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I have heard many times investment in nifty invest in nifty

I have heard many times investment in nifty invest in nifty

I want to what do they exactly mean how to invest in Nifty

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10 Comments

  2. Niftybees = invest in Nifty

    ITbees = invest in IT

    Bankbees = invest in banks

    psubnkbees = invest in PSU banks

    hngsngbees = invest in china /hongkong

    consumbees = invest in consumer stocks

    Mafang = invest in US FAANG companies ( facebook, Apple, amazon, netflix, google ) + nvidia snowflake and few others

    goldbees = invest in gold

    divoppbees = invest in dividendstocks ( but u wont get dividends paid the stock price will just increase accordingly )

    infrabees = invest in infrastructure companies ( i hate this ETF do not buy this, its trash )

    Might have missed a few, but this is basics atleast

    Reply

  5. 📌 There are stocks and then there are mutual funds.

    📌 Stocks are a way to obtain (part) ownership in a business. This is a direct way to get ownership in companies.

    📌 Mutual Funds means a basket of stocks. It is an indirect way to get ownership in companies.

    [You invest in a MF —> MF invests in stocks]

    📌 MF’s are generally less risky as your money is invested in different companies. Even, if a few companies don’t perform well, other companies may deliver better results and hence, your money is safe.

    📌 NIFTY 50 means a collection of stocks of top 50 companies in India. By investing in NIFTY 50, you are technically investing in top 50 companies of the country.

    📌 If a NIFTY 50 company doesn’t perform well and falls down in ranking, then some other company will take its place. So, you’ll always be invested in top 50 companies.

    📌 Many prefer NIFTY 50 as they give decent returns (~15% CAGR over 15 years period) as compared to other funds.

    📌 Also, investing in NIFTY 50 is very cost effective as the MF house doesn’t need to apply brains, do research, pay investment manger salary, etc,. They just have to invest in top 50 companies.

    I hope this helps.

    Reply

  6. This is the answer you are looking for. Here are the options to invest in Nifty 50 –

    1. If you are on Zerodha, or any other stock purchasing platform. Buy NIFTYBEES.

    2. If you are on a mutual fund platform, lets say SBIMF or HDFCFUND or UTIMF, you can look for a mutual fund which has Nifty 50 in the name. Dont buy equal weighted Nifty 50, thats not what you are looking for. Something like Nifty 50 Index Fund is what you need to look for.

    Also, if you invest in Index, invest for a very long term. Long term here means 10 years plus.

    Source – I am myself invested in Index, close to 1.2 Cr. so far, over the last 5 years. I love it. Returns are great. None of my friends are beating my returns. All of them either trade, buy equity or invest via other mutual funds. Legit, none of them have beaten me in the 5 years of timespan. Not showing off, just to motivate you!

    Reply

  12. Nifty refers to NIFTY50 – you can buy ETF or mutual funds that invest in Nifty50.

    There is another post in this thread that details other NIFTY indices that are also available through ETF / Mutual funds.

    Reply

  14. So basically ETFs are mutual funds with a difference that they can be traded just like stocks. Mind you that ETFs are not stocks of the company issuing it, it is a unit of a mutual fund. Unlike mutual funds (most) which are actively managed meaning transactions happen in their portfolios at regular intervals whereas in ETFs it is not. ETFs are designed to mirror the returns of an index which is done by having the same portfolio of companies and their respective weights just like an Index.

    Niftybees whis is issued by nippon india mf and invests in the nifty 50 companies in the same ratio as the index hence enabling the ETF it to move just like the index giving you the returns of the index.

    The benefit of investing in ETFs is that it minimizes the unsystematic risk (company specific risk) or the SD.
    Another benefit is that it has less charges.

    Reply

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