ETF split FAQs: Why fund houses are splitting units and how investors benefit

An ETF split reduces per-unit price and increases unit count while total investment value remains unchanged.

Splits make ETFs affordable for investors with limited budgets by lowering the minimum purchase cost per unit.

ETF splits are not taxable events; tax applies only when units are sold.

Recent examples include the DSP Nifty Midcap 150 Quality 50 ETF and DSP Nifty Healthcare ETF undergoing a 10:1 split effective 3 July 2026.