Rajiv Gandhi scheme to attract new investors to market: NSE

Tags: Stock Market
Leading stock exchange NSE today said that the newly announced Rajiv Gandhi Equity Savings Scheme ( RGESS) would encourage new investors to come into the equity markets and put their money in products like ETFs.

The bourse today organised a two-km investor race here under its Investothon initiative and named it after the government's newly announced equity scheme to spread awareness about it.

"We are confident that the Rajiv Gandhi equity savings scheme will encourage first time investors to come into the equity markets and invest in broad based products like exchange traded funds (ETFs)," National Stock Exchange's Joint Managing Director Chitra Ramkrishna said.

Ramkrishna would take over as Managing Director and CEO of the exchange from April next year.

The new scheme offers tax benefits to the first time investors if they invest in the permitted securities, mutual funds or ETFs, provided that their annual income is less than Rs 10 lakh. New investors can invest Rs 50,000 and get a tax benefit on 50% of this investment.

Eligible securities include equity shares of the top 100 companies on NSE and BSE, shares of public sector enterprises that are categorised as Maharatna, Navaratna or Miniratna by the Central Government, follow on public offers of these PSUs, units of Exchange traded funds like Nifty ETFs, Bank Nifty ETFs and PSU bank Nifty ETFs.

Mutual fund schemes with RGESS-eligible securities as underlying will also be allowed for the scheme.

The exchange said that more than 6,500 people participated in today's race, which was part of NSE's efforts to create awareness on safe investing in the market.

EDITORIAL OF THE DAY

  • Finalising the formula for fixing the fair market value of shares calls for a detailed debate

    Whenever there is a change of regime at the Centre, the new government has its tasks cut out for execution.

FC NEWSLETTER

Stay informed on our latest news!

TODAY'S COLUMNS

Roopen Roy

High CEO pay and the gaps it leaves

Unlike the UK, Norway took a remarkable decision with its ...

Zehra Naqvi

Watch your words, for they can kill

You must’ve heard the ph­rase ‘if looks could kill’. Ever ...

Dharmendra Khandal

Biodiversity day has come and gone. Yet again

Every year on May 22, world celebrates international biodiversity day. ...

INTERVIEWS

William D. Green

Chairman & CEO, Accenture