US-based First Trust, one of the top exchange traded funds, is planning to launch an Indian ETF in New York Stock Exchange tracking an index, which is designed to provide exposure to a basket of 40 top listed Indian companies exhibiting quality and governance standard.The move assumed significance as Prime Minister Narendra Modi is just back from US visits. ZyFin India , a Mumbai-based advisory firm, owns the index.First Trust has already filed prospectus with the US Securities and Exchange Commission for the same, the move is a bit unusual in the universe of ETFs it has offered so far.Email sent to ZyFin remains unanswered till the press time while efforts to contact First Trust failed.The scheme is christened as First Trust ZyFin India Quality and Governance ETF. MUMBAI: Americans are showing interest on India investments. This essentially means 40 such companies will be selected based on quality and corporate governance standard.The kitty will include a mix of top rated listed private sector and government companies. Those may include HDFC Ltd, ITC Rural Electrification Corporation , two people with the direct knowledge of the matter told ET.Companies will be evaluated for quality based on earnings volatility, leverage and return on equity, the prospectus said.

Source: Economic Times June 14, 2016 07:56 UTC