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Kotak Mutual Fund has launched Kotak NIFTY Midcap 150 Momentum 50 Index Fund, an open-ended scheme that tracks the NIFTY Midcap 150 Momentum 50 Index.
This index includes the top 50 midcap companies from the Nifty Midcap 150 Index, chosen based on their momentum scores. Momentum investing involves selecting stocks that have experienced a positive price trend over the last 6 and 12 months.
In a press release, Nilesh Shah, Managing Director, Kotak Mahindra AMC said, "This index fund offers investors an opportunity to invest in a rule-based index that invests in midcap companies selected with the momentum strategy. The midcap plus momentum combination can provide investors the opportunity to invest in midcap companies with potential high growth without the hassle of constantly monitoring and adjusting investments."
Devender Singhal, Executive VP and Fund Manager, Kotak Mahindra AMC, said, “The underlying index has historically outperformed other midcap indices. By focusing on momentum stocks, this fund offers investors a way to potentially benefit from price trends in a passive and disciplined manner. The strategy allows investors looking for growth and able to handle some level of risk to access the high-growth midcap segment while maintaining a systematic, rulebased approach.”
