Edelweiss Exchange-traded Schemes (EES) endeavours to usher in a different perspective on the way ETFs are traded in the country. Based on feedback collected from a cross section of industry participants, the EES range focuses on making the ETFs…
- Economical : Since liquidity stands out to be a primary requirement for the investor, the endeavor would be to provide sufficient liquidity at a competitive price
- Efficient: Investors generally look for finer spreads while conducting trades. With the pedigree the parent group enjoys in capital markets, the endeavor would be to keep the spreads on the lower side
- Simple: For the first time in the country, the price of the ETF will be similar to the actual price of the underlying index, and not at a fraction of what it is currently being offered at. This makes things very simple and convenient for the investor while conducting trades
The first product launched under the auspices of the EES umbrella is the NIFTY EES, benchmarked on the CNX Nifty. Currently one of the most popular indices and the bellwether of the Indian capital markets, the NIFTY is the first port of call for any ETF provider. Edelweiss NIFTY EES, apart from aiming to provide an economical and efficient avenue, will also mimic the Nifty price in it’s ETF.
Speaking on the development, Mr. Vikaas M Sachdeva, CEO, Edelweiss Asset Management Ltd. said, “The Indian ETF industry is currently at an inflection point. With increasing interest coming in from the institutional players, as well as the government’s stated intent to use ETFs as a disinvestment vehicle, we believe that the industry is set to grow exponentially in the years to come. At Edelweiss, we are excited about the opportunities this segment provides and therefore treat it as a separate business line, instead of an additional product”