Exchange Traded Funds or ETFs are securities that are traded like individual stocks on an exchange. Unlike regular open-end mutual funds, ETFs can be bought and sold throughout the trading day like any stock.
The price of a mutual fund scheme is determined by its Net Asset Value (NAV) at the end of a trading day. The price of an ETF fluctuates throughout the trading day as they are traded during the trading hours on a stock exchange.
Most ETFs charge lower annual expenses than many mutual funds. As with stocks, one must pay a brokerage to buy and sell ETF units.
You can buy and sell Gold, Index, Banking or International ETFs online through your Karvy online account.