The Nifty200 Momentum 30 Index aims to track the overall performance of 30 higher momentum stocks from Nifty 200 index. The Momentum Score for every single stock is based on current 6-month and 12-month value return, adjusted for volatility. Stock weights are based on a mixture of the stock’s Normalized Momentum Score and its totally free-float marketplace capitalization.
This item is appropriate for investors who are looking for any capital development in tune with the index returns by way of passive investment in equity instruments of Nifty200 Momentum 30 Index.
The minimum initial investment quantity is Rs. 5,000. The scheme presents Regular and Direct Plan but each the plans provide only Growth Option.
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Sharwan Kumar Goyal, Fund Manager of the scheme stated, “With the launch of UTI Nifty200 Momentum 30 Index Fund, we are introducing a smart-beta or factor-based strategy. Empirical research done globally suggests that momentum strategy has performed well over in long term. Globally as well as in India, momentum investing is well accepted investment style. Currently, this investing style is available in India through alternative investment vehicles. We are introducing the same under Index Fund route for the first time in India. The scheme is a low-cost index fund which tracks the Nifty200 Momentum 30 Index passively and endeavors to achieve return equivalent to the underlying index while minimizing tracking error.”
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One may possibly use any of the following functions accessible in UTI Nifty200 Momentum 30 Index Fund:
(i) Systematic Investment Plan (SIP)
(a) Step up facility
(b) Any Day SIP
(c) Micro SIP
(d)Pause facility
(ii) Systematic Withdrawal Plan (SWP)
(iii) Systematic Transfer Investment Plan (STRIP)
(iv) Flexi Systematic Transfer Investment Plan (Flexi STRIP)