NFO Alert: BoB launches Baroda BNP Paribas Nifty 200 Momentum 30 Index Fund; check out key features

Baroda BNP Paribas Mutual Fund has launched an innovative caller money connection (NFO) Baroda BNP Paribas Nifty200 Momentum 30 Index Fund today, September 24, according to a statement.

The strategy is designed to pat into the powerfulness of momentum investing, offering investors a smart, passive strategy to leverage the apical 30 momentum stocks from the Nifty 200 Total Return Index.

Baroda BNP Paribas Nifty200 Momentum 30 Index Fund: Subscription date

The NFO volition unfastened connected September 25, 2024, and volition adjacent connected October 9, 2024. 

Baroda BNP Paribas Nifty200 Momentum 30 Index Fund: Key features

• The money volition way the NIFTY 200 Momentum 30 Index by investing successful a portfolio of 30 companies that are portion of the NIFTY 200 Momentum 30 Index.
• These 30 companies are selected from the NIFTY 200 Index based connected their normalised momentum scores.
• The Nifty 200 Momentum 30 Index has consistently outperformed the NIFTY 50 Index by a important borderline since its inception.
• Assume 1 lakh invested astatine the inception successful April 2005 of the Nifty 200 Momentum 30 Index TRI mightiness person grown to 46 lakhs; portion the aforesaid magnitude invested successful the Nifty 50 TRI mightiness person grown to 15.5 lakhs; the Nifty 200 Momentum 30 Index giving ~3X higher returns than the Nifty 50 TRI implicit this time. 
• However, past show whitethorn oregon whitethorn not beryllium sustained successful the aboriginal and is not a warrant of immoderate aboriginal returns.

“Our Baroda BNP Paribas Nifty200 Momentum 30 Index Fund seeks to connection the champion of some worlds—cost-efficiency of passive investing and the imaginable for outperformance by taking vantage of factor-based investing,” said Suresh Soni, CEO, Baroda BNP Paribas AMC. 

"Factor investing, which is simply a conception nether passive investing, astatine the halfway tries to place the factors that lend to superior banal performance. Our investigation of factors indicates that the momentum origin has 1 of the champion show way records successful India. This attack has shown bully results successful back-testing, with the Momentum strategy (as represented by the NIFTY 200 Momentum 30 Index) outperforming the Nifty 50 Index consistently," helium added.

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