Impact Cost News Today : Breaking News, Live Updates & Top Stories | Vimarsana

The way the market slipped on Friday, probably is another reminder that even the best of the bull market corrections are going to come. The problem with the corrective move is that if it sustains for longer, it is the small caps stocks which come under more pressure and shed an inordinate amount of weight. There is a technical reason for this, the liquidity in small caps stocks is lower as compared to large and midcaps. So, whenever there is a selling in this segment, the impact cost is always higher. But the other fact is that if one is able to hold on small at the time when correction is tak...

He talks to BT Money Today about the risks to individual investors and more

Arun Sundaresan says that while expense ratio is important, investors should not overlook liquidity and impact cost, as they can significantly affect ETF returns. Higher volumes and liquidity result in lower impact cost. When considering portfolio placement, investors can choose from various types of ETFs, such as market cap based, sectoral, thematic, and niche strategies. The ETF market in India is growing rapidly and is expected to reach a significantly larger size in the future.

Learn what Nifty is in the Indian stock market with this simple guide that provides easy-to-understand insights for beginners.

CEO Kamath explained that the Iceberg orders have been introduced "to slice large orders into smaller legs that are executed only once the previous leg is, helping reduce impact costs."