Bandhan Nifty 50 ETF
(NSE Scrip Code - IDFNIFTYET)
An open ended scheme tracking NIFTY 50 index
What is a Nifty 50 ETF?
The Nifty 50 ETF offers a gateway to owning a piece of top 50 companies—all with the convenience of a single investment. Think of it as buying a ticket to a well-curated show featuring top performers from various industries, giving you a stake in the giants that drive the Indian economy. Whether you're looking to build a solid foundation for your portfolio or diversify with relatively stable market leaders, this ETF provides an accessible and strategic way to invest.
Nifty 50 ETFs are exchange-traded funds that track the Nifty 50 index, representing the top 50 companies in the Indian stock market by market capitalisation. Many of these companies are blue-chip firms, known for their stability and performance.
Similar to a regular stock, Nifty ETF funds can be purchased or sold on a stock exchange. Nifty fifty ETFs can be traded as intraday stocks, while Nifty 50 index funds can be purchased at the end of each trading day. Moreover, investors must have a demat account to invest in ETFs, as they are traded like stocks. Mutual funds do not require a demat account.
While Nifty 50 ETFs offer sectoral diversification by investing in various industries, they primarily focus on large-cap companies. Although considered a high-risk investment, this diversification may help reduce some level of risk.
Since Nifty 50 ETFs passively track the index, they are less vulnerable to errors or bias. However, as they primarily invest in established companies with limited growth potential, the returns may be modest compared to other funds.
Investors adopting a passive investment strategy may prefer Bandhan Nifty 50 ETF; it may have lower expense ratios, allows for risk management through diversification and give investors access to many stocks across industries. However, Nifty 50 ETFs are not a liquid investment.
- Min Investment Directly with Fund
- Authorised Participants and Large Investors can directly purchase / redeem in blocks from the fund in “Creation unit size” on any business day. On the Exchange - The units of the Scheme can be purchased and sold in minimum lot of 1 unit and in multiples thereof.
- Min SIP Amount NA
- Exit LoadNil
Scheme is suitable for a minimum investment horizon of more than 3 years
Tier 1 Benchmark : Nifty 50 TRIAlternate Benchmark :
- Performance
- Portfolio
- Download
- Details
Performance as on 31st October 2024
Scheme Names | CAGR Returns (%) | Current value of Investment of 10,000 | ||||||||
---|---|---|---|---|---|---|---|---|---|---|
1 year | 3 year | 5 year | 10 year | 07/10/2016 Since inception | 1 year | 3 year | 5 year | 10 year | 07/10/2016 Since inception | |
Bandhan Nifty 50 ETF | 28.11 | 12.24 | 16.36 | N.A. | 14.66 | 12,820 | 14,154 | 21,352 | N.A. | 30,159 |
28.30 | 12.35 | 16.61 | 12.62 | 14.91 | 12,839 | 14,195 | 21,582 | 32,844 | 30,706 | |
^ Tier 1 Benchmark | ^^ Alternate Benchmark | ^^^ Tier 2 Benchmark |
This fund is managed by Mr. Nemish Sheth (w.e.f 01/11/2021)
View fund performance of other funds managed by Mr. Nemish Sheth
Past performance may or may not be sustained in future.
Regular and Direct Plans have different expense structure. Direct Plan shall have a lower expense ratio excluding distribution expenses, commission expenses etc.
Taxation:
For taxation, please refer the link : https://bit.ly/46xQzi1
Bandhan Nifty 50 ETF
(Scheme Risk-o-meter)
Nifty 50 TRI
(Tier 1 Benchmark Risk-o-meter)
This product is suitable for investors who are seeking* :
- To create wealth over long term.
- Investing in equity and equity related instruments forming part of Nifty 50 index.
Who Should Invest in Nifty Fifty ETFs?
Nifty 50 ETFs follow a passive investment strategy, making them suitable for investors looking for long-term exposure to equity securities. As a high-risk investment, Nifty fifty ETFs may not be suitable for risk-averse investors.
The Bandhan Nifty 50 ETF primarily invests in large-cap companies, making it less suitable for investors seeking diversification across different market capitalisations.
FAQs on Nifty 50 ETF
What is a Nifty 50 ETF?
Nifty 50 ETF is a type of investment scheme which invests in equity and equity-related securities of companies in the Nifty 50 index. Contrary to Nifty 50 index funds, ETF funds can be traded as intraday stocks and investors require a DEMAT account to be able to invest in ETFs.
How can I invest in Bandhan Nifty 50 ETF?
To invest in Bandhan Nifty 50 ETF, investors need to open a DEMAT account. You can visit our website on https://bandhanmutual.com/ and start investing. Your trading account must have sufficient funds to cover the investment.
Is the Nifty 50 ETF good for the long term?
Nifty 50 ETFs are a suitable investment option for investors seeking long-term investments. They may help in wealth creation in the long-term. Moreover, as Nifty 50 ETFs invest in the top 50 companies in India, they may be able to give potential returns in the long-run.
Are Nifty 50 ETFs safe?
Nifty 50 ETFs invest in equity and equity-related securities of companies part of the Nifty 50 index. As they invest in equity, they are categorised as a high risk investment and are not suitable for risk averse investors.
What are the benefits of Nifty 50 ETFs?
Nifty fifty ETFs are suitable for long-term wealth creation. Investors seeking investments in equity and equity-related securities are suited to such funds. ETFs allow for intra-day trading, they may have lower expense ratios and provide flexible trading options.
What are the disadvantages of Nifty 50 ETFs?
Nifty fifty ETFs are subject to market risk. They are vulnerable to market volatility. Investors cannot invest in ETFs via SIP. Such funds may not be suitable for salaried income individuals seeking monthly savings and wealth creation.
Who should invest in Nifty 50 EFTs?
Nifty 50 ETFs are a high-risk investment option and are suitable for investors with a high-risk appetite. Investors seeking long-term wealth creation may invest in Nifty Fifty ETFs to meet their long-term goals. Lastly, Nifty ETF funds are suitable for investors seeking investments in equity and equity-related securities of the top 50 companies in India.