At present, there are only 5-7 Indices related to G-secs but how do they work.
For example, for LTGILTBEES, it tracks NIFTY 8-13 YR G-SEC, which has 3 securities in it. Usually, a normal G-sec goes from 100 to 103.5-104 and returns back to 100 around levels after coupon payment. Same with almost every other Fixed Income Index.
Then how do this index keeps rising. Does it gives some dividend like liquid bees or the coupon payment is reinvested in it. Any expert in G-Sec here?