---
title: "What are ETFs & how do they work in India?"
description: "An Exchange-Traded Fund (ETF) is a basket of securities that trades on an exchange, just like a stock. Exchanges price ETFs continually and you can buy…"
category: arrow
subcategory: trading-faqs
slug: what-are-etfs-how-do-they-work-in-india
canonical: https://support.arrow.trade/arrow/trading-faqs/what-are-etfs-how-do-they-work-in-india/
---

# What are ETFs & how do they work in India?

> An Exchange-Traded Fund (ETF) is a basket of securities that trades on an exchange, just like a stock. Exchanges price ETFs continually and you can buy…

## Short answer

An Exchange-Traded Fund (ETF) is a basket of securities that trades on an exchange, just like a stock. Exchanges price ETFs continually and you can buy or sell them during market hours. ETFs are as simple as buying and selling any other stock on the exchange, allowing you to take advantage of intraday price movements. You hold ETFs in your demat account along with your other holdings.

You can learn more about ETFs by visiting Exchange-traded funds (ETF) module on Arrow learning resources.

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Source: https://support.arrow.trade/arrow/trading-faqs/what-are-etfs-how-do-they-work-in-india/
Publisher: Arrow / iRage Broking Services LLP