Mumbai: Axis Mutual Fund has announced the launch of the Axis Nifty500 Quality 50 Index Fund, an open-ended index scheme tracking the Nifty500 Quality 50 TRI.
The New Fund Offer (NFO) will remain open for subscription from August 21, 2025, to September 4, 2025.
Axis Nifty500 Quality 50 Index Fund Offers Disciplined Investing
The Axis Nifty500 Quality 50 Index Fund is designed to provide investors with transparent, rules-based exposure to 50 high-quality companies selected from the Nifty 500 universe. The index constituents are chosen based on return on equity, financial leverage, and earnings growth stability, thereby ensuring a robust portfolio with minimal human bias.
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The fund managers, Karthik Kumar and Hitesh Das, will oversee the scheme. The minimum application amount is ₹100, and the exit load is 0.25% if redeemed within 15 days of allotment, and nil thereafter.
Performance and Benefits of the Quality Index Strategy
Historically, the Nifty500 Quality 50 Index has outperformed the broader market while offering better downside protection during volatility.
For instance, during the Global Financial Crisis and the COVID-19 market crash, the index recorded smaller drawdowns and quicker recoveries compared to the Nifty 50. Over the 15 years ending July 2025, it achieved a CAGR of 15.6% versus the Nifty 50’s 12.1%, with lower volatility.
B Gopkumar, MD & CEO of Axis AMC, said, “Quality is a proven investment factor that demonstrates resilience in uncertain markets while capturing upside during growth cycles. The Axis Nifty500 Quality 50 Index Fund offers investors a disciplined, low-cost, and transparent way to build long-term wealth through exposure to India’s strongest companies.”
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Key Features of Axis Nifty500 Quality 50 Index Fund
- Open-ended index fund tracking Nifty500 Quality 50 TRI
- Diversified exposure across large, mid, and small caps
- Rules-based stock selection methodology
- Focus on high ROE, low leverage, and stable earnings growth
- Semi-annual rebalancing with capped stock weights
- Accessible minimum investment of ₹100
Ashish Gupta, CIO, Axis AMC, added, “By investing in quality companies with robust fundamentals, this fund provides stability and long-term growth opportunities, making it ideal for investors seeking core equity allocation.”
