Equity asset allocation through ETFs
Wealth Insight|January 2022
ETFs can be added to your portfolio to complement the active counterparts and build a diversified portfolio
Equity asset allocation through ETFs

The ETF popularity has been surging in India. While the majority of ETF investments in India are still routed through the institutional path, retail investors have also startedtaking an interest in these passive investment avenues. This is because over the past few years, actively managed funds have been struggling to beat their benchmark and investors have to pay a higher fund-management fees for these funds. So, investors are finding the simplicity and low-cost advantage of ETFs quite appealing.

So, in this active–passive debate, are ETFs really better? The answer is not as straightforward as it seems to be. While it’s true that active funds have higher costs, their history of generating outperformance over the benchmarks can’t be entirely overlooked, especially in the midand small-cap segments.

Diese Geschichte stammt aus der January 2022-Ausgabe von Wealth Insight.

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Diese Geschichte stammt aus der January 2022-Ausgabe von Wealth Insight.

Starten Sie Ihre 7-tägige kostenlose Testversion von Magzter GOLD, um auf Tausende kuratierte Premium-Storys sowie über 8.000 Zeitschriften und Zeitungen zuzugreifen.