Nifty Low Volatility 50

The table below shows the Nifty Low Volatility 50 based on the Highest Market Capitalization.

To know more about the Nifty Low Volatility 50, refer to Nifty Low Volatility 50

Nifty Low Volatility 50 Meaning

The Nifty Low Volatility 50 index comprises 50 stocks from the National Stock Exchange of India with the lowest volatility. It is designed to provide stable returns with less price fluctuation, making it attractive for conservative investors seeking steady growth and reduced risk compared to more volatile stocks.

Features Of The Nifty Low Volatility 50

The main features of the Nifty Low Volatility 50 consist of stocks that exhibit lower volatility compared to the broader market, providing a more stable investment option for risk-averse investors.

1. Lower Volatility: Stocks in this index are selected based on their lower price fluctuations, making them less volatile compared to other market indices.

2. Diversified Portfolio: The index includes a diverse range of stocks from various sectors, reducing the overall risk through diversification.

3. Market Capitalization: It comprises stocks with higher market capitalization, ensuring that the companies are well-established and financially stable.

4. Historical Performance: Stocks in this index are chosen based on their historical performance, focusing on those with consistent returns over time.

5. Risk-Adjusted Returns: The index aims to provide better risk-adjusted returns, balancing the trade-off between risk and return for investors.

Nifty Low Volatility 50 Stocks Weightage

The table below shows the Nifty Low Volatility 50 stocks based on the Highest Weights.

Nifty Low Volatility 50 Stocks

The table below shows Nifty Low Volatility 50 Stocks based on one year return.

How To Buy Nifty Low Volatility 50?

To buy Nifty Low Volatility 50, open a demat and trading account with a broker, and invest in exchange-traded funds (ETFs) or index funds tracking the index. Research and select the desired fund, place an order through your broker’s platform and complete the purchase transaction.

Advantages of Nifty Low Volatility 50

The main advantages the Nifty Low Volatility 50 offers with the primary benefit being its focus on stocks that exhibit lower volatility, providing a more stable investment option for risk-averse investors.

1. Consistency: This index focuses on companies with consistent performance, reducing the risk of significant fluctuations in stock prices.

2. Reduced Risk: By investing in low-volatility stocks, investors can minimize the potential for large losses during market downturns.

3. Steady Returns: The emphasis on stability often results in more predictable and steady returns over the long term.

4. Diversification: The index includes a diverse range of sectors, enhancing portfolio diversification and reducing sector-specific risks.

5. Long-Term Growth: Companies in the Nifty Low Volatility 50 tend to have strong fundamentals, supporting sustainable long-term growth.

Disadvantages of Nifty Low Volatility 50

The primary drawback of the Nifty Low Volatility 50 is its relatively lower returns compared to high-risk portfolios, which can be a notable disadvantage for investors aiming for significant growth.

1. Limited Upside Potential: The focus on low-volatility stocks often means sacrificing higher potential returns associated with more volatile, high-growth stocks.

2. Sector Bias: The index may be overweight in certain sectors like consumer staples and utilities, leading to a lack of diversification.

3. Underperformance in Bull Markets: Low-volatility stocks typically underperform in strong bull markets, where high-risk stocks tend to outperform.

4. Lower Dividend Yields: Many low-volatility stocks may offer lower dividend yields, which could be less attractive for income-focused investors.

5. Limited Growth Opportunities: The emphasis on stability can result in a portfolio of mature companies with limited growth prospects, potentially stifling long-term capital appreciation.

Introduction to Top Nifty Low Volatility 50 

Reliance Industries Ltd

The Market Cap of Reliance Industries Ltd is Rs 2002982.99 crore. The stock’s monthly return is 2.89%. Its one-year return is 24.93%. The stock is 4.15% away from its 52-week high.

Reliance Industries Limited is a company based in India that is involved in various activities such as hydrocarbon exploration and production, petroleum refining, marketing, petrochemicals, advanced materials, composites, renewables (solar and hydrogen), retail, and digital services. 

The company operates in segments including Oil to Chemicals (O2C), Oil and Gas, Retail, and Digital Services. The O2C segment comprises refining, petrochemicals, fuel retailing, aviation fuel, bulk wholesale marketing, transportation fuels, polymers, polyesters, and elastomers. Its assets in the O2C business include aromatics, gasification, multi-feed and gas crackers, downstream manufacturing facilities, logistics, and supply-chain infrastructure.  

Tata Consultancy Services Ltd

The Market Cap of Tata Consultancy Services Ltd is Rs. 13,927.79 crore. The stock’s monthly return is -1.37%. Its one-year return is 16.96%. The stock is 11.65% away from its 52-week high.

Tata Consultancy Services Limited (TCS) is an Indian company that offers information technology (IT) services, consulting, and business solutions. It serves various industries including Banking, Capital Markets, Consumer Goods and Distribution, Communications, Media, and Information Services, Education, Energy, Resources, and Utilities, Healthcare, High Tech, Insurance, Life Sciences, Manufacturing, Public Services, Retail, and Travel and Logistics. 

Its services encompass Cloud, Cognitive Business Operations, Consulting, Cybersecurity, Data and Analytics, Enterprise Solutions, IoT and Digital Engineering, Sustainability Services, TCS Interactive, TCS and AWS Cloud, TCS Enterprise Cloud, TCS and Google Cloud, as well as TCS and Microsoft Cloud.

HDFC Bank Ltd

The Market Cap of HDFC Bank Ltd is Rs. 1153545.70 crore. The stock’s monthly return is 14.33%. Its one-year return is 1.84%. The stock is 5.51% away from its 52-week high.

HDFC Bank Limited, a financial services conglomerate, offers a wide range of financial services including banking, insurance, and mutual funds through its subsidiaries. The bank provides various services such as commercial and investment banking, branch banking, and digital banking. 

Its Treasury segment comprises revenue from interest on investments, money market activities, gains or losses from investment operations, and trading in foreign exchange and derivatives. The Retail Banking segment focuses on digital services and other retail banking activities, while the Wholesale Banking segment caters to large corporates, public sector units, and financial institutions by providing loans, non-fund facilities, and transaction services.  

Bharti Airtel Ltd

The Market Cap of Bharti Airtel Ltd is Rs. 826210.70 crore. The stock’s monthly return is 1.73%. Its one-year return is 68.78%. The stock is 2.82% away from its 52-week high.

Bharti Airtel Limited is an international telecommunications company that operates in five key sectors: Mobile Services, Homes Services, Digital TV Services, Airtel Business, and South Asia. In India, the Mobile Services segment offers voice and data telecommunications using 2G, 3G, and 4G technologies. 

Homes Services provides fixed-line phone and broadband services in 1,225 cities across India. The Digital TV Services segment includes standard and HD digital TV services with 3D features and Dolby surround sound, offering a total of 706 channels, including 86 HD channels, 4 international channels, and 4 interactive services.  

ICICI Bank Ltd

The Market Cap of ICICI Bank Ltd is Rs. 795799.95 crore. The stock’s monthly return is 2.26%. Its one-year return is 25.30%. The stock is 1.24% away from its 52-week high.

ICICI Bank Limited, an India-based banking company, offers a variety of banking and financial services through its six segments. These segments include retail banking, wholesale banking, treasury operations, other banking activities, life insurance, and other ventures. The bank also operates both domestically and internationally through its geographical segments.

Infosys Ltd

The Market Cap of Infosys Ltd is Rs. 606591.74 crore. The stock’s monthly return is 5.08%. Its one-year return is 17.96%. The stock is 13.07% away from its 52-week high.

Infosys Limited is a company based in India that offers consulting, technology, outsourcing, and digital services. Its business segments cover areas such as Financial Services, Retail, Communication, Energy, Utilities, Resources, Services, Manufacturing, Hi-Tech, and Life Sciences. 

The remaining segments encompass various businesses in India, Japan, China, Infosys Public Services, and other public service enterprises. The company’s core services consist of application management, proprietary application development, validation solutions, product engineering and management, infrastructure management, enterprise application integration and support.

Hindustan Unilever Ltd

The Market Cap of Hindustan Unilever Ltd is Rs. 556,629.92 crores. The stock’s monthly return is 7.12%. Its one-year return is -8.79%. The stock is 13.45% away from its 52-week high.

Hindustan Unilever Limited, an Indian consumer goods company, operates across five key segments: Beauty & Wellbeing, Personal Care, Home Care, Nutrition, and Ice Cream. Within the Beauty & Wellbeing segment, the company focuses on selling hair care, and skin care, including Prestige Beauty and Health & Wellbeing products. 

The Personal Care segment covers skin cleansing, deodorant, and oral care products. Home Care involves fabric care and a variety of cleaning products. In the Nutrition segment, the company offers scratch cooking aids, dressings, and tea products. The Ice Cream segment focuses on selling ice cream products. Notable brands under the Home Care category include Domex, Comfort, and Surf Excel, among others.

ITC Ltd

The Market Cap of ITC Ltd is Rs. 544583.55 crore. The stock’s monthly return is -3.07%. Its one-year return is -6.14%. The stock is 19.09% away from its 52-week high.

ITC Limited, a holding company based in India, operates through several segments. These segments include Fast Moving Consumer Goods (FMCG), Hotels, Paperboards, Paper and Packaging, and Agri-Business. In the FMCG segment, the company offers a variety of products such as cigarettes, cigars, personal care items, safety matches, and packaged foods like staples, snacks, dairy products, and beverages. 

The Paperboards, Paper, and Packaging segment focuses on specialty paper and packaging solutions. The Agri-Business segment deals with various agricultural commodities like wheat, rice, spices, coffee, soya, and leaf tobacco. ITC’s Hotel segment comprises six distinct brands with over 120 properties, catering to different market segments including luxury, lifestyle, premium, mid-market, upscale, and leisure and heritage.

Larsen and Toubro Ltd

The Market Cap of Larsen and Toubro Ltd is Rs. 498472.12 crores. The stock’s monthly return is 3.69%. Its one-year return is 47.63%. The stock is 10.89% away from its 52-week high.

Larsen & Toubro Limited is involved in a range of activities, including engineering, procurement, and construction projects (EPC), hi-tech manufacturing, and services. The company operates in various segments such as Infrastructure Projects, Energy Projects, Hi-Tech Manufacturing, IT & Technology Services, Financial Services, Development Projects, and Others. 

The Infrastructure Projects division focuses on engineering and constructing buildings, factories, transportation infrastructure, heavy civil infrastructure, power transmission and distribution, water and effluent treatment, as well as minerals and metals. The Energy Projects segment provides EPC solutions for the hydrocarbon, power, and green energy sectors.  

Maruti Suzuki India Ltd

The Market Cap of Maruti Suzuki India Ltd is Rs. 408737.49 crores. The stock’s monthly return is -3.99%. Its one-year return is 29.24%. The stock is 7.15% away from its 52-week high.

Maruti Suzuki India Limited is involved in the manufacturing, purchasing, and selling of motor vehicles, components, and spare parts. The company focuses on producing and selling both passenger and commercial vehicles. It also offers aftermarket parts and accessories under the brand names Maruti Suzuki Genuine Parts and Maruti Suzuki Genuine Accessories. 

In addition, the company facilitates the sale of pre-owned cars, provides fleet management services, and offers car financing. Maruti Suzuki’s vehicles are sold through three channels: NEXA, Arena, and Commercial. NEXA products include Baleno, Ignis, S-Cross, Jimny, and Ciaz, while Arena products include Vitara Brezza, Ertiga, Wagon-R, Dzire, Alto, Celerio, CelerioX, S-Presso, Eeco, and Swift. Commercial products include Super Carry and Eeco Cargo.  

Nifty Low Volatility 50 – FAQs

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Disclaimer: The above article is written for educational purposes, and the companies’ data mentioned in the article may change with respect to time The securities quoted are exemplary and are not recommendatory.