CameraIcon
CameraIcon
SearchIcon
MyQuestionIcon
MyQuestionIcon
198
You visited us 198 times! Enjoying our articles? Unlock Full Access!
Question

Q. With reference to the Exchange traded fund (ETF), which of the following statements is/are correct?

Select the correct answer using the code given below:

A

1 only
No worries! We‘ve got your back. Try BYJU‘S free classes today!
B

1 and 2 only
No worries! We‘ve got your back. Try BYJU‘S free classes today!
C

2 and 3 only
No worries! We‘ve got your back. Try BYJU‘S free classes today!
D

1, 2 and 3
Right on! Give the BNAT exam to get a 100% scholarship for BYJUS courses
Open in App
Solution

The correct option is D
1, 2 and 3
Explanation:

Statement 1 is correct:
It is a basket of securities that can be traded in stock exchange similar to ordinary shares.

Statement 2 is correct: Compared to mutual funds, ETFs have more liquidity and marketability, as they are tradable in stock exchange.

Statement 3 is correct: The Government of India has decided to use an ETF mechanism to disinvest the shares of public sector companies.

flag
Suggest Corrections
thumbs-up
0
similar_icon
Similar questions
View More
Join BYJU'S Learning Program
similar_icon
Related Videos
thumbnail
lock
SEBI
BUSINESS STUDIES
Watch in App
Join BYJU'S Learning Program
CrossIcon