The Union Government launched BHARAT-22 Exchange Traded Fund (ETF) managed by ICICI Prudential Mutual Fund targeting an initial amount of about Rs. 8,000 cr
Bharat 22 Index comprise of 22 stocks including those of central public sector enterprises (CPSEs), public sector banks (PSBs) and its holdings under the Specified Undertaking of Unit Trust of India (SUUTI)
The sector wise weightage in the Bharat 22 Index is basic materials (4.4%), energy (17.5%), finance (20.3%), FMCG (15.2%), industrials (22.6%), and utilities (20%).
This combination makes the Index broad-based and diversified. It has retirement fund as separate category of Investors.
Exchange-Traded Funds (Etfs)
These are essentially index funds that are listed and traded on exchanges like stocks. They are basically basket of stocks with assigned weights that reflects the composition of an index. They are similar to mutual funds in a certain manner but are more liquid as they can be sold quickly on stock exchanges like shares. The ETFs trading value is based on the net asset value of the underlying stocks that it represents.