Banking BeES

Banking BeES-In the past we have gone through some of the hottest selling Exchange Traded funds life Nifty BeEs and Nifty Junior BeES. Both of them are kind of diversified funds which consist stocks from various sectors. Today we are going to walk through another Exchange Trade Funds which is extremely popular and gaining even more popularity.

Banking BeES have been doing well because banking stocks have been doing very well in last two years. And though Indian economy is still haunted by inflation and related issues, but these stocks are still extremely lucrative. But like I mentioned inflation, rate hikes and global economy does impact banking sector, it is very difficult for an average investor to pick correct banking stocks.

Banking BeES value is affected by the value of the banking shares. There are lot of factors which affect the health of a bank like current interest rates, asset quality etc, so they are more complex to study and understand for a average investor. One of the best way to invest in them is through mutual funds and Exchange traded funds.

Banking Index funds are one of the best funds available in the current Indian stock market. Banking index benchmark Exchange Traded scheme is one of the best index traded fund for banking and it has consistently yielded extremely good returns for the investors.

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Index Traded Funds – Nifty Junior BeES

Index Traded Funds – Nifty Junior BeES–In the last few post we have seen how Exchange Traded Funds are very good tool to invest in stock market with relatively lesser risk than picking individual stocks and ease of trading it like stocks on stock exchanges. ETF are extremely good for short term because if market rises than then they too will appreciate accordingly.In the past we have gone through Nifty BeES, today we will look into Nifty Junior Benchmark Exchange Traded Fund.

Index Traded Funds – Nifty Junior BeES is one of the best Exchange traded funds available in Indian market. It was launched on February  14, 2003. It is a open ended ETF with 0.00 per cent Entry and Exit load. Though your broker will charge some amount as brokerage and other related charges for their services. Please check with them for details on charges.It comes from Benchmark Mutual Fund house.

Index Traded Funds – Nifty Junior BeES  has consistently given excellent returns since its inception.

Returns (as on Apr 15, 11)
Period      Returns (%)    Rank #
1 mth       7.9                   3
3 mths     3.4                   6
6 mths    -10.7                 40
01 year     6.9                  35
2 year       50.5                5
3 year       11.0                5
5 year       11.9                5
# Moneycontrol Rank within 44 Equity Index Schemes* Returns over 1 year are Annualised

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Index Traded Fund – Nifty BeEs

There are multiple methods and modes of investment in stock markets. Traditionally, it was directly by purchasing and selling stocks at the stock exchanges. Then came mutual funds and they had been very popular among investing community. Investors loved the mutual fund because of the ease it offered in terms of the security, consistent returns and relief from tracking the stock markets and individual stocks.

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