DBT Bureau,
Pune, 20 August 2024
Max Life Insurance Company Ltd. has introduced the Nifty 500 Momentum 50 Index Fund in the ULIP segment. The New Fund Offer (NFO) window will remain open until 1st September 2024, with units priced at Rs. 10 each, applicable only during the NFO period.
The fund will track the Nifty 500 Momentum 50 Index, which includes the top 50 companies within the Nifty 500 index, selected based on their Normalized Momentum Scores. This new fund combines two popular investment approaches: flexicap and momentum investing. It will be the second fund in Max Life’s suite to employ a momentum investing strategy, following the Midcap Momentum Index Fund launched in January 2024. The fund aims to capitalize on the growing interest in flexicap funds that adjust based on market movements, protecting investors from cyclical market capitalization performance. As of June 2024, the benchmark index composition included 60% large-cap, 27% mid-cap, and 13% small-cap stocks, reflecting a well-diversified approach to wealth creation.
The Nifty 500 Momentum 50 Fund is designed for customers seeking wealth creation opportunities over the medium to long term. The fund’s “buy high, sell higher” approach aims to capture ongoing price trends, potentially delivering higher returns compared to traditional index investing.
Sachin Bajaj, Chief Investment Officer at Max Life Insurance, commented, “As investment preferences shift towards more dynamic strategies, we are proud to present Max Life’s Nifty 500 Momentum 50 Index Fund. Employing a momentum investing strategy, the fund is designed to cater to modern customers’ quest for high growth potential across India’s top 500 companies. At Max Life, we remain committed to delivering innovative and robust solutions that align with our customers’ evolving financial goals.”
The Nifty 500 Momentum 50 Fund will be available through various ULIP products, initially including the Online Savings Plan, Shiksha Plus Super, Flexi Wealth Advantage Plan, and Capital Guarantee Solutions*. After the NFO period, the fund will also be offered with Max Life’s Platinum Wealth Plan, Fast Track Super, Flexi Wealth Plus, and Smart Flexi Protect Solution, ensuring broad availability across different customer segments.
