An Exchange Traded Fund (ETF) is a type of investment fund that holds a collection of different assets — such as stocks, gold, government bonds, or even international securities — and trades on the stock exchange just like a share.
When you buy one unit of an ETF, you get exposure to all the securities included in that basket.
For example, if an ETF tracks the Nifty 50 Index, buying one unit means you indirectly own a small portion of all 50 companies in that index.