Aditya Birla Sun Life Mutual Fund has launched a new index fund — Aditya Birla Sun Life BSE 500 Quality 50 Index Fund, now open for subscription from 21st July to 4th August 2025. With a very high-risk profile, this NFO aims to replicate the performance of the BSE 500 Quality 50 Total Return Index, offering investors exposure to high-quality companies across market caps.
Key NFO Details
| Details | Information |
| Fund Name | Aditya Birla Sun Life BSE 500 Quality 50 Index Fund (Direct – Growth) |
| NFO Period | 21 July 2025 to 04 August 2025 |
| Allotment Date | 08 August 2025 |
| Category | Equity – Multi Cap Index |
| Risk Level | Very High |
| Fund Type | Open-ended |
| Benchmark | BSE 500 Quality 50 TRI |
| Minimum Investment | ₹1,000 (lumpsum), ₹500 (SIP) |
| Exit Load | Exit load of 0.10%, if redeemed within 15 days |
| Short term capital gains (STCG) | Returns taxed at 20% if you redeem before 1 year |
| Long term capital gains (LTCG) | After 1 year, returns above ₹1.25 lakh in a financial year are taxed at 12.5% |
Investment Objective
The scheme aims to provide returns that closely correspond to the total returns of the BSE 500 Quality 50 TRI, subject to tracking errors. As a passive index fund, it invests in high-quality companies selected based on financial and business strength, providing broad market exposure with a focus on quality factors.
Should You Invest in This NFO?
Investing in an index fund NFO may make sense if:
• You prefer passive investing aligned with a quality-based index.
• You’re looking for broad-based multi-cap equity exposure.
• You are comfortable with very high market risk and long-term investment horizons.
However, note that:
• NFOs do not have past performance data.
• Established index funds tracking broader indices already have a proven track record.
Also Read:
- Franklin India Multi Asset Allocation Fund NFO: A High-Risk, Diversified Strategy for 2025
- ICICI Prudential Active Momentum Fund NFO: Capturing Market Trends for Growth
- SBI Nifty100 Low Volatility 30 Index Fund NFO: Targeting Stability in Volatile Markets
- Quant Equity Savings Fund NFO: A Balanced Investment Approach for 2025
- SBI Dynamic Asset Allocation Active FOF NFO: A High-Risk Fund of Funds Approach for 2025
About Aditya Birla Sun Life Mutual Fund
Aditya Birla Sun Life Mutual Fund manages ₹4,05,267 Crore AUM (as of June 30, 2025) and offers 88 schemes across categories. Some of their high-performing funds include:
| Fund Name | AUM (₹ Cr) | 1Y Return | 5Y CAGR |
| Aditya Birla Sun Life PSU Equity Fund | 5,687 | -11.85% | 32.18% |
| Aditya Birla Sun Life Infrastructure Fund | 1,171 | -6.54% | 31.28% |
| Aditya Birla Sun Life Small Cap Fund | 5,134 | -3.99% | 28.30% |
| Aditya Birla Sun Life Mid Cap Fund | 6,205 | 0.45% | 27.34% |
| Aditya Birla Sun Life Value Fund | 6,371 | -5.49% | 25.68% |
| Aditya Birla Sun Life Dividend Yield Fund | 1,524 | -7.46% | 23.69% |
Final Thoughts
If you’re looking for passive, rule-based exposure to high-quality companies across the BSE 500 universe, the Aditya Birla Sun Life BSE 500 Quality 50 Index Fund NFO could be an option to consider.
However, before investing, review the scheme document, understand tracking error risks, and ensure the fund aligns with your long-term investment goals and risk appetite.
