Exchange Traded Funds (ETFs) have become an integral part of India’s investment landscape. For many Indian investors, the term ETF has long been synonymous with Nifty BeES, India’s first exchange-traded fund.
Nippon India ETF offerings extend far beyond Nifty BeES. Over the years, the AMC has built one of the largest and most diverse ETF platforms in India. In this blog, we will explore why Nippon ETFs are more than just Nifty BeES.
Why Nippon ETFs Are More Than Just Nifty BeES
Several reasons support the claim that Nippon ETFs are more than just Nifty BeES. Some of these are:
Sector-Specific Exposure
Nifty BeES share price leads the ETFs space with products like Nippon India ETF Nifty IT (ITBeES), Nifty Bank ETF, and Nifty Pharma ETF. These allow investors to tap into specific growth sectors within the Indian economy. For example, ITBeES provides targeted exposure to top IT companies, which is a vital choice for investors who believe in India’s growing tech dominance but want to avoid broader market volatility.
Commodity Exposure Through ETFs
Nippon India is among the few AMCs offering commodity ETFs, such as Nippon India ETF Gold BeES. This gives investors an efficient way to invest in gold without dealing with storage, purity, or liquidity concerns. By adding gold ETFs, investors can hedge against inflation and market volatility.
Liquidity and Market Leadership
Nippon India has established itself as a leader in India’s ETF market. Its ETFs often have higher trading volumes than its peers, ensuring investors can enter and exit positions with ease. Liquidity is a critical factor in ETFs, and Nippon’s dominance in the ETF segment gives it an edge over smaller players.
Debt ETFs for Conservative Investors
Unlike many ETF providers focused exclusively on equities, Nippon India offers government securities ETFs and liquid funds, such as Nippon India CPSE Bond Plus SDL ETF, which enables conservative investors to participate in passive investing while mitigating the overall risk in their portfolio. These debt ETFs serve as core holdings for risk management or as alternatives to traditional fixed deposits.
International Exposure
Nippon India also provides ETFs tracking global indices (like the Nasdaq 100), allowing Indian investors to invest overseas through domestic platforms. These international ETFs enable diversification beyond the Indian market and let investors participate in the growth of leading global tech giants. Products like Nippon India ETF Hang Seng BeES open doors to Asian equity opportunities, underscoring the brand’s vision to provide exposure across global economic leaders.
Access to Smart Beta and Factor Investing
Nippon India has also launched ETFs based on smart beta indices, such as value, momentum, and low volatility. These offer investors a rule-based, cost-efficient way to capture market anomalies while maintaining transparency. Such ETFs appeal to investors who want more than just exposure to the stock market and are looking to benefit from factor-based strategies.
Cost-Effective Wealth Creation
Like Nifty BeES, all Nippon ETFs share one major advantage: they all have low expense ratios. This makes them ideal for long-term investors who want to reduce costs and improve compounding. Over decades, even a 1% cost difference can significantly alter portfolio outcomes.
Final Thoughts
While Nifty BeES remains iconic, Nippon India’s ETF range has grown far beyond a single product. From broad-market exposure to sectoral themes, from commodities to debt, Nippon ETFs today provide a comprehensive suite for building a modern, diversified portfolio.
For investors, Nippon ETFs are more than just Nifty BeES. They represent a versatile, cost-efficient, and accessible way to participate in India’s evolving markets. Whether you’re a beginner or a seasoned investor, there’s likely a Nippon ETF that fits seamlessly into your investment strategy.