Currency account or Non-resident Rupee account of the FPI maintained in accordance with the approval granted to it by the RBI. The Fund will not be liable for any delays or for any loss on account of any exchange fluctuations, while converting the rupee amount in foreign exchange in the case of transactions with NRIs/FPIs. The Fund may make other arrangements for effecting payment of redemption proceeds in future. The normal processing time may not be applicable in situations where necessary details are not provided by investors/Unit holders. The AMC will not be responsible for any loss arising out of fraudulent encashment of cheques and/or any delay/loss in transit. Bank Mandate It is mandatory for every applicant to provide the name of the bank, branch, address, account type and number as per SEBI requirements and any Application Form without these details will be treated as incomplete. Such incomplete applications will be rejected. The Registrar / AMC may ask the investor to provide a blank cancelled cheque or its photocopy for the purpose of verifying the bank account number. Delay in payment of redemption / The Asset Management Company shall be liable to pay interest to the repurchase proceeds/dividend unitholders at rate as specified vide clause 14.2 of SEBI Master Circular for Mutual Funds dated June 27, 2024 by SEBI for the period of such delay Page 60 of 67 Scheme Information Document - Mirae Asset Nifty 500 Healthcare ETFUnclaimed Redemption and Income As per the Clause 14.3 of SEBI Master Circular dated June 27, 2024, SO-52 Distribution cum Capital Withdrawal the unclaimed Redemption and dividend amounts shall be deployed Amount by the Fund in call money market or money market instruments and in a separate plan of Liquid scheme / Money Market Mutual Fund scheme floated by Mutual Funds specifically for deployment of the unclaimed amounts. The investment management fee charged by the AMC for managing such unclaimed amounts shall not exceed 50 basis points. The AMCs shall not be permitted to charge any exit load in this plan. Provided that such schemes where the unclaimed redemption and IDCW amounts are deployed shall be only those Overnight scheme/ Liquid scheme / Money Market Mutual Fund schemes which are placed in A-1 cell (Relatively Low Interest Rate Risk and Relatively Low Credit Risk) of Potential Risk Class matrix. The investors who claim these amounts during a period of three years from the due date shall be paid at the prevailing NAV. After a period of three years, this amount can be transferred to a pool account and the investors can claim the said amounts at the NAV prevailing at the end of the third year. In terms of the circular, the onus is on the AMC to make a continuous effort to remind investors through letters to take their unclaimed amounts. The website of Mirae Asset Mutual Fund also provides information on the process of claiming the unclaimed amount and the necessary forms / documents required for the same. As per SEBI Letter dated January 22, 2025, unclaimed redemption and dividend amounts are to be transferred by the Asset Management Company (AMC) to the Unclaimed Dividend and Redemption Scheme (UDRS) after a period of 90 days and no later than 105 days from the date of issuance of the instruments. The AMC shall maintain separate schemes or plans for unclaimed IDCW and redemption amounts pending for less than three years and for more than three years. Upon completion of the initial three-year period, such units shall be transferred to UDRS within 10 business days of the subsequent month. Furthermore, income accrued on these unclaimed amounts beyond three years will be transferred on a monthly basis (on or before the 10th calendar day of the following month) to the Investor Education and Protection Fund as specified by SEBI. The details of such unclaimed amounts are also disclosed in the annual report sent to the Unit Holders. Important Note: All applicants must provide a bank name, bank account number, branch address, and account type in the Application Form. Disclosure w.r.t investment by minors • Payment for investment by any mode shall be accepted from the SO-37 bank account of the minor, parent or legal guardian of the minor, or from a joint account of the minor with parent or legal guardian. • Irrespective of the source of payment for subscription, all redemption proceeds shall be credited only in the verified account Page 61 of 67 Scheme Information Document - Mirae Asset Nifty 500 Healthcare ETFof the minor i.e. the account the minor may hold with the parent/ legal guardian after completing all KYC formalities. • The AMC will send an intimation to Unit holders advising the minor (on attaining majority) to submit an application form along with prescribed documents to change the status of the account from ‘minor’ to ‘major’. • All transactions / standing instructions / systematic transactions etc. will be suspended i.e. the Folio will be frozen for operation by the guardian from the date of beneficiary child completing 18 years of age, till the status of the minor is changed to major. Upon the minor attaining the status of major, the minor in whose name the investment was made, shall be required to provide all the KYC details, updated bank account details including cancelled original cheque leaf of the new bank account. • No investments (lumpsum/SIP/ switch in/ STP in etc.) in the scheme would be allowed once the minor attains majority i.e. 18 years of age. Please refer SAI for details on Transmission of Units. Investments in Scheme by AMC, Sponsor Subject to the Regulations, the AMC and investment companies & Associates managed by the Sponsor(s), their associate companies and subsidiaries may invest either directly or indirectly, in the Scheme during the NFO and/or on ongoing basis. However, the AMC shall not charge any investment management fee on such investment in the Scheme, in accordance with sub-regulation 3 of Regulation 24 of the Regulations and shall charge fees on such amounts in future only if the SEBI Regulations so permit. The associates, the Sponsor, subsidiaries of the Sponsor and/or the AMC may acquire a substantial portion of the Scheme’s units and collectively constitute a major investment in the Schemes. The AMC reserves the right to invest its own funds in the Scheme as may be decided by the AMC from time to time and required by applicable regulations and also in accordance with Clause 6.11 of SEBI Master Circular dated June 27, 2024 regarding minimum number of investors in the Scheme. In terms of SEBI notification dated August 5, 2021 and as per Regulation 25, sub-regulation 16A of SEBI (Mutual Funds) Regulations, the asset management company shall invest such amounts in such schemes of the mutual fund, based on the risks associated with the schemes, as may be specified by the Board from time to time III. Other Details A. Periodic Disclosures Annual Report Pursuant to Regulation 56 of SEBI (Mutual Funds) Regulations, 1996 read with Clause 5.4 of SEBI Master Circular dated June 27, 2024, the scheme wise annual report or abridged summary thereof will be hosted on the website of the Mirae Asset Mutual Fund viz. https://www.miraeassetmf.co.in/downloads/statutory- disclosure/financials and on the website of AMFI, not later than four months after the close of each financial year (31st March). The AMCs shall display the link prominently on the website of the Mirae Asset Mutual Fund viz. https://miraeassetmf.co.in and make the physical copies available to the unitholders, at their registered offices at Page 62 of 67 Scheme Information Document - Mirae Asset Nifty 500 Healthcare ETFall times. Unit holders whose e-mail addresses are not registered will have to specifically ‘opt in’ to receive physical copy of scheme wise annual report or abridged summary thereof. The unit holders may request for a physical copy of scheme annual reports at a price and the text of the relevant scheme by writing to the Mirae Asset Investment Managers (India) Pvt Ltd. / Investor Service Centre / Registrar & Transfer Agents. The Mutual Fund / AMC shall provide a physical copy of abridged report of the annual report, without charging any cost, on specific request received from a unit holder. An advertisement shall be published every year disclosing the hosting of the scheme wise annual report on website of Mirae Asset Mutual Fund and on the website of AMFI and the modes such as SMS, telephone, email or written request (letter) through which a unitholder can submit a request for a physical or electronic copy of the scheme wise annual report or abridged summary thereof. Such advertisement shall be published in the all India edition of at least two daily newspapers, one each in English and Hindi. Monthly/Half Yearly Portfolio Disclosures: The Mutual Fund/ AMC will disclose portfolio (along with ISIN) of the Scheme in the prescribed format, as on the last day of the month / half-year i.e. March 31 and September 30, on its website viz. https://www.miraeassetmf.co.in/downloads/portfolio and on the website of Association of Mutual Funds in India (AMFI) viz. www.amfiindia.com within 10 days from the close of each month/ half year respectively. In case of unitholders whose e-mail addresses are registered, the Mutual Fund/ AMC will send via email both the monthly and half yearly statement of scheme portfolio within 10 days from the close of each month/ half year respectively. Mutual Fund / AMC will publish an advertisement every half year in the all India edition of at least two daily newspapers, one each in English and Hindi, disclosing the hosting of the half-yearly statement of the Scheme portfolio on its website and on the website of Association of Mutual Funds in India (AMFI). Mutual Fund / AMC will provide a physical copy of the statement of its Scheme portfolio, without charging any cost, on specific request received from a unitholder. Monthly Disclosures The AMC shall disclose the following on monthly basis on its website on https://www.miraeassetmf.co.in/downloads/portfolio: • Name and exposure to top 7 issuers and stocks respectively as a percentage of NAV of the scheme • Name and exposure to top 7 groups as a percentage of NAV of the scheme. • Name and exposure to top 4 sectors as a percentage of NAV of the scheme. Change in constituents of the index, if any, shall be disclosed on the AMC website on the day of change. Monthly Average Asset under Management (Monthly AAUM) Disclosure The Mutual Fund shall disclose the Monthly AAUM under different categories Schemes as specified by SEBI in the prescribed format on a monthly basis on its website viz. https://www.miraeassetmf.co.in/downloads/statutory- disclosure/other-disclosure and forward to AMFI within 7 working days from the end of the month. Scheme Summary Document SO-38 The AMC has provided on its website a standalone scheme document for all the Schemes which contains all the details of the Scheme viz. Scheme features, Fund Manager details, investment details, investment objective, expense ratios, portfolio details, etc. Scheme summary document is uploaded on the websites of AMC viz. https://www.miraeassetmf.co.in/downloads/statutory-disclosure/other-disclosure, AMFI and stock exchanges in 3 data formats i.e. PDF, Spreadsheet and a machine readable format (either JSON or XML). The document shall be updated by the AMCs on a monthly basis or on changes in any of the specified fields, whichever is earlier. Page 63 of 67 Scheme Information Document - Mirae Asset Nifty 500 Healthcare ETFDisclosures with respect to Tracking Error and Tracking Difference SO-39 Tracking Error (TE): The AMC shall disclose tracking error based on past one year rolling data, on a daily basis, on the website of AMC on ETF Mutual Fund: Invest in Exchange Traded Funds Online | Mirae Asset (miraeassetmf.co.in) and AMFI. Tracking Difference (TD): Tracking difference i.e. the annualized difference of daily returns between the index and the NAV of the scheme shall be disclosed on the website of the AMC on ETF Mutual Fund: Invest in Exchange Traded Funds Online | Mirae Asset (miraeassetmf.co.in) and AMFI, on a monthly basis, for tenures 1 year, 3 year, 5 year, 10 year and since the date of allotment of units SO-38 Product Labelling and Risk-o-meter: The Risk-o-meter shall have following six levels of risk: 1. Low Risk 2. Low to Moderate Risk 3. Moderate Risk 4. Moderately High Risk 5. High Risk and 6. Very High Risk The evaluation of risk levels of a scheme shall be done in accordance with clause 17.4 of SEBI Master Circular dated June 27, 2024. Any change in risk-o-meter shall be communicated by way of Notice cum Addendum and by way of an e-mail or SMS to unitholders. The risk-o-meter shall be evaluated on a monthly basis and the risk-o-meter along with portfolio disclosure shall be disclosed on the AMC website viz. https://www.miraeassetmf.co.in/downloads/portfolio as well as AMFI website within 10 days from the close of each month. The AMC shall disclose the risk level of schemes as on March 31 of every year, along with number of times the risk level has changed over the year, on its website viz. https://www.miraeassetmf.co.in/downloads/statutory- disclosure/other-disclosure and AMFI website. Further, in accordance with clause 5.16 of SEBI Master Circular dated June 27, 2024, the AMC shall disclose: a. risk-o-meter of the scheme wherever the performance of the scheme is disclosed; b. risk-o-meter of the scheme and benchmark wherever the performance of the scheme vis-à-vis that of the benchmark is disclosed. c. scheme risk-o-meter, name of benchmark and risk-o-meter of benchmark while disclosing portfolio of the scheme. The Product Labelling assigned during the NFO is based on internal assessment of the scheme characteristics or model portfolio and the same may vary post NFO when the actual investments are made. Indicative Net Asset Value (iNAV) NAV i.e. the per unit NAV based on the current market value of the scheme portfolio during the trading hours of the scheme, will be disclosed on a continuous basis on NSE and BSE and will be updated within a maximum time lag of 15 seconds from underlying market. Page 64 of 67 Scheme Information Document - Mirae Asset Nifty 500 Healthcare ETFB. Transparency/NAV Disclosure SO-41 The AMC will calculate and disclose the first NAV under the Scheme not later than 5 Business Days from the date of allotment of units under the NFO Period. Subsequently, NAVs will be disclosed at the close of each business day. NAV of the Units of the Scheme (including options there under) calculated in the manner provided in this SID or as may be prescribed by the Regulations from time to time. The NAV will be computed upto 4 decimal places. Pursuant to Clause 8.1 of SEBI Master Circular June 27, 2024, the NAV of the scheme shall be uploaded on the websites of the AMC (miraeassetmf.co.in) and Association of Mutual Funds in India (www.amfiindia.com) by 11.00 p.m. on every business day. In case of any delay, the reasons for such delay would be explained to AMFI and SEBI by the next day. If the NAVs are not available before commencement of business hours on the following day due to any reason, the Fund shall issue a press release providing reasons and explaining when the Fund would be able to publish the NAVs. C. Transaction charges and stamp duty Pursuant to SEBI Circular No. SEBI/HO/IMD/IMD-PoD-1/P/CIR/2025/115 dated August 08, 2025, no transaction charges shall be deducted from the subscription amount for transactions /applications received through the distributors (i.e. in Regular Plan) and full subscription amount will be invested in the Scheme. Applicability of Stamp Duty: Pursuant to Notification No. S. O. 1226 (E) and G.S.R 226(E) dated March 30, 2020 issued by Department of Revenue, Ministry of Finance, Government of India, read with Part I of Chapter IV of Notification dated February 21, 2019 issued by Legislative Department, Ministry of Law and Justice, Government of India on the Finance Act, 2019, a stamp duty @ 0.005% of the transaction value shall be levied on applicable mutual fund transactions. Accordingly, pursuant to levy of stamp duty, the number of units allotted on purchase transactions (including dividend reinvestment) to the unitholders would be reduced to that extent For details refer in Statement of Additional Information. D. Associate Transactions Please refer to Statement of Additional Information (SAI) E. Taxation For details on taxation please refer to the clause on Taxation in the SAI apart from the following: Rates of tax and tax deducted at source (TDS) under the Act for Capital Gains from transfer of units of Equity Oriented Fund: Income Tax Rates TDS Rates Type of Capital Condition Resident/ Gain PIO/ NRI/ Other non FII Resident NRI/OCBs/ FII & others FII non- residents Page 65 of 67 Scheme Information Document - Mirae Asset Nifty 500 Healthcare ETFSale upto STT has 22nd July, 15% 15% Nil 15% been paid 2024 on Sale on or redemption after 23rd 20% 20% Nil 20% + Short Term July, 2024 Capital Gain Normal 30% for Non-resident other (redemption rate of tax than corporates, 40% (till 31 Upto 22nd before applicable 30% Nil March 2024)/ 35% (from 1 July, 2024 completing one to the April 2024) for non- year of holding) assessee residents corporates Other cases Normal 23rd July, rate of tax 30% for Non-resident other 2024 applicable 30% Nil than corporates, 35% for onwards to the non-residents corporates assessee Upto 22nd STT has 10%# 10%# Nil 10% July, 2024 been paid ++ Long Term 23rd July, on Capital Gain 2024 12.5%# 12.5%# Nil 12.5% redemption (redemption onwards after completing Upto 22nd 10%* 10%* Nil 10% one year of July, 2024 holding) Other cases 23rd July, 2024 12.5%* 12.5%* Nil 12.5% onwards PIO: Person of Indian origin NRI: Non-resident Indian FII: Foreign Institutional investor OCB: Overseas Corporate Body # Under section 112A of the Act, where long term capital gain exceeds Rs. 1,25,000/- tax is payable @ 10% upto 22nd July, 2024 and 12.5% from 23rd July, 2024 onwards plus applicable surcharge and cess (without indexation benefit). *without indexation benefit F. Rights of Unitholders Please refer to SAI for details. G. List of official points of acceptance https://www.miraeassetmf.co.in/downloads/statutory-disclosure/other-disclosure/offer-documents-data H. Penalties, Pending Litigation or Proceedings, Findings of Inspections or Investigations for Which Action May Have Been Taken Or Is In The Process Of Being Taken By Any Regulatory Authority SO-48 https://www.miraeassetmf.co.in/downloads/statutory-disclosure/other-disclosure/offer-documents-data Page 66 of 67 Scheme Information Document - Mirae Asset Nifty 500 Healthcare ETFNotwithstanding anything contained in this SID, the provisions of the SEBI (Mutual Funds), SO-63 Regulations, 1996 and the guidelines thereunder shall be applicable. THE TERMS OF THE SCHEME WERE APPROVED BY THE DIRECTORS OF MIRAE ASSET TRUSTEE COMPANY PRIVATE LIMITED IN THEIR MEETING HELD ON JULY 16, 2025 For and on behalf of the Board of Directors of Mirae Asset Investment Managers (India) Private Limited (Asset Management Company for Mirae Asset Mutual Fund) Sd/- Rimmi Jain Head- Compliance, Legal and Company Secretary Place: Mumbai Date: XX/XX/XXXX Page 67 of 67 Scheme Information Document - Mirae Asset Nifty 500 Healthcare ETF

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