Vol. 1, Issue 1, Part C (2014)

Abstract
Exchange Traded Funds are like Index Funds but like shares they are listed and traded on stock-exchange. ETFs combine the features of both mutual funds and shares. Like Mutual funds it provides the benefit of diversification and like shares, buying and selling happens in ETF at a price which is determined real time. Despite having such features ETF market is unexplored in India. The paper seeks to study the Concept, History of Evolution and Current Status of ETF market segment in India. The paper also seeks to recognize the challenges faced by ETF industry and the future prospects.