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Motilal Oswal Mutual Fund has launched Motilal Oswal Nifty 500 Momentum 50 Index Fund, an open-ended index fund tracking the Nifty 500 Momentum 50 Total Return Index.
The fund will offer exposure to stocks that are in the highest momentum across the large, mid and small-cap segments of the Nifty 500 index.
In a press release, Prateek Agrawal, MD and CEO of Motilal Oswal MF said, “Factor investing is relatively new in India, within which momentum investing is growing rapidly. As of Q1 FY25, out of a total AUM of Rs. 35,954 crore in factor funds, momentum funds hold the largest share at Rs.10,353 crore, highlighting the rapid expansion of momentum investing in the country. This growth can largely be attributed to momentum's ability to adapt to trending sectors, as the Nifty 500 Momentum 50 TRI captures market trends early through dynamic sector rotation. Consequently, the Nifty 500 Momentum 50 TRI has outperformed the Nifty 50 TRI in 12 of the last 19 calendar years.”
Pratik Oswal, Chief of Business - Passive Funds, Motilal Oswal MF said, "The Nifty 500 Momentum 50 TRI may remain a strong investment option due to its low-cost, rules-based and transparent approach, its exposure to high-momentum stocks across large, mid, and smallcap segments, and its potential to outperform in upward-trending markets. Since April 2005, the Nifty 500 Momentum 50 TRI has achieved an exceptional 76x growth, focusing on top-performing stocks across these segments.”
