Nifty500 Momentum 50 Share Price

The Nifty 500 Momentum 50 is a strategy-based index derived from the broader Nifty 500. Here, 50 stocks are selected from the Nifty 500 based on their price momentum.

It is a factor index that focuses on momentum investing and doesn't track the entire market. Instead, it focuses on stocks that are currently outperforming.

Tracking Nifty 500 Momentum 50 today or live movements helps you understand where market momentum is shifting across sectors.

The Nifty 500 Momentum 50 follows a strict filter and momentum-based selection process, so only liquid, stable, and high-momentum stocks make it in.

1. Step 1: Starting Universe (Nifty 500)

   
   Stocks must be part of (or eligible for) the Nifty 500 at the time of review.

2. Step 2: Basic Eligibility Filters

   
   Before momentum is even considered, stocks are screened out if they don't meet quality and liquidity checks:
   1) F&O + Circuit Filter (for non-F&O stocks)
   If a stock hits upper/lower circuit ≥ 20% of trading days (last 6 months) → excluded.
   2) Promoter Pledge Filter
   Stocks with more than 20% pledged promoter holding are excluded.
   3) Liquidity Filters
   Bottom 10% by average daily turnover → excluded
   Bottom 10% by turnover ratio → excluded

   It ensures illiquid or high-risk names are eliminated early on.

3. Step 3: Momentum Score Calculation

   
   Each remaining stock is assigned a Normalized Momentum Score based on:
   • 6-month returns
   • 12-month returns

   These are adjusted for volatility, so not just short-term spikes.

4. Step 4: Rank & Select Stocks

   
   Stocks are ranked based on their momentum score, and the top 50 companies are selected.

5. Step 5: Weight Assignment

   
   Weight is based on: Free-float market capitalization x Momentum Score.

   (So stronger and larger stocks get higher weight)

6. Step 6: Rebalancing

   
   Index is reconstituted semi-annually (June and December).

The Nifty 500 Momentum 50 price is calculated using a factor-tilted free-float market capitalization method, which means weights are influenced by both momentum and market size.

1. Step 1: Start with Assigned Weights

   
   Each stock already has a weight based on:
   • Free-float market capitalization
   • Normalized Momentum Score

   (Selection is already done before this step—this is just about calculation)

2. Step 2: Compute Free-Float Market Cap

   
   For each stock:
   Market Cap = Shares x Price x Investible Weight Factor (IWF)
   Here, only publicly available shares are considered.

3. Step 3: Aggregate Index Market Value

   
   Combine the weighted market caps of all 50 stocks. This gives the total index market capitalization.

4. Step 4: Apply Index Formula

   
   Index value is calculated as:
   Index Value = (Current Market Cap / Base Market Cap) × Base Value
   Here, the base value is taken as 1000 for calculation purposes.

5. Step 5: Real-Time Updates

   
   The index value is calculated live during market hours to instantly reflect the Nifty 500 Momentum 50's live movements.

6. Step 6: Periodic Weight Adjustment

   
   Weights are reset during semi-annual rebalancing to ensure the index continues to reflect the latest momentum and market structure.

The Nifty 500 Momentum 50 index helps you understand market leadership trends.

1. Focus on Market Leaders

   : The index highlights stocks that have shown relatively stronger recent performance.

2. Cross-Sector Exposure

   : It's not limited to one sector; momentum can come from different industries at different times.

3. Dynamic by Nature

   : The portfolio keeps evolving as market trends change, rather than staying fixed.

4. Strategy-Oriented View

   : Reflects a momentum-driven approach rather than traditional market cap tracking.

5. Easy to Monitor

   : With Nifty 500 Momentum 50 today and Nifty 500 Momentum 50 live updates, performance can be tracked anytime.

With Anand Rathi's TradeMobi app, investing in the Nifty 500 Momentum 50 or any NSE Indices is simple.

1. Step 1: Login or Open a Demat Account

   
   Access your existing account or open a demat account and trading account.

2. Step 2: Explore Investment Options

   
   Look for index funds or ETFs tracking this index.

3. Step 3: Choose Your Investment

   
   Select based on your risk profile and investment horizon.

4. Step 4: Invest and Track Performance

   
   Monitor your investment using Nifty 500 Momentum 50 live data available on the dashboard.

5. Step 5: Stay Updated

   
   Leverage built-in research tools and insights to understand market movements, momentum trends, and sector rotation.

The Nifty 500 Momentum 50 index was launched on June 4, 2024, as part of NSE's factor index suite, focusing on momentum investing. It was designed to capture the top 50 performing stocks across the broader market (i.e., the Nifty 500), where stocks with relatively strong and consistent price trends are tracked over time.

As markets evolved, the need to go beyond simple market capitalization-based indices became more evident, leading to the creation of indices like this that focus on specific investment styles.

Over time, the index has mirrored changing market leadership, with different sectors and stocks gaining prominence depending on broader market cycles.

Today, tracking the Nifty 500 Momentum 50 live chart provides insight into how trend-driven strategies are playing out in real time, making it a more dynamic reflection of market behavior rather than just a static snapshot.