New Delhi India, February 24: In today’s dynamic market, prospect/ policy holders seek strategies that optimize returns while maintaining a balanced risk approach. Momentum investing has emerged as a powerful strategy, focusing on stocks that have demonstrated strong upward price movement. Leveraging this strategy, PNB MetLife has introduced the “PNB MetLife Nifty 500 Momentum 50 Index Fund” (ULIF03115/02/25NIFTYMOMEN117), a passively managed fund that will be benchmarked against NIFTY 500 Momentum 50 Index Fund for its performance. This fund tracks the performance of the Nifty 500 Momentum 50 Index Fund, which includes the top 50 stocks demonstrating the highest stock price momentum within the Nifty 500 Index Fund. The index fund has delivered an impressive 29.3% annual price return over the past five years (ending December 31, 2024 as per data provided by NSE Indices).
This fund follows an idea where stocks with strong momentum are anticipated to continue performing well. The fund focuses on companies showing significant rising trends in their stock prices to follow the trends of rising markets.
The PNB MetLife Nifty 500 Momentum 50 Index Fund is open from February 15 to February 27, 2025, with an initial Net Asset Value (NAV) of Rs 10. The fund will be available at the prevailing market rates after February 28, 2025. 99% of PNB MetLife’s equity funds AUM is rated 5 or 4 star by Morningstar, a reputed global funds rating agency (3 years rating as of January 31, 2025, excluding funds not rated by Morningstar).
Benefits Of PNB MetLife’s Nifty 500 Momentum 50 Index Fund:
• Optimized Returns Through Momentum: The objective of the Nifty 500 Momentum 50 Index Fund is to monitor the top 50 Nifty 500 firms’ performance chosen based on their normalized momentum score. The momentum strategy has performed better than the broader indices in the past, according to NSE data.
• Seamless Investment Through ULIPs: Policyholders can access the Momentum 50 Index Fund via PNB MetLife’s Unit Linked Insurance Plans (ULIPs) on the official website. This ensures a dual benefit of wealth creation and insurance protection under a single plan.
• Tax Efficiency: Zero tax is applicable on long-term capital gains (LTCG), making it a tax-efficient option (for annual investments up to 2.5 lakhs).
• Life Cover: This fund provides 10X life cover which ensures that policyholders receive life insurance coverage equal to ten times their annual premium, offering the benefits of market-linked investment growth and financial protection under a ULIP.
Who Should Invest?
It’s ideal for ULIP prospect/policyholder looking for life insurance with market-linked growth. This fund which is available with ULIPs is well-suited for long-term prospect with high-risk tolerance who seek to capitalize on market trends while benefiting from tax efficiency. Regulations may restrict us from investing in all the stocks/sectors in line with their weights in the index from time to time, resulting in tracking error.
Features Of “PNB MetLife Nifty 500 Momentum 50 Fund”:
• Smart Stock Selection: The Nifty 500 Momentum 50 index Fund Chooses the top 50 stocks in the Nifty 500 Index Fund with the strongest 6 and 12-month price performance, adjusted for volatility.
• Broad Market Coverage: The index fund prioritizes momentum while providing broad market exposure to small, large, and mid-cap stocks across multiple sectors.
• Regular Market Rebalancing: The index fund is rebalanced every six months (June and December) to remain momentum focused and reflect the most recent market movements.
• Clear & Transparent Process: The index fund selects stocks using a transparent, publicly accessible approach to ensure investor confidence.
The new fund is available with PNB MetLife Unit Linked Insurance Plans (ULIPs), offering a seamless experience across both PNB MetLife official website (www.pnbmetlife.com) and offline distribution channels.
If you’re looking for a smart and rules based Life insurance with market linked returns, the “PNB MetLife Nifty 500 Momentum 50 Index Fund” is a well-suited option for you as it offers an attractive mix of growth, diversification and tax efficiency.
Disclaimer:
IN THIS POLICY, THE INVESTMENT RISK IN INVESTMENT PORTFOLIO IS BORNE BY THE POLICYHOLDER. The unit linked insurance products do not offer any liquidity during the first five years of the contract. The policyholder will not be able to surrender/withdraw the monies invested in Linked Insurance Products completely or partially till the end of the fifth year. TERMS AND CONDITIONS APPLY.
For more details on risk factor, terms & conditions please read the sales brochure before concluding any sale.
PNB MetLife NIFTY 500 Momentum 50 Index Fund (SFIN: ULIF03115/02/25NIFTYMOMEN117) is a passively managed fund with the NIFTY 500 Momentum 50 Index Fund as its benchmark.
