Aditya Birla Sun Life AMC Unveils 2 Power-Packed Index Funds to Tap Market Momentum & Stability!

DSIJ Intelligence-4 / 24 Jul 2025/ Categories: MF NFO, Mindshare, Mutual Fund, Trending

Aditya Birla Sun Life AMC launches two factor-based index funds—Momentum 50 and Quality 50—offering access to rule-based strategies with NFOs open from July 21 to August 4, 2025.

Aditya Birla Sun Life AMC Limited has announced the launch of two new factor-based index funds: the Aditya Birla Sun Life BSE 500 Momentum 50 Index Fund and the Aditya Birla Sun Life BSE 500 Quality 50 Index Fund. These New Fund Offers (NFOs) will be available for subscription from July 21, 2025, to August 4, 2025.

The new funds aim to provide easy access for retail investors to advanced, rule-based investment strategies. Each fund follows a distinct approach, allowing investors to choose the one that best fits their financial goals and risk appetite.

Fund Name	Open Date	Close Date	Minimum Investment
Aditya Birla Sun Life BSE 500 Momentum 50 Index Fund	July 21, 2025	Aug 4, 2025	₹500
Aditya Birla Sun Life BSE 500 Quality 50 Index Fund	July 21, 2025	Aug 4, 2025	₹500

Details of the Two Index Funds

Fund Name	Investment Focus	Ideal For	Key Features
Aditya Birla Sun Life BSE 500 Momentum 50 Index Fund	50 high-performing stocks with strong momentum from the BSE 500 universe	Investors seeking higher returns	Top performers, trends-based, higher mid- & Small-Cap tilt
Aditya Birla Sun Life BSE 500 Quality 50 Index Fund	50 financially sound companies with high quality and stable earnings from the BSE 500 universe	Investors seeking consistency	Lower volatility, focus on stable, proven companies

Fund Strategies

Momentum 50 Index Fund:

Selects the top 50 stocks showing strong price momentum from the BSE 500 universe.
Portfolio composition shifts quarterly to capture current trends.
At the last rebalance in June, approximately 70% of assets were in mid- and small-cap stocks.
Designed for investors with a high risk appetite and a focus on maximum upside.

Quality 50 Index Fund:

Focuses on stocks with steady earnings, high return on equity, and low debt.
Tends to allocate about 50% to large caps, with the balance in mid- and small-cap companies.
Aims to perform better in downturns while delivering consistent long-term growth.

Key Comparison

Feature	Momentum 50 Index Fund	Quality 50 Index Fund
Index Tracked	BSE 500 Momentum 50 TRI	BSE 500 Quality 50 TRI
Cap Allocation	~70% mid/small-cap	~50% Large-Cap
Risk Level	Very High	Very High
Investment Focus	Price momentum	Financial stability and quality
Objective	Maximize upside in rallies	Stability and steady growth
Suitable for	Aggressive investors	Long-term, quality-focused savers

Industry Perspective

A. Balasubramanian, Managing Director & CEO of Aditya Birla Sun Life AMC Ltd., commented:

“These twin fund launches are aimed at enabling investors to diversify their core equity portfolios with factor-based strategies that have proven performance across market cycles. Investors may choose either fund or a combination of both, based on their horizon, risk tolerance, and return expectations.”

Overview of Aditya Birla Sun Life AMC Limited

Aditya Birla Sun Life AMC Limited, incorporated in 1994, is one of India’s leading asset managers, servicing over 10.6 million investor folios across 300+ locations and managing assets exceeding Rs 4,056 billion as of March 31, 2025.

Conclusion

The twin launch gives Indian investors new options to diversify their investments with smart beta strategies at a low cost. Both funds carry a very high risk rating, so investors should consult a financial advisor to determine suitability before investing.

Disclaimer: Mutual Fund Investments are subject to market risks. Read all scheme-related documents carefully.