3 Point Analysis | Why are investors opting for ETFs?

Warren Buffett has willed that 90 percent of his wealth should be invested in exchange traded funds (ETF) and 10 percent in cash. He has been advocating the idea of investing in an index following ETFs for retail investors.

Reports suggest that investment in ETFs has seen a sharp rise in the recent past. Investors are moving away from actively-managed equity funds. In June, ETFs saw inflows of Rs 4,092 crore, four times higher than the previous month.

So why are investors moving away from conventional actively managed funds to ETFs? Find out in this edition of 3 Point Analysis with Sakshi Batra.