Sampadha’s Equity Savings ETF basket
Equity ssavings ETF basket is best suited for SIP. The product maintains a perfect balance of equity ETFs of select sectors, themes, large-cap, mid-cap, and international equities. The basket also captures technical factors such as size, value, volatility, etc. making them the cost and tax-efficient structures.
The objective of the strategy is long-term capital appreciation.
Product / Strategy Suitability
The strategy is suitable for investors who want
- A stable capital appreciation on their investments over the long term.
- To build an equity ETF basket/holdings based on technical and quantitative parameters.
- To earn moderate returns in the long term by investing in equity sub-asset classes.
- To take a low risk for moderate returns in the long term.
About the strategy
- All publicly-traded ETFs on the National Stock Exchange of India are included in the universe.
- Our team conducted extensive research to determine the criteria for ETF constituent screening. To select the ETFs, proprietary liquidity filters are used, and the screening is based on relevance to the basket’s theme.
- Our research team selects individual ETFs and assigns weights based on expense ratios, annual portfolio turnovers, assets under management, and daily and monthly average traded value.
Review & Rebalancing
The strategy is rebalanced on a quarterly basis. Our research team reviews the basket once a quarter and realigns the weights with the selected asset allocation strategy for the following quarter. The final screened ETFs are then weighted according to the selected asset allocation algorithm.
What to expect?
- Steady capital appreciation over the long term.
- Equity as an asset class has the best potential to beat inflation in the long run and generate long-term wealth.
- With a systematic approach, we use Technical and Quantitative Analyses and utilize the empirical data for the selection of the ETF basket.