Finance & Stock Market
Uncertain about which stocks to purchase following the election results? Why not purchase the whole Nifty


By Kajal Sharma - 07 Jun 2024 12:51 PM
Citing a low expense ratio and outperformance of traditional mutual funds, analysts advise long-term benefits from investing in Nifty 50 ETFs in systematic withdrawal plan (SIP) mode. Nifty 50 ETFs continue to have a promising long-term outlook, notwithstanding recent volatility.Given the unpredictable behavior of the stock market after the BJP, led by Prime Minister Narendra Modi, was upset in the elections, analysts suggest starting SIP investments in Nifty 50 ETFs."ETFs provide investors with the best of both worlds by having a low expense ratio and the ability to liquidate the funds, much like listed securities." Furthermore, even while there may be some short-term volatility in the market, Nifty 50 ETFs continue to have a promising long-term outlook. This is because, over time, a sizable portion of ETFs typically outperform conventional mutual funds," stated Shruti Jain, CSO of Arihant Capital.Following a 6% decline following the election results, the Nifty 50 hit an all-time high on Monday and is currently beginning to recover. The average return of the Nifty 50 ETF during the previous five and ten years has been approximately 14.68% and 12.70%, respectively.
These results suggest that investing at any time will yield favorable long-term returns."The Nifty 50 ETF is a great long-term investment vehicle. The Nifty 50 ETF enables you to invest in and diversify your holdings across the top 50 NSE stocks based on market capitalization. These stocks have a high degree of liquidity and low volatility, which implies that there is a lot less danger when making long-term investments in them. Although market fluctuations are inevitable, the Nifty 50 ETF has long displayed an upward trend. Kotak Mutual's Satish Dondapati is an ETF fund manager.