Skip to main content

Nifty Bees - Update

niftybeesNifty Bees is the first Exchange Traded Fund (ETF) in India launched by Benchmark Funds. The NSE Code is NIFTYBEES. Recently I have been receiving many email queries from our regular visitors about whether one can trade, take delivery and so on. This update is to clarify their doubts and add some more details about it.

Nifty Bees is just the replica of the NSE Nifty Index which is currently at 4700. It is 1/10th of the value of the index, quoting at 470. It is as simple as that.

Now the question is, can anyone trade or take delivery of this, just like any other stock?
Definitely one can trade or take delivery just like any other stock. Since Nifty Bees is primarily an investment product, it is wise to take delivery rather than trading intraday.

So now the next question is - when to buy and how much to buy?

Instead of timing the market,like I will buy at 15k or 12 K, it is better to buy in a systematic manner. Systematic Investment Plan - as the name suggets, Invest a certain fixed amount every month and take delivery of the units/shares.

Features of Nifty Bees:

1.You can buy the market as a whole.
2.You can buy 1 unit also.
3.After you have bought , just like stocks it will be available in your DMAT Account.
4.You can sell them any day.
5.You need not worry about buying and selling stocks.

Some not-so-exciting features:
1.You wont get 20%-30% upmoves in a day, like in stocks. (Other than a Blackswan upfreeze ! )
2.Moderate returns.

Going by all these features , Nifty Bees is a good investment product and it is a simple way for small investors to participate in equity markets.

You can also read the previous article here - What is Nifty Bees ?


  1. Wonderful article, the retail investor can enter and exit and catch the moves of the higly volatile index.

  2. it's a really nice post and article friend,thanks for sharing!!!!

  3. Can any one Say the brokerage for ETF? Is this just like equity brokerage? Can it be traded intraday?

  4. Yes, the brokerage for ETF is just like equity brokerage.
    It can be traded intraday, though not advised.

  5. Can we short it?

  6. No you cannot short it, since this is a delivery product and not futures.
    Of course, you can short it on intra-day basis and cover the same day.


Post a Comment

Popular Posts

Your Bill Amounts Are Going To Increase From June 1, 2016

Service tax is a tax levied by the government on service providers on certain service transactions, but is actually borne by the customers. It is categorized under Indirect Tax and came into existence under the Finance Act, 1994. Union Finance Minister, Arun Jaitley, in his budget announcements proposed to impose a cess, called the Krishi Kalyan Cess, @ 0.5% on all taxable services. The present rate of service tax will be hiked to 15 per cent from June 1, 2016, from 14.5 per cent. Take a look at what gets expensive:

Phone Bills: Your phone bills are going to go up. So, pay a good 15 per cent now on service tax on phone bills.

Restaurant Bills :If you are dining in a restaurant that already has service tax applicable, you are going to pay more on your eating out. Though 0.5 per cent on a single bill may not mean much, frequent diners may end-up paying a lot during the year.

Travelling: You will have to pay more for air travel, as there is a service tax on tour operators and travel agents.

NSE Level 3 Data

Before we get into details of NSE Level 3 Data, it is important to first understand the basic operations of the stock market.  All publicly traded equities have a bid price and an ask price when they are bought and sold. The bid is the highest price a trader( or an investor) is willing to purchase a stock. The ask is the lowest price in which he is willing to sell a stock.

Depth of the Market(DOM):Looking at a Level 1, Level 2 or Level 3 quotes can give a trader, a basic idea of how a stock is performing at any given time.

Level 1 Market Data provides the basic market data which includes Bid price, Bid size, Ask price and Ask size.

Level 2 Market Data provides more information than Level I data. Mainly, it doesn't just show the highest bid and offer, but also shows bids and offers at other prices. Now level 2 provides market depth data upto 5 best bid and ask prices.

Level 3 Market Data provides market depth data upto 20 best bid and ask prices .  This primarily used by brokers and ma…

Moneycontrol Terminal - Streaming Live Quotes

Moneycontrol has introduced a new feature Moneycontrol Terminal - an enhanced version of real time price updates. Though there were live quotes provided by the website previously, the present form  gives a better update of live quotes of indices and stocks.

This terminal provides live streaming quotes for both NSE and BSE free. It also provides quotes for most of the indices and also the constituents/stocks of the indices in BSE and NSE.  The terminal also provides live news and other market news, which might be useful for traders. The hardware recommended is minimum of 1 GB RAM.

It would be better if stock of any choice could be added ( market watch of a set of stocks ), which would be easier to track one's trading positions. Anyway, this is a better alternative for people who don't have access to any trading software, to view live action of the markets.

You could just try the same here at Moneycontrol Terminal