Unlike traditional mutual funds, which have high equity exposure but cannot be traded directly on the stock exchange, Exchange-Traded Funds (ETFs) offer a unique advantage. They can track indices, commodities, or asset benchmarks and are bought and sold on stock exchanges like shares.
Investors must have a demat account to trade ETFs. They also enjoy a lower expense ratio compared to actively managed mutual funds. However, ETFs can only be bought or sold during market hours.
This article explores the top 5 ETFs that generated the highest annualised returns over the past year. Let’s see how an investment of ₹1 lakh in each ETF performed during this period.
ETFs have emerged as a compelling alternative for investors seeking exposure to equity indices, commodities, or asset benchmarks while maintaining liquidity. The top-performing ETFs over the past year have demonstrated resilience, particularly those tracking technology stocks and gold prices.
Although past performance is not indicative of future returns, ETFs remain an efficient investment vehicle with lower expense ratios and market credibility. Understanding their performance trends can help investors make informed decisions.
Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.
Mutual Fund investments in the securities market are subject to market risks, read all the related documents carefully before investing.
Published on: Feb 25, 2025, 4:32 PM IST
Team Angel One
We're Live on WhatsApp! Join our channel for market insights & updates
Get the link to download the App
