Exchange-Traded Fund (ETF)
A fund that trades on the stock exchange like a share.
Definition
An Exchange-Traded Fund (ETF) is a basket of securities — often tracking an index like the Nifty 50 — that trades on a stock exchange throughout the day like a single stock. ETFs typically have very low expense ratios.
Example
A Nifty 50 ETF lets you buy exposure to India's 50 largest companies in one trade, at a fraction of an active fund's cost.
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