REGULATORY FRAMEWORK GOVERNING ETFs

The regulatory framework for ETFs in India is designed to ensure investor protection while promoting growth and innovation in the financial markets. The Securities and Exchange Board of India (SEBI) is the primary regulatory authority that oversees the functioning of ETFs in the country. SEBI Guidelines SEBI has issued comprehensive guidelines for ETFs, covering aspects … Read more

MAJOR PLAYERS IN THE INDIAN ETF MARKET

Several players dominate the Indian ETF market, offering a wide range of ETF products to cater to different investment needs. These key players have contributed significantly to the market’s growth and have introduced innovative products that cater to both retail and institutional investors. Nippon India Mutual Fund Formerly known as Reliance Mutual Fund, Nippon India … Read more

HISTORY OF ETFs IN INDIA

Initially, ETFs struggled to gain attraction among Indian investors, primarily due to a lack of awareness and understanding. Mutual funds were still the preferred investment vehicle for most people. However, with time, the Indian market matured, and ETFs began to grow in popularity as a low-cost, diversified investment tool. The journey of Exchange Traded Funds … Read more

KEY TERMINOLOGIES ASSOCIATED WITH ETFs

The key terminologies associated with ETFs is important for crossing this investment decisions. Here’s a glossary of the most important terms you’ll encounter: Net Asset Value (NAV): The NAV represents the per-share value of the ETF’s assets minus its liabilities. It’s calculated at the end of each trading day and serves as a benchmark for … Read more

TYPES OF ETFS AVAILABLE IN INDIA

TYPES OF ETFS AVAILABLE IN INDIA The Indian ETF market has expanded significantly, offering a variety of ETFs to cater to different investment preferences and goals. Here are the main types of ETFs you can invest in:   Equity ETFs: These ETFs track stock indices like the Nifty 50, BSE Sensex, or sector-specific indices such … Read more

HOW ETFs WORK

HOW ETFs WORK   ETFs operate by combining the characteristics of mutual funds and stocks, making them a hybrid investment tool.   Creation and Redemption: ETFs are created and redeemed in large blocks of shares, known as “creation units.” Authorized participants (APs), typically large financial institutions, create these units by delivering a basket of underlying … Read more

WHY ETFS ARE IMPORTANT FOR INDIAN INVESTORS

ETFs offer a lot of benefits, making them an attractive option for Indian investors across various age groups and financial backgrounds. Here are some reasons why ETFs should be a cornerstone of your investment strategy: Diversification: By investing in an ETF, you gain exposure to a broad range of securities, which helps in spreading risk. … Read more

INTRODUCTION TO EXCHANGE TRADED FUNDS

In simple words Exchange Traded Funds, known as ETFs, have simple way of investing just like a stock. Imagine combining the flexibility of stocks with the broad diversification of mutual funds—that’s essentially what ETFs offer. ETFs started in the year 1990s in the United States, now become a global phenomenon, including in India.  An ETF … Read more