iShares CNX Nifty India (XID.TO)

The iShares CNX Nifty India ETF (XID-T) is often recognized as one of the leading options for investors looking to gain exposure to the Indian market, particularly for Canadian investors. However, experts have pointed out that while XID boasts significant visibility, its Management Expense Ratio (MER) of 1% is relatively high compared to alternatives like ZID, which has an MER of 0.72%. Moreover, analysts emphasize the importance of assessing the holdings of the ETFs, noting that XID serves as 'an index of an index,' while ZID offers direct exposure to actual companies. With over half of India's population under the age of 30, there is considerable growth potential if infrastructural developments are successfully implemented, positioning India as a worthy opportunity for investors with a higher risk appetite. Overall, while XID has its merits, comparisons with ZID suggest that the latter offers better diversification at a lower cost.