Tracking Difference in ETFs and Index Funds

 As we all know, an index fund is a type of mutual fund or exchange-traded fund (ETF) with a portfolio constructed to match or track the components of a financial market index, such as the Nifty 50 Index.

Tracking difference is the discrepancy between Index Fund/ ETF performance and index performance.

Below is the ETFs and Index funds with high tracking error. 

ETF Tracking Error

The above tracking error is since inception. ETFs and Index funds are considered to be low cost, but in here in India, the tracking difference are quite high and add to that expense ratio, the total works out to over 1-3% and higher in certain cases.  These ETFs and Index funds are no longer low-cost as one would expect them to be. 
Posted in  on February 25, 2024 by  |  

NSE IINVEST - new Investor Portal

National Stock Exchange (NSE) in collaboration with Cogencis Information Services Ltd has launched Beta version of Investor Portal  to help investors make informed decisions.

The portal aims to provide an easy-to-use and intuitive interface to navigate seamlessly for seeking information about listed companies. The system will aggregate information from publicly available relevant and reliable sources. 

The portal will also provide investors with a tool to conduct due diligence, track the market performance and screen for information.


Key Features of the portal:

1. Real Time Updates: Up-to-the-minute data in terms of key indices, stock movements, latest news, upcoming IPOs etc. for making informed decisions.

2. User Friendly interface: An intuitive interface that makes navigating the portal seamless, catering to both seasoned investors and those new to the market to engage with the information, charts and graphs, enhancing the overall user experience.

3. Comprehensive Data Sets: Access to a vast array of financial and non-financial datasets such as company information, ownership data, Director/KMP details, financial information, legal dispute data like litigation, charges etc.

4. Analytics tools: Portal designed to empower investors by offering flexibility to access their preferred contents and custom based screeners.

NSE launches Nifty 50 Net Total Return Index

NSE Indices launched a new variant of the Nifty 50 index named Nifty 50 Net Total Return (NTR) index.

The Nifty 50 Net Total Return index aims to measure the performance of the Nifty 50 index considering that the cash dividends and the gains from bonus issues are reinvested in the Nifty 50 index after applying relevant withholding tax and capital gains tax respectively.


Nifty 50 PRI - Price Return Index - reflects the performance of the index. Current Nifty 50 PRI - 20855.

Nifty 50 TRI - Total Return Index - Nifty 50 PRI + dividends. Current Nifty TRI - 30646.

Nifty 50 NTR - Net Total Return Index - Nifty 50 TRI minus withholding tax and capital gains tax. Data to be updated.

The Nifty 50 Net Total Return index will be computed in two currencies Indian rupee (INR) and US dollar (USD).

The newly launched index will appeal to international investors looking to invest in the Indian equity market, giving a better picture of Nifty 50  real returns.