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ETFs (Exchange Traded Funds) are passive investment vehicles. They provide direct investment exposure to underlying indexes or commodities such as silver, gold, etc. The Securities and Exchange Board of India (SEBI) requires an ETF to invest at least 95% of its assets in securities in the underlying index.
For a substantial proportion of investors in India, the range of investment options has been limited to risk-free investment instruments. In India, earlier generations viewed asset classes containing any element of risk with skepticism.
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