A STUDY ON

PERFORMANCE ANALYSIS
OF ETF AND INDEX FUND

Faculty Guide: Student’s Name:

Dr. Amit Kumar Sinha Sarthak Agarwal
Professor A7006418056
BBA Sem - VI
1
 Objective of Study
• To know about ETF and index fund, their
history and the benefits and drawbacks of
investing in these funds.
• To analyse the performance of ETFs and
index fund and which fund investor should
choose to invest.
• To analyse the risk and return factor of
ETFs and index fund with the benchmark.

2
 Research Methodology
• Data Type – Secondary
• Source – BSE & NSE
• Period – 5 years
TOOLS USED
• Tracking error
• Standard Deviation
• Trenyor & Sharpe’s Ratio
• Jensen’s Alpha & Beta
• Compounded Annual Growth Rate
3
 Results & Discussion
• Both of the ETFs and Index funds
outperformed the market.
• While, the ETFs performed better than
index fund.
• ETFs are not popular as index funds due
to awareness of this fund to the investors
• Moreover, Some ETF performed better
than other ETF, this could be due to the
reason of the efficiency of the fund
manager 4
 Limitations

• The time period for the research was

limited
• Data up to 5 years only can be taken for
analysis
• Only some of the funds had been taken for
analysis
• The research is only focused on the
Exchange Traded Fund and an index fund.

5
 Implications &
Recommendations
• Index funds are gaining more popularity
than ETFs whereas if was found that
returns of ETFs are more than the index
fund when compared with benchmark
• It is advisable to popularise ETF fund
effective marketing of the fund is required
which will attract more investors.