Monthly factor report · India

India Factor Report — September 2026

How the major equity style factors — value, momentum, quality and low volatility — are performing in India, tracked through their flagship NSE factor indices. Free, and updated every month.

Trailing 1-year total return Data as of 29 Sep 2026

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The factor scoreboard

Ranked by trailing 1-year total return. Each factor is represented by its flagship NSE index (tracked via a low-cost index fund, Direct Plan). Nifty 50 is shown as the broad-market baseline.

1
Value LeaderNifty500 Value 50
+6.2%
2
MomentumNifty500 Momentum 50
+5.1%
3
Low VolatilityNifty500 Low Volatility 50
−3.7%
4
Quality LaggardNifty200 Quality 30
−6.0%
—
Broad market (baseline)Nifty 50
−6.9%

What led, what lagged

Every style gave ground as the Nifty 50 fell. Over the trailing year to 29 September the broad Nifty 50 returned −6.9%, down from roughly flat (−0.1%) a month earlier, and all four factors gave back ground with it. Value still leads, for a fourth month running, at +6.2% — down from +19.2% — which puts it about 13 percentage points ahead of the index, against 19 last month.

The defensive styles turned negative. Momentum held second place at +5.1% (from +12.2%), so value and momentum are the only two styles still in positive territory. Low Volatility slipped from +2.9% to −3.7% and Quality from +2.1% to −6.0%, which leaves Quality last of the four for a second month — though still ahead of the index.

The one-line takeaway for September 2026: value still led and momentum held second, the two defensive styles turned negative, and all four factors still finished ahead of a Nifty 50 down 6.9%. Factor leadership rotates, which is why our books combine several signal families rather than bet on one style — whether that pays is what the published record is for.

How MindForge uses factors

Two of the four styles above — momentum and low volatility — are in the same families as the signals our equity books rank on. Quality and value are not: the books use price and volume data only, no fundamentals. Every book is rebalanced monthly and holds its names in equal weight.

Momentum & trendThe main signal family behind LargeMidcap 250 and SmallMicro 500: how a stock’s price has moved, and how steadily.
VolatilityCalmer names rank ahead of erratic ones, so the concentrated books lean away from blow-off moves; every name held still carries the same weight.
LiquidityTrading volume is part of the ranking too, so the books stay in names that can actually be bought and sold.
Multi-asset rotationMultiAsset ranks its eight ETFs — Indian equity, the Nasdaq-100, gold, silver and bonds — on similar price-based signals each month.
See the strategies these factors power →

Report archive

Every month's edition, kept for the record.

Methodology & sources

Each factor is represented by its flagship NSE factor index, measured through a low-cost index fund tracking that index (Direct Plan). Returns are trailing 1-year total returns as of the date shown, so every factor is compared on the same clock. Nifty 50 is the broad-market baseline.

  • Value — Nifty500 Value 50 (UTI Nifty 500 Value 50 Index Fund)
  • Low Volatility — Nifty500 Low Volatility 50 (Nippon India Nifty 500 Low Volatility 50 Index Fund)
  • Momentum — Nifty500 Momentum 50 (Nippon India Nifty 500 Momentum 50 Index Fund)
  • Quality — Nifty200 Quality 30 (UTI Nifty200 Quality 30 Index Fund)
  • Baseline — Nifty 50 (UTI Nifty 50 Index Fund)
  • Trailing 1-year returns computed from official AMFI daily NAVs (Direct Plan, Growth) — 30 Sep 2025 → 29 Sep 2026, the latest published NAV date.

Factor and index returns are historical and will change. This report is educational commentary, not investment advice or a recommendation of any index, fund or security. Past performance does not guarantee future results.