Latest news with #Nifty200
Time of India
03-06-2025
- Business
- Time of India
Why is it the perfect time to invest in Nifty 200 Momentum 30 Index?
Momentum investing is an aggressive investment style and carries higher risk. Mutual funds manage ₹11,125 crore worth of assets in the Nifty 200 Momentum 30 Index strategy as of April 30, 2025. The Nifty 200 Momentum 30 Index has recently underperformed compared to the Nifty 50, potentially offering aggressive investors an opportunity for gradual investment. Experts suggest that this underperformance is temporary, and a systematic investment approach over the next 3-6 months could be beneficial as the market regains its rhythm. Tired of too many ads? Remove Ads Tired of too many ads? Remove Ads Mumbai: For aggressive investors , the recent underperformance of an index fund category that tracks the 30 fastest-rising stocks from the Nifty 200 universe may open up a window to invest gradually at lower the past year, the Nifty 200 Momentum 30 Index lost 9.75% against the 10.5% gains in the Nifty. In the last six months, the index lost 10.51%, while the Nifty 50 advanced 3.29%."Momentum factor has struggled in the last two quarters as markets came off after hitting a peak in September 2024," says Prateek Sinha, director, Deep MFD. He said the momentum strategy underperformed in 2009 and 2023 and it lasted for around 10-11 months."Once the market finds its rhythm, momentum strategies will outperform again," said Sinha."It would make sense to start systematically investing in momentum strategy over a 3-6 month period." Momentum investing is an aggressive investment style and carries higher risk. Mutual funds manage ₹11,125 crore worth of assets in the Nifty 200 Momentum 30 Index strategy as of April 30, Nifty 200 Momentum 30 Index, chooses stocks based on their momentum score which is determined based on its six- and 12-month price returns, after adjusting for its daily price volatility. Stock weights are based on a combination of the stock's normalised momentum score and its free-float market capitalisation with individual stock exposure capped at 5%."The recent underperformance of the momentum strategy provides a good entry point to long term investors," says Sharwan Goyal, head - passive, arbitrage, Quant Strategies, UTI Mutual Fund.'Based on historical trends, periods of underperformance are typically followed by significant outperformance, contributing to its consistent top-tier ranking.'In a bull market, momentum could outperform the broader markets and give far higher returns. 'Whenever the broad markets gain 20%, momentum typically returns much more at 1.5-2 times' says Pratik Oswal, head — passives, Motilal Oswal Mutual has been one of the best performing strategies in India from a longer-term perspective. Amongst the four factors such as value, quality, momentum and low volatility, momentum has been among the top three performers for 16 out of 20 a 3-year period, the Nifty 200 Momentum 30 index gained 20.23% every year against the Nifty's 15.49%. Since April 2005 (since inception), on a 3-year rolling basis, the index has outperformed Nifty 200 Index 85% of times. Oswal expects a broad market recovery in the next three years and expects the momentum strategy to outperform in this period
Time of India
21-05-2025
- Business
- Time of India
NFO Monitor: ICICI Prudential Mutual Fund launches Nifty200 Quality 30 Index Fund
ICICI Prudential Mutual Fund announces the launch of the ICICI Prudential Nifty200 Quality 30 Index Fund , an open - ended index scheme replicating Nifty200 Quality 30 Index. This strategy is built on the 'Quality' factor, one of the foundational pillars of factor investing, which emphasises investing in financially sound businesses with strong fundamentals. The new fund offer or NFO of the scheme is open for subscription and will close on June 4. Also Read | NFO Insight: Can Motilal Oswal Services Fund help you gain stability and long-term growth potential? Best MF to invest Looking for the best mutual funds to invest? Here are our recommendations. View Details » Factor investing in general targets key performance drivers such as quality, momentum, low volatility, value, and size to optimise returns while managing risk. This new scheme aims to provide investors with access to a curated portfolio of 30 companies from the Nifty 200 universe that scores high on key quality parameters, including return on equity, a low debt-to-equity ratio, and stable earnings growth. 'Through this product, we aim to offer investors a scheme that brings together the core principles of quality investing—resilience, efficiency, and relative stability. This scheme is suitable for those looking to build long-term wealth using a transparent, rule-based approach that has historically performed well during market downturns,' said Abhijit Shah, Chief Marketing and Digital Business Officer at ICICI Prudential AMC. Live Events The exit load is nil. The minimum amount for SIP investment is Rs 1,000 with minimum six installments. The scheme will be benchmarked against Nifty200 Quality 30 TRI. The scheme will be managed by Nishit Patel and Ashwini Shinde. Also Read | 27 equity mutual funds offer over 25% CAGR in both 3 and 5 years. Have you added any to your portfolio? The Scheme provides investors an opportunity to build long-term wealth by owning a portfolio of fundamentally strong companies, particularly at a time when quality stocks are available at reasonable valuations. It follows a passive, rules-based strategy that replicates an index which selects 30 high-quality stocks from the Nifty 200 universe, ensuring transparency and discipline in portfolio construction.
Economic Times
19-05-2025
- Business
- Economic Times
Which factor-based equity investment strategy gave most returns in last 11 years? Here's an annual performance tracker
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. 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 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 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 considering the average and standard deviation of returns over the last 11 years, the low volatility strategy has the best risk-to-reward the risk-to-reward ratio of the value strategy is less favourable compared to other *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.
Time of India
19-05-2025
- Business
- Time of India
Which factor-based equity investment strategy gave most returns in last 11 years? Here's an annual performance tracker
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. Live Events However, the risk-to-reward ratio of the value strategy is less favourable compared to other strategies. Source: 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.
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Business Standard
15-05-2025
- Business
- Business Standard
SBI's new Index Fund targets Top 30 quality stocks - How you can invest
SBI Mutual Fund, India's largest fund house, on Thursday launched the SBI Nifty200 Quality 30 Index Fund, an open-ended scheme replicating/ tracking Nifty200 Quality 30 Index. The New Fund Offer (NFO) period for the scheme is May 16 – 29, 2025. The investment objective of the scheme is to provide returns that correspond to the total returns of the securities as represented by the underlying index, subject to tracking error. However, there is no guarantee or assurance that the investment objective of the scheme will be achieved. The Nifty200 Quality 30 index includes top 30 companies from its parent Nifty 200 index, selected based on their 'quality' scores. The quality score for each company is determined based on return on equity (ROE), financial leverage (Debt/Equity Ratio) and earning (EPS) growth variability analysed during the previous 5 years. The weights of the stocks are derived from their Quality scores and square root of free float market cap. The stock weight is capped at 5% The scheme would primarily invest a minimum of 95% and a maximum of 100% of its assets in stocks comprising the Nifty200 Quality 30 and up to 5% in Government securities (like G-Secs, SDLs, and treasury bills), including triparty repo and units of liquid mutual fund. The minimum application amount during the NFO is of Rs. 5,000 and in multiples of Re. 1 thereafter with additional purchases of Rs. 1,000 and in multiples of Re. 1 thereafter. Investments can also be done through daily, weekly, monthly, quarterly, semi-annual, and annual SIP (Systematic Investment Plan). The Nifty200 Quality 30 Index is designed to track the performance of the top 30 companies within the Nifty200 index, selected based on stringent quality metrics such as financial health, profitability, and sustainable growth. "I believe the SBI Nifty200 Quality 30 Index Fund can be a valuable addition for investors, enabling them to invest in quality companies passively for long-term wealth creation," said Nand Kishore, MD & CEO, SBI Funds Management Limited. The fund manager for the SBI Nifty200 Quality 30 Index Fund is Viral Chhadva, who has been associated with the fund house since December 2020. He currently manages passive offerings such as the SBI Nifty50 Equal Weight ETF (an open-ended Exchange Traded Fund replicating/tracking the Nifty 50 Equal Weight Index), the SBI Nifty50 Equal Weight Index Fund (an open-ended scheme replicating/tracking the Nifty 50 Equal Weight Index), and the SBI Nifty 500 Index Fund (an open-ended scheme replicating/tracking the Nifty 500 Index). 'The Nifty200 Quality 30 Index represents a focused selection of high-quality companies from the broader Nifty200 universe, chosen through rigorous metrics such as financial strength, consistent profitability, and long-term growth potential. With the launch of the SBI Nifty200 Quality 30 Index Fund, we aim to offer investors a smart, relatively low-cost solution to gain exposure to quality businesses and build long-term wealth through a passive approach," said D P Singh, Deputy MD & Joint CEO, SBI Funds Management Limited. What Does This Fund Offer? Index-based passive investing: The fund passively mirrors the Nifty200 Quality 30 Index, allowing investors to benefit from the performance of these top-tier companies without trying to beat the market. Low minimum investment: You can start with just ₹5,000 during the New Fund Offer (NFO) period, which runs from May 16 to May 29, 2025. Flexibility: Investors can set up SIPs (Systematic Investment Plans) daily, weekly, monthly, or even annually. No long-term exit load: Withdraw within 15 days and pay a 0.25% exit load. Exit after that, and it's free.
