SBI Mutual Fund, one of India’s leading mutual fund companies, has launched a new investment option for investors: the SBI Nifty Midcap 150 Momentum 50 ETF.
This is an open-ended exchange-traded fund (ETF), which means investors can buy or sell units anytime. The new fund offer (NFO) is open for investment until February 24, 2026.
This ETF is designed for investors who want to benefit from the growing momentum of mid-cap companies in the stock market.
What Makes This Fund Special?
The main goal of the SBI Nifty Midcap 150 Momentum 50 ETF is to track the Nifty Midcap 150 Momentum 50 Index.
The fund follows a passive or indexing approach, meaning the fund manager does not pick stocks individually. Instead, the fund invests only in the stocks included in the index.
Unlike active funds, this ETF will not try to beat the market. Even if the market goes down or appears overvalued, the fund will maintain its investments rather than taking a defensive approach.
Investment Structure and Risks
The fund will invest 95%–100% of its assets in the stocks that make up the Nifty Midcap 150 Momentum 50 Index.
Up to 5% of the fund can be invested in government securities (like G-Secs, SDLs, and Treasury Bills) or units of liquid mutual funds to ensure safety and liquidity.
Investors should be aware that mid-cap stocks are highly volatile, so this ETF carries high risk. Careful investing is advised.
Minimum Investment and SIP Options
To make it easy for retail investors, SBI Mutual Fund has set the minimum investment at ₹5,000 during the NFO. Additional investments can be made in multiples of ₹1. For further purchases, the minimum is ₹1,000.
For those who prefer regular investments, the ETF supports Systematic Investment Plans (SIPs), which can be done daily, weekly, monthly, quarterly, or annually.
Understanding Momentum Investing
Momentum investing focuses on stocks that have performed well in the past. This ETF lets investors invest in the 50 fastest-growing mid-cap companies.
Mid-cap companies often grow faster than large-cap companies but also come with higher risk.
