Zerodha Nifty 100 Exchange Traded Fund

Zerodha Nifty 100 Exchange Traded Fund is a type of exchange-traded fund that aims to closely track the performance of the Nifty 100 Index, which comprises the top 100 companies listed on the National Stock Exchange of India based on their market capitalization. The primary function of this ETF is to offer investors a diversified exposure to the large-cap segment of the Indian equity market. By simulating the performance of the Nifty 100 Index, it provides an efficient, low-cost method for investors to gain exposure to a broad market segment without the need to purchase individual stocks. The Nifty 100 covers major industries and sectors within the Indian economy, including technology, financial services, energy, and consumer goods, making it an essential tool for measuring the overall health and sentiment of the market. As a passive investment vehicle, the ETF typically enjoys lower management fees compared to actively managed funds. This ETF plays a significant role in the Indian financial market by enhancing portfolio diversification and offering liquidity that facilitates trading throughout market hours, allowing for strategic adjustments by investors seeking to align with the broader market trends.