Niftybees

Views, ideas, tips, suggestions, guidance regarding the NIFTYBEES will be appreciated. I request all the seniors, veterans, experienced to throw some light on NIFTYBEES.

Is it a good idea to swingtrade NIFTYBEES. I would like to know the brokerage charge and all the other charge for NIFTYBEES. I heard that the brokerage charges for NIFTYBEES are very less compare to scripts. Your views on this will be appreciated.

Thanks in advance!!!

Can u please give a small write-up on WHAT IS NIFTYBEES pls.

Thanks.

Nifty BeES

Nifty BeES, the first ETF in India, is being introduced by BENCHMARK, an Asset Management Company on January 8, 2002.

Nifty BeES trades on the Capital Market segment of NSE. Each Nifty BeES unit is 1/10th of the S&P CNX Nifty Index value. Nifty BeES units are traded and settled in dematerialised form like any other share in the rolling settlement.

ISIN code INF732E01011
NSE symbol NIFTYBEES
Series EQ
Reuters code NBES.NS
Face value Rs. 10


Benchmark Mutual Fund calculates and disseminates real-time NAV for Nifty BeES on its website www.benchmarkfunds.com and on Reuters Page BEES01.

For further details you may visit the website www.benchmarkfunds.com

Advantages of Nifty BeES

* Nifty BeES is Simple: Nifty BeES can be bought / sold like a share through any NSE terminal at prices available on the screen. The underlying portfolio of Nifty BeES very closely replicates that of the S&P CNX Nifty. Hence, Nifty BeES tracks the movement of S&P CNX Nifty.


* Nifty BeES is Economical: Nifty BeES is a no load scheme. The annual expense ratio including management fees is a maximum of 0.80% of the Daily Average Net Assets, which is one of the lowest for any mutual fund scheme in India. The costs reduce further to 0.65%, for assets over Rs.500 crore.


* Nifty BeES is Convenient: As it is listed and traded on the NSE, Nifty BeES can be bought / sold throughout the trading day just by a call to your broker. This gives you the power to react swiftly to changes in the market. You can even place limit orders. Nifty BeES can be held in your DP account with other portfolio holdings.


* Nifty BeES is Liquid: The structure of Nifty BeES attracts liquidity from various sources such as buying / selling by investors, arbitrage with index futures, arbitrage by authorized participants with the underlying shares.


* Nifty BeES is Neutral: The performance of Nifty BeES is simply the result of performance of shares in the S&P CNX Nifty Index and demand & supply in the market. There is no Fund manager bias.


* Nifty BeES is Transparent: As Nifty BeES replicates the S&P CNX Nifty, investors can know at any given point of time where and how much is invested in each stock.


* Nifty BeES gives Instant Diversification: Investing in just one unit gives exposure to fifty shares of the S&P CNX Nifty. This allows investors to spread risk with one single decision.


* Nifty BeES is an Equitable Structure: The unique in-kind mechanism of creating / redeeming Nifty BeES by exchanging a pre-defined portfolio ensures that long-term investors do not bear the cost of short term trading as observed in traditional Open-ended structure. This insulates long-term investors from short-term trading activity.

Kindly go through the website www.nseindia.com----in search type NIFTYBEES and view the quote. click on the ETF section. Navigate to the NIFTYBEES and you will find a whole lot of info about NIFTYBEES

Many big traders use niftybees to write covered calls.

Niftybees is such s slow mover, Imagine buying online from ICICI direct, the brokerage would kill you, Will put you down by around Rs. 4/- (thats 400 points on the nifty) the moment you buy, and and add to that the brokerage one would incur for selling it

:lol::lol:

Hi Umesh,

Thanks for reply. Your views are really a valid point. Brokerage is really killing my profit and I am in -ve now. Might think of mininifty. However I am novice to trading

Niftybees is actual a very good etf to make consistent returns when applied with cover call stretegy. Without risk you get atleast 20% p.a. Returns, provided your broker is not charging you excessively. I have good broker , very famous and always ranked within top ten. Anyone needs guidence , please feel free to post here.

can u explain with exmple?