Which factor-based equity investment strategy gave most returns in last 11 years? Here's an annual performance tracker
Welcome to TrendMap, your quick, visual guide to the performance of different investment segments. In this edition, we present an 11-year performance tracker of various factor-based investment strategies. The annual returns are ranked for six key NSE factor indices, with a broad-based index, Nifty 500, thrown in for comparison. This map shows that no single-factor strategy reigns supreme. Hence, diversification helps. By Sameer Bhardwaj.
Tired of too many ads?
Remove Ads
Tired of too many ads?
Remove Ads
Steady wins: Low volatility and value shine Alpha and momentum investment strategies, which consider outperforming stocks, maintained their ranks among the top three investment strategies in eight out of the last 11 years.In 2025 so far, the low volatility strategy has taken the lead, outperforming amid market turbulence driven by tariff uncertainties, slowing earnings, export concerns, and high valuations.The value strategy, which focuses on stocks trading below their fair values, has performed well post-Covid-19 as lower interest rates, pent-up demand and higher government capex aided the share prices of undervalued companies. This strategy is the second-best performer in 2025 year-to-date, following the low volatility strategy.When considering the average and standard deviation of returns over the last 11 years, the low volatility strategy has the best risk-to-reward ratio.However, the risk-to-reward ratio of the value strategy is less favourable compared to other strategies.NSE. *2025 data is year-to-date based on 13 May 2025 closing values. Other years' returns are calculated between the first and the last trading day closing values. Indices considered—Equal weight: Nifty100 equal Weight; Low volatility: Nifty100 Low Volatility 30; Alpha: Nifty200 Alpha 30; Momentum: Nifty200 Momentum 30; Quality: Nifty200 Quality 30; Value: Nifty200 Value 30; Nifty 500: Nifty 500.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Business Standard
3 hours ago
- Business Standard
INR sees mild gains as local stocks stay supported
The Indian rupee saw mild appreciation against the US dollar today, holding onto the recovery from all time low amid a good sharp bounce in local equities. NIFTY hit three-week high today. INR added 7 paise to 87.06 per US dollar after briefly testing under 87 per US dollar mark in intraday moves. On the NSE, USD/INR futures are closed at 87.10, up 0.06% on the day after briefly testing around 87 mark. The US dollar index is currently trading at 98.16, up marginally on the day. Powered by Capital Market - Live News
&w=3840&q=100)
Business Standard
3 hours ago
- Business Standard
Shreeji Shipping Global IPO garners 6.59 times subscription on day 2
The initial public offer of Shreeji Shipping Global Ltd, a provider of shipping and logistics solutions for dry bulk cargo, garnered 6.59 times subscription on the second day of share sale on Wednesday. The three-day share sale received bids for 7,51,80,354 shares against 114,08,600 shares on offer, according to NSE data. Non-Institutional Investors quota fetched 11.22 times subscription, while the category for Retail Individual Investors (RIIs) got subscribed 6.99 times. Qualified Institutional Buyers (QIBs) part received 2.42 times subscription. The Rs 411-crore initial share sale of Shreeji Shipping Global Ltd received 2.13 times subscription on the first day of the share sale on Tuesday. Shreeji Shipping Global Ltd on Monday mobilised more than Rs 123 crore from anchor investors. The initial public offering (IPO), with a price band of Rs 240-252 per share, would be available for subscription till Thursday. Shreeji Shipping Global's IPO is entirely a fresh issue of 1.63 crore equity shares with no offer-for-sale (OFS) component. The company is planning to use Rs 251.2 crore out of the IPO proceeds for acquisition of dry bulk carriers in the supramax category in the secondary market, and Rs 23 crore for repaying debt. The flagship company of Jamnagar-based Shreeji Group primarily focuses on non-major ports and jetties, particularly along the west coast of India. Beeline Capital Advisors Pvt Ltd and Elara Capital (India) Pvt Ltd are the book-running lead managers to Shreeji Shipping's public issue.
Mint
3 hours ago
- Mint
Mangal Electrical Industries IPO subscribed 0.57x on Day 1: Allotment, listing and other key details
The initial public offering (IPO) of Mangal Electrical Industries received a healthy response on its first day of bidding, August 20, with investors placing bids for 25.45 lakh shares against the total offer of 49.91 lakh shares, resulting in an overall subscription of 0.57 times by the end of Day 1, according to exchange data. The non-institutional buyers portion subscribed 0.76 times, while the retail investors' portion was booked 0.74 times. The QIB (Qualified Institutional Buyers) portion was subscribed just 0.13 times. The company aims to raise ₹ 400 crore through the offering, which is entirely a fresh issue. The IPO price band is set at ₹ 533 to ₹ 561 per share. Retail investors can apply for a minimum of 26 shares in one lot and can apply for up to 13 lots. At the upper end of the IPO price band, ₹ 561 apiece, retail investors are required to make a minimum investment of ₹ 14,586 per lot. The allotment of shares is expected to be finalized on August 25, 2025. The IPO will be listed on the BSE and NSE, with a tentative listing date of August 28, 2025. On August 19, the company raised ₹ 120 crore from anchor investors, allocating 2,139,020 equity shares at ₹ 561 per share. Systematix Corporate Services Limited is the sole book-running lead manager, while Bigshare Services Private Limited is the registrar to the issue. Some of the marquee institutions that participated in the anchor book include Abakkus Diversified Alpha Fund, LC Pharos Multi Strategy Fund VCC, Société Générale, Finavenue Capital Trust, Swyom India Alpha Fund, Sundaram Alternative Investment Trust, Imap India Capital Investment Trust, Sunrise Investment Trust, Aarth AIF Growth Fund, and Steptrade Revolution Fund. Incorporated in 2008, Mangal Electrical Industries Limited is engaged in manufacturing transformers used for the distribution and transmission of electricity in the power sector. The company also manufactures transformer components, including laminations, CRGO slit coils, amorphous cores, coil and core assemblies, wound cores, toroidal cores, and oil-immersed circuit breakers. The company proposes to utilize the net proceeds from the issue for repayment/prepayment (in full or in part) of certain outstanding borrowings, capital expenditure (including civil works for expanding its Unit IV facility at Reengus, Sikar District, Rajasthan), funding working capital requirements, and general corporate purposes. Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before making any investment decisions.
