SBI Launches Nifty Midcap Momentum ETF FoF: Details & Tax

SBI Mutual Fund has unveiled the SBI Nifty Midcap 150 Momentum 50 ETF FoF Direct-IDCW, an open-ended Thematic-Factor-based Equity scheme. This new offering, launched on August 5, 2026, aims to replicate the returns of the SBI Nifty Midcap 150 Momentum 50 ETF.

Fund Specifications

• Minimum Lumpsum Investment: Rs 5,000
• Minimum SIP Investment: Rs 500
• Exit Load: 1% if units are redeemed within 15 days of investment
• Risk Category: Classified as ‘Very High risk‘ by SEBI guidelines

The fund’s performance is benchmarked against the NIFTY Midcap 150 Momentum 50 Total Return Index, aligning its objective with a specific market segment.

Management Team

• Viral Chhadva: Fund manager since July 27, 2026
• Dhrumil Shah: Fund manager since July 2021
• Meenakshi Dawar: Fund manager since January 2023
• Amber Singhania: Fund manager since March 2026

A team of four fund managers oversees the scheme, bringing diverse tenures to its management.

Tax Implications Overview

Short-term Capital Gain (STCG) tax stands at 15% if units are redeemed within one year of investment.

Long-term Capital Gain (LTCG) tax is levied at 10% on gains exceeding Rs 1 lakh in a financial year for redemptions after one year, with gains up to Rs 1 lakh being exempt.

Dividend income is added to an investor’s total income and taxed according to their applicable income tax slab. The fund house deducts a 10% TDS for dividend income surpassing Rs 5,000 in a financial year.

This new thematic-factor-based scheme provides investors with exposure to the midcap momentum segment, operating under a specific risk and taxation framework.