Exchange Traded Funds (ETF’s) are one of the beloved passively managed funds that offer both retail and institutional investors an access to highly profitable and wide- range of diversifiable financial assets. The study aims to assess the ability of Indian equity ETF’s in replicating the performance of their benchmark indices using a sample of 27 equity ETF’s traded on the National Stock Exchange of India during the pre-pandemic period from 01/01/2015 to 31/12/2019. Evaluation of the performance of sample ETF’s through risk-return analysis, risk-adjusted performance measures, tracking error analysis and multi-factor regression have revealed that the majority of the sample ETF’s outperformed their tracking indices but with notable tracking errors during the study period. Further, the study also indicates that the returns of the sample ETF’s have a significant and positive relationship with the returns of the index but are inversely related to risk and management fees. The results of this study will have major implications for investors in evaluating the performance of ETF’s and fund managers as well in taking suitable measures to reduce tracking errors that will help in successful replication of the benchmark along with undertaking initiatives that will enable the ETF’s to become price efficient.

交易所交易基金 (ETF) 是深受喜爱的被动管理基金之一，它为散户和机构投资者提供了获得高利润和范围广泛的可多样化金融资产的途径。该研究旨在评估印度股票 ETF 在大流行前 2015 年 1 月 1 日至 2012 年 31 月期间在印度国家证券交易所交易的 27 只股票 ETF 样本复制其基准指数表现的能力/2019。通过风险回报分析、风险调整后的绩效衡量、跟踪误差分析和多因素回归对样本 ETF 的表现进行的评估表明，大多数样本 ETF 的表现优于其跟踪指数，但在研究期间存在显着的跟踪误差。更远，研究还表明，样本 ETF 的回报与指数回报呈显着正相关，但与风险和管理费用成反比。这项研究的结果将对投资者评估 ETF 和基金经理的表现以及采取适当措施减少跟踪错误产生重大影响，这将有助于成功复制基准以及采取措施使 ETF 成为价格有效。