Types of ETFs
Types of ETFs available for investment
Market ETFs: Designed to track a particular index like the BSE Sensex or NSE Nifty.
Bond ETFs: Designed to provide exposure to virtually every type of bond available; Government of India Bonds, corporate, municipal, international, high-yield bonds,etc.
Sector and industry ETFs: Designed to provide exposure to a particular industry, such as oil, pharmaceuticals, or high technology.
Commodity ETFs: Designed to track the price of a commodity, such as gold, crude oil,etc.
Style ETFs: Designed to track an investment style or market capitalization focus, such as large-cap value or small-cap growth.
Foreign market ETFs: Designed to track non-Indian markets, such as Japan’s Nikkei Index or Hong Kong’s Hang Seng index, etc.
Inverse ETFs: Designed to profit from a decline in the underlying market or index.
Actively managed ETFs: Designed to outperform an index, unlike most ETFs, which are designed to track an index.
Alternative investment ETFs: Innovative structures, such as ETFs that allow investors to trade volatility or gain exposure to a particular investment strategy, such as currency carry or covered call writing.