What is Bajaj Allianz Life Nifty 500 Multicap Momentum Quality 50 Index Fund NFO?
The Bajaj Allianz Life Nifty 500 Multicap Momentum Quality 50 Index Fund is a top-performing ULIP fund designed to help you grow wealth by tracking the performance of the Nifty 500 Multicap Momentum Quality 50 Index. This fund strategically invests in a diversified portfolio of high-quality stocks with strong momentum, ensuring optimal risk-adjusted returns.
The Bajaj Allianz Nifty Multicap Momentum Quality Index NFO is ideal for investors seeking a balance of risk and reward while leveraging market opportunities. It provides tax benefits under Section 80C and tax-free maturity proceeds under Section 10(10D).
Key Features of Bajaj Allianz Nifty Multicap Momentum Quality Index Fund
Some of the key features offered by the Bajaj Allianz Life Nifty Multicap Momentum Quality Fund NFO are as follows:
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Quality & Momentum: The fund combines the qualities of high momentum and strong financial stability, focusing on the best performers across market caps.
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Stock Selection: It includes the top 10 large-cap stocks, top 15 mid-cap stocks, and top 25 small-cap stocks from their respective groups.
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Performance-Based Selection: The Bajaj Allianz Life Nifty 500 Multicap Momentum Quality 50 Index Fund promotes stocks with high returns and low volatility. It removes stocks with poor returns or high volatility.
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Multi-Cap Benefits: It balances stability and growth by investing in large caps for steady returns, mid caps for high growth, and small caps for future growth potential.
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High Returns: The Bajaj Allianz Nifty Multicap Momentum Quality Index Fund has delivered a strong 10-year return of 22.9%, making it one of the best-performing index funds.
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Diversified Portfolio: It invests in the top 10% of stocks from large, mid, and small-cap sectors, offering broad market exposure.
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Diversification Across Market Caps: The mandatory inclusion of large, mid, and small-cap stocks in the Nifty 500 Multicap Momentum Quality 50 Index helps reduce risk.
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Affordable Entry: You can buy units of the fund at a low NAV of Rs. 10.
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ULIP & CG Waiver: The fund offers a waiver of premium benefit with Bajaj Allianz ULIP Plans and Capital Guarantee Solutions.
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WOP CG: The Waiver of Premium (WoP) benefit for Bajaj Allianz Capital Guarantee Solution starts at just Rs.2000.
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Goal Assure: The fund is available with the Bajaj Allianz Goal Assure Plan with zero fund allocation changes and Return of Mortality Charge (ROMC) benefits for added security.
Best Investment Plans to Invest in Bajaj Allianz Life Nifty Multicap Momentum Quality 50 Fund:
| Plan Name |
Growth |
Waiver Of Premium |
Retirement |
| Capital Guarantee Plans |
Available
(Starts at Rs. 2,000) |
Available
(Starts at Rs. 2,000) |
Available
(Starts at Rs. 4,200) |
| ULIP Plans |
Goal Assure Plan
(Starts at Rs. 2,000)
Smart Wealth Goal Plan
(Starts at Rs. 2,000) |
Smart Wealth Goal Plan + WOP
(Starts at Rs. 2,000) |
Life Long Goal Plan
(Starts at Rs. 2,000) |
What is the Momentum and Quality Strategy?
The Momentum and Quality Strategy is an investment approach that focuses on the RSG Framework (Returns, Stability, and Growth Potential) to create a diversified portfolio.
R - Returns (Momentum)
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Momentum investing focuses on companies that have performed well in the past.
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The idea is that stocks that have been rising recently are likely to continue doing so.
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Investors buy these stocks and sell those that are falling, aiming to benefit from market trends.
S - Stability (Quality)
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Stability emphasizes investing in companies with strong financial foundations.
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These companies usually have low debt, consistent profitability, and a good track record of paying dividends.
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Investing in such companies helps reduce risk and generate stable, long-term returns.
G - Growth Potential
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Growth potential seeks companies that have significant future growth opportunities.
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These companies are often in high-growth sectors or offer innovative products and services.
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While growth stocks can yield higher returns, they come with greater risk due to market uncertainties.
The RSG framework provides a structured approach to stock selection by balancing both growth and stability in investment decisions. It helps investors to identify companies that align with their investment goals and risk tolerance.
How Does the Bajaj Allianz Nifty Multicap Momentum Quality 50 Index Fund Work?
The Bajaj Allianz Life Nifty 500 Multicap Momentum Quality Index Fund aims to invest in high-quality stocks with strong momentum across all market capitalizations. It follows the below mentioned investment methodology:
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Universe: The fund selects stocks from the Nifty 500, which includes 500 companies from large-cap, mid-cap, and small-cap categories.
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Selection Criteria:
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Momentum Factor: Stocks with strong performance over the last 6 to 12 months are chosen.
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Quality Factor: Focuses on companies with financial stability, low volatility, and long-term growth potential.
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Composition:
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The index includes 50 stocks, representing the top 10% of the Nifty 500.
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These top 10% stocks are further divided into:
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100 Large Caps: Invest in the top 10 large-cap stocks.
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150 Mid Caps: Invest in the top 15 mid-cap stocks.
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250 Small Caps: Invest in the top 25 small-cap stocks.
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Rebalancing: The index is rebalanced twice a year, in June and December, to align with market changes.
Historical Performance of Nifty 500 Multicap Momentum Quality 50 Index
| Index Name |
5-Year Returns |
10-Year Returns |
| NIFTY 500 Multicap Momentum Quality 50 Index |
30.7% |
22.9% |
| NIFTY Midcap 150 Index |
24.9% |
17.5% |
| NIFTY Smallcap 250 Index |
25.9% |
15.0% |
| NIFTY 500 Index |
17.4% |
12.8% |
| NIFTY 50 Index |
14.9% |
11.4% |
[Source: nseindia.com]
If you had invested ₹100 in the Nifty Multicap Momentum Quality Index 10 years ago, it would now be worth approximately ₹786, reflecting a 7.86 times return. This highlights the power of momentum investing in generating strong long-term growth.
Steps to Invest in Bajaj Allianz Nifty Multicap Momentum Quality Index Fund NFO
Follow these easy steps to start your investing in Bajaj Allianz Nifty Multicap Momentum Quality 50 Index Fund:
Step 1: Fill the Form- Enter your name and contact number in the form provided on this page.
NOTE: Your information is secure and will be used to tailor your investment experience.
Step 2: Explore Plans- Click on "View Plans" to check the available investment options.
Step 3: Provide Additional Details- Log in and fill in your city, age, and annual income to view customised benefits.
Step 4: Choose a Plan- Once you enter your details, browse the range of investment options and select a plan that best suits your needs-
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Bajaj Allianz Life Capital Guarantee Savings Plan
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Bajaj Allianz Life Capital Guarantee Plan - Waiver of Premium (WOP)
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Bajaj Allianz Life Capital Guarantee Plan - Retirement
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Bajaj Allianz Life Goal Assure Plan
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Bajaj Allianz Life Smart Wealth Goal Plan
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Bajaj Allianz Life Smart Wealth Goal Plan - Waiver of Premium (WOP)
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Bajaj Allianz Life Life Long Goal Plan
Step 5: Get Plan Details-Click "Get Details" for more information about your chosen plan. If you need help, click "Talk to an Expert" for a free consultation.
Step 6: Review Plan Details- Carefully review the plan details. If everything looks good, click "Proceed" to move ahead.
Step 7: Enter Investment Details- Fill in the required information and specify the amount you wish to invest. Select your preferred payment method.
Step 8: Complete KYC- Submit your KYC details as per regulatory requirements.
Step 9: Make the Payment- Complete the payment process and once successful, you will receive an investment confirmation.
Benefits of Investing in Bajaj Allianz Nifty Multicap Momentum Quality Fund through Policybazaar
The key benefits of investing in the Bajaj Allianz Life Nifty Multicap Momentum Quality Index Fund through Policybazaar are as follows:
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Convenience: You can invest online easily without visiting banks or meeting insurance agents, making the process completely hassle-free.
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Easy Comparison: Platforms like Policybazaar allow you to compare various investment plans and funds, helping you choose the best option for your needs.
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Expert Assistance: Financial experts at Policybazaar provide personalised guidance to help you select an investment plan that matches your financial goals.
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Tax Benefits: You can claim tax deductions under Section 80C and enjoy tax exemptions under Section 10(10D) of the Income Tax Act while optimising your financial strategy.
Generate wealthEarn 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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