Max Life Insurance Introduces First-of-its-kind Smallcap Index Fund in ULIP Segment
Max Life Insurance Company Ltd. has launched a groundbreaking product in the Unit Linked Insurance Plan (ULIP) segment - the 'NIFTY Smallcap Quality Index Fund'. This pioneering move marks the introduction of the first Smallcap Index Fund in the Life Insurance industry. The fund is structured around the NIFTY Smallcap 250 Quality 50 Index, which has showcased an impressive 22% Compound Annual Growth Rate (CAGR) over a decade.
The launch of this fund signifies Max Life's commitment to providing investors with a cost-effective investment option that leverages the growth potential of quality small-cap companies across diverse sectors. With the small-cap and mid-cap indices demonstrating remarkable returns over the recent years, the fund caters to investors seeking substantial returns over the long term while having a higher risk tolerance.
Mihir Vora, Senior Director, and Chief Investment Officer at Max Life, expressed, "The launch of our inaugural Smallcap Index Fund is designed to extend a low-cost investment proposition to our investors. The fund offers a unique avenue to participate in India's growth narrative by investing in well-established companies with promising growth prospects across sectors like manufacturing, infrastructure, consumption, finance, and new technology."
Key Highlights of Max Life NIFTY Smallcap Quality Index Fund:
Growth Potential: The fund is strategically designed to tap into the growth potential of small-cap companies, providing investors with long-term returns aligned with the index.
New Fund Offer: The New Fund Offer (NFO) window is open until August 25, 2023, with an initial unit price of ₹10, applicable solely during the NFO period.
Attractive Charges: The fund boasts lower Fund Management Charges (FMC), making it an attractive investment avenue for millennials and investors seeking cost-effective options.
Comprehensive Offering: The fund is accessible through Max Life's Online Savings Plan, featuring zero allocation and admin charges. Additionally, it is available with the Platinum Wealth Plan, offering guaranteed wealth boosters and additions during the NFO period. The fund is also integrated with other ULIP products.
Aligned with Benchmark: By closely tracking the total returns of the NIFTY Smallcap 250 Quality 50 Index and adhering to investment norms set by IRDAI, the fund aims to mirror benchmark returns.
Max Life Insurance Company Limited is a joint venture between Max Financial Services Limited and Axis Bank Limited. With a comprehensive multi-channel distribution network encompassing agency and third-party distribution partners, Max Life offers a wide array of protection and long-term savings life insurance solutions to cater to diverse investor needs.