What is the Bajaj Allianz Life SmallCap Quality Index Fund?
The Bajaj Allianz Life Small Cap Quality Index Fund is a newly launched New Fund Offering (NFO) offered by Bajaj Allianz Life Insurance it starts on 1st March and ends on 15th March 2024. It is an index fund that focuses on investing in small-cap companies that are selected based on a quality factor. The fund tracks the Nifty SmallCap 250 Quality 50 Index.
Here are some key features of the Bajaj Allianz Life Small Cap Quality Index:
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Investment objective: To provide capital appreciation through investment in equities forming part of the Nifty SmallCap 250 Quality 50 Index
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Asset allocation: The Nifty SmallCap 250 Quality 50 fund invests primarily in equity and equity-related instruments of small-cap companies.
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Minimum investment: The minimum investment amount is ₹1,000/month.
Reasons Why You Should Invest in Bajaj Allianz Life New Fund March 2024
Investing wisely requires careful consideration of various factors, and the Bajaj Allianz Life SmallCap Quality Index stands out as one of the best investment options for several reasons:
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SmallCap Quality Index Fund being offered by Bajaj Allianz Life boasts a remarkable 5-year return of 30.2%, making it one of the best performing small cap index funds in the market.
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The Bajaj Allianz Life New Smallcap Fund invests in the top 50 small cap stocks, ensuring a diversified portfolio that taps into the potential growth of small cap companies.
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With Bajaj Allianz Life Goal Assure plan, investors can benefit from this fund there are NO charges involved under this plan.
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An exclusive NFO (New Fund Offering) for Policybazaar buyers is scheduled from 1st to 15th March, offering a NAV of ₹10.
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Investors can also take advantage of the Waiver of Premium feature available in under the ULIP plan starting at just ₹1,000, providing additional financial security and flexibility.
What is the SmallCap Quality Index Fund?
The Nifty Small Cap 250 Quality 50 Index is a stock market index in India that tracks the performance of the top 50 small-cap stocks based on their quality scores. These quality scores are a measure of a company's financial strength and profitability, calculated using factors like:
It is reconstituted semi-annually, in June and December, to ensure the quality of the companies it tracks.
Key things to know about the Nifty Small Cap 250 Quality 50 Index:
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It is a strategy index, meaning it follows a specific investment strategy of focusing on high-quality small-cap stocks.
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It is market-capitalization weighted, meaning the weightage of each stock in the index is based on its market capitalization.
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It has historically outperformed the broader Nifty Smallcap 250 index, which tracks the performance of the entire small-cap universe in India.
Why Should You Choose Bajaj Allianz Life?
When it comes to securing your financial future, Bajaj Allianz Life stands out as a top choice. Here's why:
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Impressive Returns:
Bajaj Allianz Life's products have a track record of delivering high returns. Just take a look at these figures:
| Plan Name |
Inception Date |
Returns Since Inception |
| Small Cap Fund |
23 May ‘23 |
58.20% |
| Sustainable Equity Fund |
16 Feb ‘23 |
32.30% |
| Flexi Cap Fund |
20 May ‘22 |
26.20% |
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Diverse Investment Options:
Bajaj Allianz Life offers a range of products catering to different investment preferences and risk appetites. Whether you're looking for long-term growth, sustainability, or flexibility, there's a fund to suit your needs.
Investment Methodology of Nifty Small Cap 250 Quality 50 Index
Picks the best 50 small cap stocks basis fundamental analysis
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Top 50 Stocks identified by an algorithm , rule based investing
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NSE declares the index constituents & Bajaj Life just replicates the index.
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Index is rebalanced every 6 months in June & December
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Top Constituents of Nifty Small Cap 250 Quality 50 Index
| Stock Name |
Weight (%) |
| Castrol India Ltd. |
4.24 |
| Indian Energy Exchange Ltd. |
3.76 |
| Sonata Software Ltd. |
3.67 |
| KEI Industries Ltd. |
3.33 |
| Central Depository Services (India) Ltd. |
3.19 |
| Gujarat State Petronet Ltd. |
2.87 |
| Triveni Engineering & Industries Ltd. |
2.72 |
| Sanofi India Ltd. |
2.62 |
| Gillette India Ltd. |
2.58 |
| Mahanagar Gas Ltd. |
2.55 |
As of 29th February, 2024 [Source: nseindia.com]
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Sectors Included on Nifty Smallcap 250 Quality 50 Index
| Sector |
Weightage (%) |
| Financial Services |
14.45 |
| Capital Goods |
13.94 |
| Information Technology |
12.91 |
| Fast Moving Consumer Goods |
10.16 |
| Oil, Gas & Consumable Fuels |
9.66 |
| Chemicals |
8.02 |
| Services |
6.21 |
| Healthcare |
5.86 |
| Construction |
4.3 |
| Consumer Services |
4.1 |
| Automobile and Auto Components |
3.65 |
| Metals & Mining |
2.29 |
| Consumer Durables |
1.54 |
| Media, Entertainment & Publication |
1.22 |
| Forest Materials |
1.22 |
| Textiles |
0.46 |
As of 29th February, 2024 [Source: nseindia.com]
Generate wealth Earn 1 Cr# in maturity with Zero LTCG tax¶
Double tax savings^ On premiums (under 80C) and on maturity (under 10(10D))
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