The government is considering a fresh tranche of CPSE ETF. This would warrant sale of shares by the government to an AMC at a discounted rate for the benefit of the unit holders of the scheme, leading to more supply of shares in the market which would weigh down the prices of the component stocks and the stocks are expected to remain in pressure ahead of the announcement.
Following are the components of CPSE ETF from which one should be cautious of:
OIL, NLCINDIA, SJVN, NBCC, IOC, BEL, ONGC, PFC, COALINDIA, NTPC, RECLTD