Aditya Birla Sun Life Mutual Fund has introduced two new Factor-Based Index Funds on 21 July 2025.
Investors can subscribe to these funds until 4 August 2025. The two funds are:
Aditya Birla Sun Life BSE 500 Momentum 50 Index Fund
Aditya Birla Sun Life BSE 500 Quality 50 Index Fund
In the Momentum 50 Fund, the top 50 stocks are selected from the BSE 500 index based on momentum (i.e., stocks showing strong recent performance).
In the Quality 50 Fund, the top 50 stocks are chosen based on quality—companies with strong earnings and financial stability.
Fund Details at a Glance
Aditya Birla Sun Life BSE 500 Momentum 50 Index Fund
Fund House: Aditya Birla Sun Life Mutual Fund
NFO Open: July 21, 2025
NFO Close: August 4, 2025
Type: Open-ended
Category: Factor-Based Index Fund
Minimum Investment: ₹500
Lock-in Period: None
Exit Load: 0.1% if redeemed within 15 days
Risk Level: Very High
Benchmark: BSE 500 Momentum 50 TRI
Aditya Birla Sun Life BSE 500 Quality 50 Index Fund
Fund House: Aditya Birla Sun Life Mutual Fund
NFO Open: July 21, 2025
NFO Close: August 4, 2025
Type: Open-ended
Category: Factor-Based Index Fund
Minimum Investment: ₹500
Lock-in Period: None
Exit Load: 0.1% if redeemed within 15 days
Risk Level: Very High
Benchmark: BSE 500 Quality 50 TRI
Top 10 Stocks in the Index (as of June 30, 2025)
Bharat Electronics: 4.24%
Britannia Industries: 4.10%
Nestle India: 4.03%
HDFC AMC: 4.00%
HCL Tech: 3.96%
TCS: 3.94%
Infosys: 3.88%
ITC: 3.86%
Coal India: 3.85%
HAL: 3.82%
Why These Funds Were Launched
According to A. Balasubramanian, MD & CEO of Aditya Birla Sun Life AMC, “These twin fund launches aim to help investors diversify their equity portfolio using a factor-based investment strategy.
The Momentum Index targets fast-growing, high-return stocks, while the Quality Index focuses on stable companies with strong earnings.”
What are Factor-Based Index Funds?
Factor-based index funds combine traditional index investing with specific strategies based on factors like momentum or quality.
In these new Aditya Birla funds:
One focuses on the Momentum Factor (stocks with strong price trends)
The other focuses on the Quality Factor (stocks with consistent earnings and stability)
