ZEE Business
ZEE BUSINESS
हिंदी में पढ़ें  हिंदी में पढ़ें
Live TV
Live TV
  • India
    • Economy
    • Politics
    • Markets
  • World
    • Economy
    • Politics
    • Markets
  • Companies
    • Auto
    • Banking & Financial Services
    • Pharma
    • Energy
    • Infrastructure
    • Media
    • IT
    • Telecom
    • Consumer Products
    • Aviation
    • FMCG
  • Personal Finance
    • Income Tax Calculator
    • Personal Loan Calculator
    • Car Loan Calculator
    • Home Loan Calculator
  • Mutual Funds
  • Technology
  • Automobile
    • Cars
    • Bikes
  • Small Business
    • SME
    • Startups
  • videos
  • photos
  • Authors
  • More ...
    • VIDEOS
    • PHOTOS
    • AUTHORS
Home » India News

Bharat-22 ETF good investment option with better returns, says Angel Broking Fund Manager

Bharat-22 ETF opened today for anchor investors and was announced in the FY18 budget as a part of the government's disinvestment plan.  

  • Twitter
  • Facebook
  • GPlus
Bharat-22 ETF good investment option with better returns, says Angel Broking Fund Manager
Photo of Mayuresh Joshi, Fund Manager, Angel Broking. Image Source: Angel Broking
By ZeeBiz WebTeam
Updated: Wed, Nov 15, 2017
11:24 am
Mumbai, ZeeBiz WebDesk
RELATED NEWS
As Sensex plunges over 600 pts, Bharat 22 index least hit; See list As Sensex plunges over 600 pts, Bharat 22 index least hit; See list
Second tranche of Bharat 22 ETF got oversubscribed by 2.3 times, worth Rs 14,000 crore; check out the high bidders Second tranche of Bharat 22 ETF got oversubscribed by 2.3 times, worth Rs 14,000 crore; check out the high bidders
Will Bharat 22 ETF gain favour with retail investors? Will Bharat 22 ETF gain favour with retail investors?
Bharat 22 ETF kicks off today: All you need to know Bharat 22 ETF kicks off today: All you need to know
Bharat 22 ETF's Further Fund Offer kicks off tomorrow; should you invest? Bharat 22 ETF's Further Fund Offer kicks off tomorrow; should you invest?

Key Highlights

  • Bharat 22 ETF opened today till November 17 for anchor investment.
  • Initial issue size for the ETF is Rs 80,000 crore. 
  • A discount of 3% has been offered to all investors.

Bharat 22 Exchange Traded Fund (ETF) which was launched by Union Finance Minister in August this year has now been opened to investors.

The ETF is a part of the government's disinvestment programme, comprising of 22 companies with a 'finance' component. It will remain open to investment till November 17.

"The composition of Bharat 22 ETF is such that only large cap, dividend paying companies are available. There is a good chance that the government could offer a discount to retail investors like it did during the new fund offer and follow-on offer of CPSE ETF. Hence, Bharat 22 is a good investment option for individual investors who want to make a long-term investment and reap better returns from the stock market without buying shares directly,” said Mayuresh Joshi, Fund Manager, Angel Broking.

An ETF is a marketable security that tracks an index, a commodity, bonds, or a basket of assets like an index fund. Unlike mutual funds, an ETF trades like a common stock on a stock exchange. 

The initial issue size for the ETF is Rs 80,000 crore and a discount of 3% has been offered to all investors.

“The ETF - Bharat 22 is an interesting composition of mostly profit-making, dividend paying public sector companies and some shares of blue-chip companies like ITC, Larsen & Toubro, GAIL, ONGC, NALCO, BOB, Axis Bank held under the Special Undertaking of Unit Trust of India or SUUTI. The ETF is a diverse mix of companies within the energy, financials, FMCG and Utilities space and though some of the individual components within the ETF might be having some softness in reported numbers, the basket looks spread out across industries thus reducing a sector/stock risk," Joshi added.

No sector on the index has more than a 20% weightage on the Bharat 22-ETF. A stock capping of 15% is also placed on the index.

The finance sector included companies like - State Bank of India, Axis Bank, Bank of Baroda, Rural Electrification Corporation, Power Finance Corp and Indian Bank. 

FMCG companies namely, ITC, Bharat Electronics, Engineers India and NBCC formed 22.6% share. 

Globally there were $4 trillion worth Assets Under Management (AUM) which were expected to touch $7 trillion by 2021.

"ETFs are a relatively safer long term investment avenue as they can spread their risk across quality companies. Even fund managers of long-term term savings funds prefer ETFs, hence, there is no reason for individual investors to stay away from it," Joshi said.

जानिए Bharat 22 ETF में कैसे करें निवेश . #Bharat22etf pic.twitter.com/6yE7scsIKQ

— Zee Business (@ZeeBusiness) November 15, 2017

TAGS:
Bharat 22 ETFBharat 22 Exchange Traded FundDisinvestment planETFpublic sector companiesMarketsEconomy
RELATED NEWS
As Sensex plunges over 600 pts, Bharat 22 index least hit; See list As Sensex plunges over 600 pts, Bharat 22 index least hit; See list
Second tranche of Bharat 22 ETF got oversubscribed by 2.3 times, worth Rs 14,000 crore; check out the high bidders Second tranche of Bharat 22 ETF got oversubscribed by 2.3 times, worth Rs 14,000 crore; check out the high bidders
Will Bharat 22 ETF gain favour with retail investors? Will Bharat 22 ETF gain favour with retail investors?
Bharat 22 ETF kicks off today: All you need to know Bharat 22 ETF kicks off today: All you need to know
Bharat 22 ETF's Further Fund Offer kicks off tomorrow; should you invest? Bharat 22 ETF's Further Fund Offer kicks off tomorrow; should you invest?

LATEST NEWS

LIC launches Micro Bachat plan with assured sum of Rs 2 lakh: Check benefits

Investing for girl child? This option is better than Sukanya Samruddhi Yojana

Warren Buffett's top 5 investment tips to become rich fast

Gully Boy Box Office Collection: Rs 100 cr club! What Ranveer Singh-Alia Bhatt movie collected in domestic, overseas market

Gold futures up Rs 12 on global cues

After RBI, UPI-operator NCPI warns about 'AnyDesk' app fraud: How your money is robbed and how to save it

How to open FD in SBI online at onlinesbi.com or sbi.co.in

Mumbai to Bengaluru airfare alert! Jet Airways, SpiceJet, Indigo flight tickets jump by 346% to 638% on Tuesday

KV Recruitment 2019: Last date alert! What Kendriya Vidyalaya jobs aspirants must know

Total Dhamaal Box Office Collection Prediction: Will it create magic at BO? What will be Gully Boy impact on it?

  • India News
  • World News
  • Companies News
  • Market News
  • Personal Finance News
  • Technology News
  • Automobile News
  • Small Business News
  • Income Tax Calculator
  • Live TV
  • Videos
  • Photos
  • Author
  • Rss Feed
  • Advertise with us
  • Privacy Policy
  • Legal Disclaimer

Latest Trending Updates

  • Amazon Prime Day
  • Income Tax
  • Bharti Airtel
  • NPA
  • Home Loan

Trending Topics

  • Farm Loans
  • 7th Pay Commission
  • Sanitary Pads
  • National Stock Exchange
  • GST

Follow us on

zeebiz
zeebiz

Partner Sites

  • Zee News
  • Hindi News
  • Marathi News
  • Bengali News
  • Tamil News
  • Malayalam News
  • DNA
  • WION
Copyright © Zee Media Corporation Ltd. All rights reserved