The investment objective of the scheme is to provide returns that, before expenses, closely correspond to the total returns of the securities as represented by the S&P BSE SENSEX by holding S&P BSE SENSEX stocks in same proportion. However, the performance of Scheme may differ from that of the underlying index due to tracking error.
- Low cost – Generally, ETF’s have a low expense ratio compared to other actively managed mutual fund schemes.
- Provides efficient diversification – The companies in the underlying index are spread across wide spectrum of sectors and are beneficial for an investor who is interested in building in a well diversified investment portfolio. Also these companies are core to the India Growth Story.
- Easy to invest and sell – Investors wishing to invest & sell can do so anytime during the market hours as SBI-ETF SENSEX is listed on the stock exchange.
- RGESS eligible scheme - Investment in SBI-ETF SENSEX is eligible for tax benefits under RGESS (Section 80CCG of the Income tax Act) for eligible investors.
Suitable for :
- First time investors
- Investors who have a view on the stock market
- Other retail investors for passive asset allocation
- RGESS eligible investors*.
*Tax benefit available under Section 80CCG of the Income Tax Act to a new retail investor and whose gross total income is less than or equal to Rs. 10 lakh subject to conditions mentioned in notification no. 51/2012 dated November 23, 2012 issued by Department of Revenue, Ministry of Finance. Investors are requested to read the notification issued Ministry of Finance and consult their tax / financial consultant before taking any decision of investments.