Equity exchange-traded funds

  •  ETFs are Index Funds
  • An ETF is a basket of stocks that reflects the composition of an Index, like S&P CNX Nifty or BSE Sensex.
  • They are traded on exchanges like stocks.
  • They enable investors to gain broad exposure to entire stock markets in different Countries and specific sectors with relative ease, on a real-time basis and at a lower cost than many other forms of investing.
  • ETFs trading value is based on the net asset value of the underlying stocks that it represents
  • Think of it as a Mutual Fund that you can buy and sell in real-time at a price that change throughout the day.

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