SBI Mutual Fund launches SBI Nifty200 Momentum 30 Index Fund

SBI Mutual Fund launches SBI Nifty200 Momentum 30 Index Fund

•          New Fund Offer opens on June 23, 2025, and closes on July 3, 2025

•          An opportunity to invest in 30 ‘high momentum’ stocks, which includes both large & mid-cap stocks, from its parent NIFTY200 index, selected based on their ‘normalised momentum’ scores.

•          The Normalised Momentum Score for each company is calculated based on its 6-month and 12-month price returns, adjusted for daily price return volatility. Stock weights are determined using a combination of the stock’s Normalised Momentum Score and its free-float market capitalization, with no stock exceeding either a 5% weight or five times its free-float-based weight in the Nifty 200 index.

 

SBI Mutual Fund, India’s largest fund house announces the launch of SBI Nifty200 Momentum 30 Index Fund, an open-ended scheme replicating/ tracking Nifty200 Momentum 30 Index. The New Fund Offer (NFO) period for the scheme is June 23 – July 3, 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.

 

Mr. Nand Kishore, MD & CEO, SBI Funds Management Limited, said: "The Nifty200 Momentum 30 Index is constructed to reflect the performance of the top 30 high-momentum stocks within the Nifty200 universe, selected through a methodology that considers both recent price performance and risk-adjusted returns. The SBI Nifty200 Momentum 30 Index Fund provides investors with an opportunity to access a momentum-driven strategy, which can serve to enhance return potential in a diversified portfolio."

 

Mr. D P Singh, Deputy MD & Joint CEO, SBI Funds Management Limited, said: "Momentum investing is a well-established strategy that seeks to capitalize on the persistence of stock performance trends. The Nifty200 Momentum 30 Index is designed to systematically identify and track the top 30 high-momentum stocks within the Nifty200 universe. Through the SBI Nifty200 Momentum 30 Index Fund, investors gain access to a momentum-driven investment style that can complement traditional strategies and potentially enhance portfolio returns by participating in prevailing market trends."

 

The scheme would primarily invest a minimum of 95% and a maximum of 100% of its assets in stocks comprising the Nifty200 Momentum 30 Index 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). For more information, please refer to the Scheme Information Document.