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PERFORMANCE, LIQUIDITY AND PRICING EFFICIENCY OF EXCHANGE TRADED FUNDS IN INDIA: AN EMPIRICAL ANALYSIS OF NSE-LISTED ETFs

📘 Volume 14 📄 Issue 3 📅 March 2026

👤 Authors

Kiran Mathapathi, Dr. Chidananda. H. L 1
1. School of Economics and Commerce, Commerce, CMR University, Bengaluru

📄 Abstract

This study analyzes the performance, risk-adjusted returns, liquidity dynamics, and pricing efficiency of Exchange Traded Funds (ETFs) on the National Stock Exchange (NSE) of India. The study analyzes cross-sectional data from 313 ETFs to assess short-term and long-term return patterns, deviations of premiums/discounts from NAV, variations in asset-class performance, and return determinants via regression analysis. Descriptive data indicate significant variability in annual returns, especially among commodity-based ETFs. The Sharpe ratio demonstrates robust risk-adjusted performance throughout the ETF landscape. Independent sample t-tests validate statistically substantial return disparities between Gold and Silver ETFs. Correlation and regression analysis reveal liquidity as a crucial factor affecting ETF performance, although price discrepancies exhibit minimal impact. The findings underscore the efficacy and increasing sophistication of India’s ETF market, while accentuating the significance of liquidity in performance assessment.

🏷️ Keywords

Exchange Traded Funds Risk-Adjusted Returns Sharpe Ratio Liquidity Premium/Discount NSE India

🔗 DOI

View DOI - (https://doi.org/10.36713/epra26393)

📚 How to Cite:

Kiran Mathapathi, Dr. Chidananda. H. L , PERFORMANCE, LIQUIDITY AND PRICING EFFICIENCY OF EXCHANGE TRADED FUNDS IN INDIA: AN EMPIRICAL ANALYSIS OF NSE-LISTED ETFs , Volume 14 , Issue 3, March 2026, International Journal of Indian Economic Light(JIEL) , DOI: https://doi.org/10.36713/epra26393

🔗 PDF URL

https://cdn.epratrustpublishing.com/article/202603-11-026393.pdf

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