Where to get tracking error data for index funds and ETFs?

Personal finance
1

What market research website do folks use here to select index funds, ETFs?

Criteria for selecting Index funds is:

  • low tracking error (consistently accurate tracking)
  • low expense ratio
  • high AUM
  • time in the market (otherwise data on tracking error and faith in the expense ratio would not be available)

Different funds use different methodology for the calculation of tracking difference and error, need to compare Index funds using the same methodology for calculation. Where can I analyse this data?

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2

@phoenix42 The tracking error wont be huge for Nifty 50 index funds and it varies year to year. So my suggestion is to go with any of the following funds:

ICICI NIFTY 50 index fund
AXIS NIFTY 100 index fund
HDFC Sensex index fund
HDFC Index Fund-NIFTY 50 Plan
UTI Nifty Index fund

I have shortlisted this after doing lot of research including AUM size, age of AUM, expense ratio, tracking error and so on

My suggestion is go for AXIS NIFTY 100 Index fund… Index reshuffle wont effect in NIFTY 100 much when compared to Nifty Next 50 because in nIFTY 100 only last 2 contributors (typically 0.5%) will move out and move in unlike NN50 where top 1-2 contributors moves to N50 during index shuffle

3

@phoenix42 You can invest in any Index funds. There wont be much difference in returns among passive index funds

My suggestions:

  • UTI Nifty 50 index fund
  • AXIS NIFTY 100 index fund
  • ICICI Nifty 50 index fund
4

@phoenix42 Here you can get tracking error of various index funds

https://www.amfiindia.com/research-information/other-data/tracking_errordata

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5

Thank you @Dharsha , its useful information.

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