Top PSU Bank ETFs in India (2026)

List of Best PSU Bank ETFs in India for 2026
PSU Bank ETF Stock Screener
PSU Bank ETF Stock Screener: Analyse & Filter Indian Stocks on Tickertape
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@tickertapetickertapeShowing 1 - 7 of 7 results
| NameStocks (7)↓ | ↓Sub-SectorSub-Sector↓ | ↓Market CapMarket Cap↓ | ↓Close PriceClose Price↓ | ↓PE RatioPE Ratio↓ | ↓1D Return1D Return↓ | ↓1M Return1M Return↓ | ↓6M Return6M Return↓ | ↓1Y Return1Y Return↓ | ↓PB RatioPB Ratio↓ | ↓Return on EquityReturn on Equity↓ | ↓ROCEROCE↓ | ↓Dividend YieldDiv Yield↓ | ↓Debt to EquityDebt to Equity↓ | ↓Volatility vs NiftyVolatility vs Nifty↓ | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 1. | Nippon India ETF Nifty PSU Bank BeESPSUBNKBEES | EquityEquity | 382.46382.46 | 104.14104.14 | -- | 0.500.50 | 4.774.77 | 36.5436.54 | 59.3659.36 | -- | -- | -- | 0.000.00 | -- | 1.771.77 | |
| 2. | Kotak Nifty PSU Bank ETFPSUBANK | EquityEquity | 176.23176.23 | 938.69938.69 | -- | 0.660.66 | 5.255.25 | 36.7336.73 | 59.2759.27 | -- | -- | -- | 0.000.00 | -- | 1.671.67 | |
| 3. | Mirae Asset Nifty PSU Bank ETFBANKPSU | EquityEquity | 38.4738.47 | 94.1494.14 | -- | 0.480.48 | 3.283.28 | 36.8336.83 | 59.6959.69 | -- | -- | -- | -- | -- | 1.681.68 | |
| 4. | HDFC NIFTY PSU BANK ETFHDFCPSUBK | EquityEquity | 33.0833.08 | 94.4694.46 | -- | 0.450.45 | 4.864.86 | 36.4036.40 | 59.9459.94 | -- | -- | -- | -- | -- | 1.631.63 | |
| 5. | DSP Nifty PSU Bank ETFPSUBANKADD | EquityEquity | 22.7922.79 | 94.1094.10 | -- | 0.460.46 | 4.844.84 | 36.6936.69 | 59.8259.82 | -- | -- | -- | -- | -- | 1.681.68 | |
| 6. | ICICI Prudential Nifty PSU Bank ETFPSUBNKIETF | EquityEquity | 15.0615.06 | 94.9194.91 | -- | 0.790.79 | 5.135.13 | 36.8436.84 | 59.9459.94 | -- | -- | -- | -- | -- | 1.681.68 | |
| 7. | SBI BSE PSU BANK ETFSBIBPB | EquityEquity | 9.869.86 | 54.0754.07 | -- | 0.500.50 | 4.694.69 | 35.4835.48 | 49.8649.86 | -- | -- | -- | -- | -- | 1.731.73 |
Selection criteria: Sub-sector: Gold | Market Cap: Sorted from Highest to Lowest
What are PSU Bank ETFs?
PSU Bank ETFs are exchange traded funds that track indices composed of publicly owned banking institutions. These ETFs usually include lenders where the government holds a majority stake, and they mirror movements in the public sector banking segment. Investors access diversified exposure to PSU banks through a single unit traded on the exchange.
Overview of Top PSU Bank ETFs in India
Nippon India ETF Nifty PSU Bank BeES
This ETF tracks the Nifty PSU Bank Index and provides exposure to government-owned banks listed on Indian exchanges. The portfolio reflects sector movements driven by credit growth, asset quality trends, and policy developments. Investors trade units intraday while holding diversified public sector banking exposure.
Kotak Nifty PSU Bank ETF
The fund replicates the Nifty PSU Bank Index by holding constituent banks in similar weights. Performance responds to developments in lending activity, capital adequacy, and regulatory direction. Through exchange trading, investors participate in the public sector banking theme using a single instrument.
Mirae Asset Nifty PSU Bank ETF
This ETF mirrors the Nifty PSU Bank Index and builds exposure to state-owned lenders. Portfolio behaviour often reflects government policy initiatives, recapitalisation measures, and changes in credit demand. Units trade on the exchange, enabling transparent access to the segment.
HDFC NIFTY PSU BANK ETF
The ETF aims to match the performance of the Nifty PSU Bank Index. It represents banks where the government maintains significant ownership. Market pricing changes with shifts in interest rates, loan growth, and sector profitability while investors transact in demat form.
DSP Nifty PSU Bank ETF
This fund follows the Nifty PSU Bank Index and allocates across leading public sector banks. Returns typically align with trends in asset quality, provisioning cycles, and economic momentum. Exchange liquidity allows investors to gain thematic exposure efficiently.
How to Invest in PSU Bank ETFs?
Here’s how you can invest in PSU ETFs using Tickertape -
- Create an account on the Tickertape or log in if you already have one.
- Open PSU Bank ETFs Screener
- You can review this data to evaluate each ETF’s performance trends and determine whether they align with your investment thesis.
- Once you’ve decided on an ETF, you can place a buy order through your brokerage account linked to Tickertape.
Further, you can analyse your overall portfolio and potential red flags in it by connecting it to Tickertape. Check out detailed analysis of your portfolio now!
Taxation on PSU ETF
Investors pay tax on profits earned from selling equity ETFs. The tax rate changes based on how long the ETF units were held. The summary below explains the applicable rates.
| Holding Period | Tax Treatment |
|---|---|
| Short-Term (< 12 months) | Gains taxed at a flat rate of 20%. |
| Long-Term (> 12 months) | Gains taxed at 12.5%. Exemption applies to the first ₹1.25 lakh of long-term gains across all equity assets in a financial year. |
Advantages of Investing in PSU Bank ETFs
PSU Exposure
Transparent Index-Based Construction
Underlying Liquidity
Risks of Investing in PSU Bank ETFs
High Concentration
Sector-Specific Sensitivity
Policy Exposure
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Factors to Consider Before Investing in PSU Bank ETFs
Weight Structure
Liquidity and Bid-Ask Spreads
Rate Environment
Conclusion
PSU Bank ETFs package exposure to government-owned lenders into a single tradable structure. Index weights, concentration in large banks, and sensitivity to credit and policy cycles can strongly influence how the PSU bank ETF share price behaves. While diversification spans several institutions, sector-specific developments remain central to return behaviour.
Investors can examine holdings, weight distribution, and liquidity metrics through the Tickertape Stock Screener to better understand how these ETFs react across changing market environments.
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Frequently Asked Questions on PSU Bank ETFs
What is PSU bank ETF?
A PSU ETF is an exchange traded fund that tracks an index of government-owned banks. The fund holds constituent lenders in proportions similar to the benchmark, allowing investors to gain exposure to the public sector banking segment through a single unit traded on the exchange.Which PSU bank ETF is good?
The following are the best PSU bank ETFs based on 1-year returns:- DSP Nifty PSU Bank ETF
- Mirae Asset Nifty PSU Bank ETF
- HDFC NIFTY PSU BANK ETF
- Kotak Nifty PSU Bank ETF
Disclaimer: Please note that this PSU Bank ETF list is not a recommendation. Please do your own research or consult your financial advisor before investing.How does a PSU ETF works?
The ETF invests in shares of public sector banks according to index weights. When stock prices of these banks change, the PSU bank ETF share price adjusts accordingly. Fund managers rebalance holdings during index reviews to maintain alignment with the benchmark.What are the advantages of investing in PSU bank ETFs?
PSU bank ETFs combine exposure to multiple government-owned lenders in one transaction. The rule-based structure makes portfolios transparent, and exchange trading offers intraday liquidity and market-driven pricing.What are the risks associated with investing in PSU bank ETFs?
Returns depend heavily on banking sector conditions. Asset quality trends, credit growth, interest rate movements, and policy decisions can influence performance. Larger banks in the index may also exert greater impact due to higher weights.
