List of Best PSU ETFs in India 2026

Top PSU ETFs in 2026
PSU ETF Stock Screener
PSU ETF Stock Screener: Analyse & Filter Indian Stocks on Tickertape
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@tickertapetickertapeShowing 1 - 8 of 8 results
| NameStocks (8)↓ | ↓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 | 362.85362.85 | 98.8098.80 | -- | 0.570.57 | 0.340.34 | 29.0529.05 | 42.0842.08 | -- | -- | -- | 0.000.00 | -- | 1.811.81 | |
| 2. | Kotak Nifty PSU Bank ETFPSUBANK | EquityEquity | 166.15166.15 | 885.00885.00 | -- | 0.780.78 | 0.680.68 | 29.3329.33 | 41.1741.17 | -- | -- | -- | 0.000.00 | -- | 1.711.71 | |
| 3. | Mirae Asset Nifty PSU Bank ETFBANKPSU | EquityEquity | 36.4236.42 | 89.1389.13 | -- | 0.620.62 | 0.650.65 | 29.6429.64 | 42.2042.20 | -- | -- | -- | -- | -- | 1.731.73 | |
| 4. | HDFC NIFTY PSU BANK ETFHDFCPSUBK | EquityEquity | 31.3331.33 | 89.4489.44 | -- | 0.460.46 | 1.101.10 | 28.9128.91 | 41.9741.97 | -- | -- | -- | -- | -- | 1.691.69 | |
| 5. | Groww Nifty India Railways PSU ETFGROWWRAIL | EquityEquity | 21.9921.99 | 33.8233.82 | -- | 0.960.96 | -6.13-6.13 | -5.92-5.92 | -6.78-6.78 | -- | -- | -- | -- | -- | 1.981.98 | |
| 6. | DSP Nifty PSU Bank ETFPSUBANKADD | EquityEquity | 21.6921.69 | 89.5389.53 | -- | 0.870.87 | 0.670.67 | 29.6029.60 | 42.6842.68 | -- | -- | -- | -- | -- | 1.721.72 | |
| 7. | ICICI Prudential Nifty PSU Bank ETFPSUBNKIETF | EquityEquity | 14.2314.23 | 89.6789.67 | -- | 0.310.31 | 0.480.48 | 28.9328.93 | 42.2942.29 | -- | -- | -- | -- | -- | 1.711.71 | |
| 8. | SBI BSE PSU BANK ETFSBIBPB | EquityEquity | 9.389.38 | 51.4151.41 | -- | 0.610.61 | 1.021.02 | 28.7228.72 | 42.4942.49 | -- | -- | -- | -- | -- | 1.731.73 |
Selection criteria: Based on publicly available information | Sorted by market capitalisation from highest to lowest.
Overview of Top PSU ETFs in India
Nippon Nifty PSU Bank ETF
Nippon Nifty PSU Bank ETF tracks the Nifty PSU Bank Index and provides exposure to major public sector banks. The ETF reflects lending trends, credit growth, and improvements in capital adequacy across PSU banks. It also mirrors sector-wide movements driven by policy reforms, interest rate changes, and evolving asset-quality cycles in the Indian banking system.
Kotak Nifty PSU Bank ETF
Kotak Nifty PSU Bank ETF provides diversified access to India’s leading public sector banks by replicating the Nifty PSU Bank Index. It captures shifts in credit demand, recapitalisation measures, and regulatory developments that shape PSU banking performance. The ETF helps users follow sector-wide trends without tracking individual bank stocks.
DSP Nifty PSU Bank ETF
DSP Nifty PSU Bank ETF mirrors the Nifty PSU Bank Index and offers exposure to state owned banks that influence India’s credit and financial system. It reflects sector drivers including loan growth, provisioning levels, government reforms, and macroeconomic conditions that affect PSU banking operations and balance sheet strength.
ICICI Pru Nifty PSU Bank ETF
ICICI Prudential Nifty PSU Bank ETF replicates the Nifty PSU Bank Index and enables broad exposure to the public banking sector. The ETF’s performance links to lending cycles, regulatory guidelines, government capital support, and economic indicators that shape PSU banks’ credit, deposit, and asset quality trends.
HDFC Nifty PSU Bank ETF
HDFC Nifty PSU Bank ETF tracks the Nifty PSU Bank Index and provides access to India’s major government owned banks. It reflects structural factors including credit expansion, interest rate movements, operational efficiency, and policy driven sector reforms that influence PSU banks’ financial performance and market behaviour.
What are PSU ETFs?
PSU ETFs are exchange-traded funds that invest in a basket of Public Sector Undertaking (PSU) companies listed on Indian stock exchanges. These ETFs track indices of government-owned enterprises across sectors such as energy, banking, utilities, and infrastructure, offering a single-exposure route to the broader PSU segment.
How to Invest in PSU 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 Tickertape Stock Screener
- Filter PSU ETFs screener based on various parameters such as market cap, close price, past returns and more. 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.
You can also stay updated on alerts and announcements for your favourite stocks with Tickertape Alerts. 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!
Advantages of Investing in PSU ETFs in India
Strong Recent Performance of PSU Banks
Record Profit Growth Across PSBs
Steady Loan and Credit Growth
Improved Balance Sheets and Lower NPAs
Receive real-time market alerts for timely decisions
Monitor your portfolio from the palm of your hands
Watchlist stocks and mutual funds to stay updated

Risks of Investing in PSU ETFs in India
Sector Concentration Risk
Cyclical Sensitivity to Credit and Interest Rates
Profitability Moderation Expected in 2026
Volatility Relative to Macro Conditions
Factors to Consider Before Investing in PSU ETFs
Index Structure and Weightings
Profit and Asset Quality Trends
Loan vs Deposit Growth Dynamics
Historical Performance vs Broader Markets
Macro and Regulatory Environment
Taxation on PSU ETFs
PSU ETFs follow holding-period–linked taxation. Capital gains are taxed differently for short-term and long-term investments.
| Holding Period | Tax Treatment |
|---|---|
| Short-Term (< 12 months ) | Gains taxed at a flat rate of 20% (increased from the previous 15%). |
| 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. |
Conclusion
PSU ETFs provide structured exposure to India’s public sector banks by tracking indices like the Nifty PSU Bank Index, which has delivered notable recent returns and reflects broader sector strength. These ETFs track trends in credit growth, policy dynamics, and sector performance rather than movements in individual bank stocks. For clearer comparison and deeper analysis of PSU ETFs, covering index composition, returns, volatility, and fund metrics, investors can use the Tickertape ETF Screener, which offers detailed filters and historical data across the Indian ETF universe.
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Frequently Asked Questions on PSU ETFs
What are PSU ETFs?
PSU ETFs are exchange-traded funds that invest in a basket of Public Sector Undertaking companies. These funds track indices composed of government-owned enterprises, often PSU banks, and allow investors to follow sector-wide performance through a single listed product.Is there any PSU ETF in India?
The following PSU ETFs are based on 1-year returns: Nippon Nifty PSU Bank ETF; DSP Nifty PSU Bank ETF; HDFC Nifty PSU Bank ETF.How do Nifty PSU Bank ETFs work?
Nifty PSU Bank ETFs replicate the Nifty PSU Bank Index, which includes major state-owned banks like SBI, Bank of Baroda, and PNB. The ETF holds the same stocks in the same weights, and its price movement mirrors the index.Are Nifty PSU Bank ETFs passively managed?
Yes. These ETFs passively track the Nifty PSU Bank Index without active stock selection, which helps reduce tracking error.Are Nifty PSU Bank ETFs a good investment?
Nifty PSU Bank ETFs move in line with sector trends such as credit growth, government policies, profitability cycles, and overall market conditions. Their suitability depends on personal goals, risk appetite, and horizon.How to sell psu ETFs?
PSU ETFs can be sold through your demat account by placing a sell order on the exchange. The trade executes at market price and settles as per standard procedures.
