HDFC index funds expense ratio doubled in direct plans from 15-Apr-2021

[kj_oregon]

@conroy01 High tracking error . Not worth it even if it has low expense ratio.

 

[greyareagcu]

@kj_oregon It is my first time investing in ETF, so have a basic question

To counteract the spread, why cant we place a limit order with the real-time nav and wait for Market makers to fulfill the order?

 

[kj_oregon]

@greyareagcu You can .. But you need to spend lots of time checking the iNAV (indicative NAV updated at real time . Can be seen in mutual fund sites like https://etf.nipponindiaim.com/ ) and then place order exactly at that point. Since iNAV changes every second due to market fluctuation , you will end up spending whole day watching and changing your order limit price. It is just a pain to do these ! Not worth it - Best is to invest in Index funds rather than getting worried about these !

 

[dksigsys]

@james76 Any alternative to hdfc sensex fund.

 

[pushkin]

@dksigsys ICICI SENSEX Index Fund is pretty good.

 

[cathb]

@dksigsys Tata at 0.05% ter

 

[youthlovingrn]

@cathb Tata one has high tracking error.

 

[cathb]

@youthlovingrn Yes, but if you're on a sip and in it for long term then the tracking error should balance out.

 

[vz2011]

@cathb For 1 year??

 

[cathb]

@vz2011 10-15 years. Maybe 20

 

[resjudicata]

@dksigsys UTI at 0.1% TER

 

[marodi]

@james76 learnt about index funds some days ago

was making my mind to invest in HDFC nifty 50

 

[pinky1993]

@james76 I stay away from anything operated by big banks.

 

[teofrastus]

@pinky1993 Why's that?

 

[legroom]

@james76 With HDFC and UTI both increasing their TER, what would be an alternate AMC to look forward to?

 

[closer42]

@legroom ICICI is still at 0.1 % for now as far as I know, but if HDFC and UTI are increasing, then they might also follow suit

 

[closer42]

@james76 Hi Guys,

In light of this info, if I were to move out the investments from HFDC to any other cheaper option, what would be the tax implications can anyone help? All of my lumpsum investments in them are less than a year old. What would be the long term consequences of staying vs going? If anyone can help I'll be grateful.

 

[teofrastus]

@closer42 Find the answer?

 

[dave3b]

@james76 But why?

 

[rawritsmnm]

@james76 Why do ppl buy this instead of nifty bees???