Are new Sebi rules for ETFs, index funds good for you?5 min read . Updated: 05 Feb 2019, 08:46 AM IST
- Passive fund investors are in for more diversified portfolios as Sebi caps on investment in a single stock and defines the minimum number of stocks funds should have
- The risk of concentration that the regulations seek to correct currently exists in some sectoral indices
Earlier this month, market regulator Securities and Exchange Board of India (Sebi) came out with a circular setting out the changes that index funds and exchange-traded funds (ETFs) need to make in their portfolios to reduce the risk of concentration in stocks.
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