Three NFOs opened this week, all passive and all factor-tilted. Groww launched a paired ETF and index fund tracking the same smallcap momentum-quality index, while Kotak added a multi-factor index fund blending high alpha with low volatility across 30 stocks.

This week's NFOs

Groww Nifty Smallcap 250 Momentum Quality 100 ETF

Groww Mutual Fund · ETF – Factor/Smart Beta · open-ended · Opens 2026-05-29

This ETF tracks the Nifty Smallcap 250 Momentum Quality 100 index, which screens the Smallcap 250 universe for momentum and quality signals and selects the top 100. Factor ETFs in the smallcap space stack two layers of concentration risk. The smallcap segment itself and the factor tilt on top.

Groww Nifty Smallcap 250 Momentum Quality 100 Index Fund

Groww Mutual Fund · Index Fund – Factor/Smart Beta · open-ended · Opens 2026-05-29

This index fund tracks the same Nifty Smallcap 250 Momentum Quality 100 index as the ETF launched simultaneously by the same AMC. The index fund wrapper allows direct purchase and redemption at NAV, bypassing the need for a demat account or exchange liquidity.

Kotak Nifty Alpha Low Volatility 30 Index Fund

Kotak Mahindra Mutual Fund · Index Fund – Factor/Smart Beta · open-ended · Opens 2026-05-29

This fund tracks the Nifty Alpha Low Volatility 30 index, a multi-factor index that blends a high-alpha screen with a low-volatility screen and selects 30 stocks. Combining these two factors is structurally interesting because they often pull in opposite directions. High-alpha stocks tend to be volatile, so the index is designed to find names that score well on both simultaneously.

Category observations

All three launches this week are passive and factor-tilted, continuing a visible trend of AMCs moving beyond plain market-cap index products. The Groww pair is the more unusual structure. Launching an ETF and an index fund on the same niche index simultaneously is a deliberate attempt to capture both demat and non-demat distribution channels in one go. The Kotak fund enters a category where live peers already exist on the same benchmark, which is actually useful for evaluation since tracking difference data will be available from day one of comparison.

Track records emerge over three years.

Reading the broader picture

• Last week's coverage sits at Week of May 18 to May 24, 2026.
• The live list of currently open NFOs sits at finset.in/nfo.
• Per-scheme deep dives live at finset.in/funds.

Mutual fund investments are subject to market risks. Read all scheme related documents carefully. Published by Sanket Nilkantha Dube, AMFI-registered Mutual Fund Distributor (ARN-180462). Not investment advice. Full disclosures.