The National Stock Exchange (NSE) has introduced India’s inaugural website dedicated to passive funds. This platform aims to simplify access to information for retail investors and enhance their understanding of the Indian passive funds market.

The new website, accessible at (http://www.indiapassivefunds.com), offers detailed data on the passive funds sector, including aggregate industry statistics and specific fund information. Users can utilize various screening tools to select funds based on criteria such as underlying index, assets under management (AUM), tracking error, tracking difference, trading volume, total expense ratio (TER), and more. The platform enables investors to compare different funds comprehensively, providing a wealth of information on exchange-traded funds (ETFs) and index funds.

As reported, as of March 31, 2024, the Nifty indices are the benchmark for 145 ETFs listed in India and 16 listed abroad. The concept of passive funds in India dates back to 1999, but the sector has seen significant growth since August 2015.

The website also reveals that the total AUM for passive funds stands at Rs 10.22 lakh crore as of June 2024, with ETFs accounting for Rs 7.79 lakh crore and index funds for Rs 2.43 lakh crore. There are approximately 430 passive mutual funds available, with 1.88 crore folios for ETFs and 75.76 lakh folios for index funds as of March 2024.

Over the past eight years, there has been a notable shift in investment preferences towards passive funds, attributed to their cost-efficiency, transparency, and consistent performance in line with market trends.