If you are looking to diversify your investment portfolio with a passive yet effective strategy, the smartest choice to make would be to invest in Nifty 50 ETFs. They actually track the performance of the Nifty 50 index-the top 50 Indian companies listed on the National Stock Exchange (NSE). Essentially, they are exchange-traded funds. These ETFs can easily be subscribed to by an investor to gain access to the Indian stock market and thus benefit from the growth potential of this country. Let’s look deeper into the best Nifty 50 ETF list to invest in today.
What Are Nifty 50 ETFs?
Before getting into the best Nifty 50 ETF list, let’s know what they are. The ETFs based on Nifty 50 have been devised to mimic the performance of that index. This index comprises a diverse group of large-cap companies that fall in the categories of technology, finance, healthcare, and energy. Such ETFs come with liquidity, a low expense ratio, and complete transparency, thereby being very much in favor among new investors as well as the veteran ones.
Why Invest in Nifty 50 ETFs?
Investing in Nifty 50 ETFs provides various benefits like:
- Diversification: It give exposure to top 50 companies listed in stock market.
- Low Costs: ETFs are cost effective as they have low maintenance fees.
- Liquidity: They are highly liquid, which allows for prompt buying and selling.
- Transparency: The performance of these ETFs is publicly available as they track a major index.
- Tax Efficiency: ETFs are basically more tax-efficient as compared to mutual funds.
With that said, let’s take a look at the best Nifty 50 ETF list to invest in right now.
Best Nifty 50 ETF List to Invest in now.
Here’s a curated list of the best Nifty 50 ETFs that investors should consider for their portfolios:
- Nippon India Nifty 50 ETF
- Nippon India is one of the most commonly used Nifty 50 ETFs in India. This ETF has a low expense ratio and at the same time provides a wide range of coverage to the Nifty 50 index.
- ICICI Prudential Nifty Next 50 ETF
- For those who want to invest in the next 50 out of the Nifty 50, this is rather a good option. This makes it a slightly more growth oriented option.
- HDFC Nifty 50 ETF
- This is one of the reputable asset management companies in India who manage this ETF that is popular due to its strong track record.
- SBI Nifty 50 ETF
- This is among the biggest and most liquidly traded ETFs in India with this fund also providing a reasonable return.
- Kotak Nifty 50 ETF
- With a low expense ratio, this ETF is one of the best methods to passively invest in that Nifty 50 index.
- UTI Nifty 50 ETF
- This ETF has received importance over the years because of its low tracking error and its stability over this period.
- Motilal Oswal Nifty 50 ETF
- This ETF owned and managed by Motilal Oswal, one of India’s leading asset managers, has great historical performance, while also being fairly liquid.
- ABSL Nifty 50 ETF
- The primary objective of the fund is to track the performance of the Nifty 50 index while enabling investors to broaden their investment base without incurring high costs.
- Reliance Nifty 50 ETF
- This ETF is aptly known because it provides good returns to investors and gives them a chance to invest in lots of blue-chip stocks for pretty less.
- Franklin Templeton Nifty 50 ETF
- The fund can be relied on for its past performances as it has always managed to maintain returns and is thus very suitable for an investor who will look for good returns over the long term.
- DSP Nifty 50 ETF
- A well-managed and competitively priced expense ratio makes this superb ETF just right for your Nifty 50 exposure.
- Birla Sun Life Nifty 50 ETF
- Since it is handled by one of the largest financial institutions in India, this ETF is pretty much solid for following the Nifty 50 index.
- L&T Nifty 50 ETF
- This is a low-cost, tax-efficient way of investing in the Nifty 50 index, and it is a very popular option for retail investors.
- ICICI Prudential Nifty ETF
- Yet another one from ICICI, it boasts of its liquidity and easy trading on the NSE.
- Axis Nifty 50 ETF
- A new entrant in the ETF category and performs very well with full disclosure, supported by Axis Asset Management.
- IDFC Nifty 50 ETF
- This ETF is known as the steady performer and exposes you to large-cap stocks in India’s equity market.
- Tata Nifty 50 ETF
- This ETF has a very low tracking error for investors and provides access to the Nifty 50 index at very minimal cost.
- Canara Robeco Nifty 50 ETF
- A well-performing ETF that is popularly known across the industry to be reliable and produce stable returns.
- Mirae Asset Nifty 50 ETF
- The ETF provides impressive performance measures and is credible in the Indian space.
- Invesco India Nifty 50 ETF
- Offers solid liquidity and transparency thus making it really appealing to anyone thinking of investing in Nifty 50 index.
Conclusion
By investing in Nifty 50 ETFs, one can expose oneself to India’s top companies and attain benefits from the long-term growth potential of the Indian economy. The ETFs listed above are some of the best Nifty 50 ETFs that can be invested in at present, and each offers a specific advantage. Choose an ETF according to your individual investment objectives, risk appetite, and the points discussed above. Whether you are a novice investor or a well-versed participant in the world of finance, you can fund your schemes quickly and efficiently using these ETFs.
You have to add one or more of these top Nifty 50 ETFs for your portfolio to build the investment techniques that follow India’s top companies and increase your chances of making a fortune in this country. Be aware, make intelligent decisions, and see your investments flourish!
