ETF (Exchange Traded Fund)
A mutual fund that trades on an exchange like a stock, throughout the day.
ETFs hold a basket (often an index) and their units are listed on NSE/BSE. You buy and sell them through your demat account at intra-day prices, not at end-of-day NAV. Indian ETFs include Nippon ETF Nifty BeES, ICICI Prudential Gold ETF, and HDFC NIFTY 50 ETF. Expense ratios are usually lower than equivalent index funds, but you also pay brokerage on every trade and the on-screen price can drift slightly from the underlying NAV (premium or discount).
Inside Finlo
A 60-second lesson that puts this term in context, alongside the others, lives inside the Finlo app.