nifty etf - what it is and how it works

Ventura Securities Ltd. www.ventura1.com

Over the last five years, most people have lost money in the Indian stock markets.

The BSE Sensex, after making a low of 8040 on March 03, 2009, has recovered to current level of 19600.

However, most shares are still at deep discounts to their highs of 2008, and even to the rate of March, 2009.

On the other hand, there are many stocks that have made new highs over the last two years, pulling the Sensex up with them.


Economy, sectors and market forces change rapidly over a period of time.

While investors generally stick to their portfolio, particularly loss-making portfolio, other companies, industries and sectors outperform the markets.

As most investors do not have access to company or market researches, they often lose on rising industries or sectors of the national and international economies.


Is there a way we could know beforehand which companies are performing better than others?

Is there a way to invest in a company that is well placed in the markets, has good volumes and growth prospects, and has good earnings and price-growth potential?

Is there a way we could get out of a company as soon it faces economic downturn, loses its growth potential?


NIFTY was launched on April 1, 1996. It had a base price of 1000 as on November 3, 1995. Today, the price of NIFTY is around 5942.

Since its inception, NIFTY has given an annual return of 10.89%, which is much more than the rate of inflation, or the return on any other financial product.

Over the last 10 years, NIFTY has given an annualised return of 16%!!!


The CNX Nifty is a well-diversified 50 stock index accurately reflecting overall market conditions.

The reward-to-risk ratio of CNX Nifty is higher than other leading indices, making it a more attractive portfolio hence offering similar returns, but at lesser risk.

CNX Nifty is based upon solid economic research and is well respected internationally as a pioneering effort in better understanding how to make a stock market index.

CNX Nifty Index is computed using free float market capitalization method, wherein the level of the index reflects the total free float market value of all the stocks in the index relative to particular base market capitalization value.


Do you think India can achieve a higher growth rate than the current rate of 5-5.5%? Yes/No

Do you believe Indian urban middle class is growing rapidly both economically and socially?

Yes/No Do you know that India has the largest pool of youth

manpower, with huge earning potential? Yes/No Do you know that India has one of the highest

savings rate in the world? Yes/No Can India become the second highest growing

economy after China, and maybe the first? Yes/No


If most of your answers are Yes, then it’s time to invest in the future, where you will be living rest of your life.

NIFTY ETF is one of the safest and best way to invest in the Indian Stock Markets, with better expected returns than any other financial product.

Gold has already run up a lot in the last ten years, property market is already overheated.

This is perhaps the best time to invest in the stock markets again—systemically and scientifically—through NIFTY ETF.Ventura Securities Ltd.

www.ventura1.com

NIFTY, like Gold, is traded through ETFs (Exchange Traded Funds.

Each Nifty ETF is equivalent to 1/10th of Nifty e.g. if Nifty is being traded at 5950, you may buy NIFTY ETF at Rs 595 each.

You may gradually build a portfolio of NIFTY ETF by buying at dips or through SIP in Equity option through Ventura Client Web Login.

You may also invest in NIFTY through specific Index Fund Schemes of Mutual Funds.

HAPPY INVESTING!!!Ventura Securities Ltd.

www.ventura1.com

nifty etf - what it is and how it works

Economy & Finance