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List of Best Momentum ETFs in India 2026

As of mid-January 2026, the Nifty200 Momentum 30 Index recorded a 16-29% 5-year CAGR and a 15.8-17.8% 3-year CAGR, much lower than the widely circulated 114% and 61% figures. The index’s negative 1-year return in parts of 2025–2026 also reflects how momentum strategies can deliver strong gains in bull phases but turn volatile when market trends shift.

Top Momentum ETFs in 2026

Momentum ETF Stock Screener

Momentum ETF Stock Screener: Analyse & Filter Indian Stocks on Tickertape

Showing 1 - 8 of 8 results

last updated at 6:30 AM IST 
NameStocks (8)Sub-SectorSub-SectorMarket CapMarket CapClose PriceClose PricePE RatioPE Ratio1D Return1D Return1M Return1M Return6M Return6M Return1Y Return1Y ReturnPB RatioPB RatioReturn on EquityReturn on EquityROCEROCEDividend YieldDiv YieldDebt to EquityDebt to EquityVolatility vs NiftyVolatility vs Nifty
1.HDFC Nifty200 Momentum 30 ETFHDFCMOMENTEquityEquity10.5910.5931.1831.18--1.271.27-2.13-2.132.402.402.972.97----------1.331.33
2.ADITYA BSL Nifty 200 Momentum 30 ETFMOMENTUMEquityEquity9.689.6831.2131.21--0.680.68-2.62-2.622.032.032.732.73----------1.261.26
3.Groww Nifty 500 Momentum 50 ETFGROWWMOM50EquityEquity8.718.7110.3410.34--0.290.29-3.27-3.27-0.67-0.671.671.67----------1.151.15
4.Kotak Nifty 200 Momentum 30 ETFMOMENTUM30EquityEquity5.435.4330.8030.80--0.720.72-2.59-2.59-8.03-8.03-8.03-8.03----------1.441.44
5.Motilal Oswal Nifty Midcap150 Momentum 50 ETFMOMIDMTMEquityEquity5.195.1962.6562.65--0.800.80-1.00-1.000.380.38-2.94-2.94----------1.151.15
6.Angel One Nifty Total Market Momentum Qlty 50 ETFAONETMMQ50EquityEquity5.155.159.689.68--0.730.730.210.21-3.30-3.30-3.30-3.30----------1.351.35
7.Motilal Oswal Nifty 200 Momentum 30 ETFMOMOMENTUMEquityEquity3.483.4862.6262.62--1.021.02-1.60-1.602.342.342.772.77----------1.361.36
8.ICICI Prudential Nifty 200 Momentum 30 ETFMOM30IETFEquityEquity1.021.0231.4531.45--0.830.83-2.48-2.482.082.082.882.88----------1.381.38

Disclaimer: Please note that the above table is for informational purposes only, and is not recommendatory. Please do your own research or consult your financial advisor before investing. The data is derived from Tickertape Stock Screener and is subject to real-time updates.

Selection criteria: Based on publicly available information | Sorted by market capitalisation from highest to lowest.

Overview of Top Momentum ETFs in India

ICICI Pru Nifty 200 Momentum 30 ETF

This ETF tracks the Nifty 200 Momentum 30 Index and invests in 30 stocks with strong recent price performance. It follows a rules-based approach that selects companies showing consistent upward trends. The ETF aims to capture short-term momentum patterns across large and mid-cap stocks within the Nifty 200 universe.

Motilal Oswal Nifty 500 Momentum 50 ETF

This ETF tracks the Nifty 500 Momentum 50 Index and invests in 50 of the highest-momentum stocks. It covers a wider universe of large, mid and small-cap companies. The fund uses a systematic selection method that focuses on stocks with strong price performance over predefined periods.

Motilal Oswal Nifty 200 Momentum ETF

This ETF follows the Nifty 200 Momentum 30 framework and invests in stocks with strong recent price momentum. It uses a rules-based selection system to pick companies from the Nifty 200 list. The focus remains on capturing short-term market trends by identifying stocks with strong, sustained upward movement.

HDFC Nifty 200 Momentum 30 ETF

This ETF mirrors the Nifty 200 Momentum 30 Index and invests in 30 stocks with strong recent performance. It follows a transparent, rules-driven approach that selects companies based on momentum factors. The portfolio focuses on large and mid-cap stocks that show steady price strength over defined time periods.

Aditya Birla Nifty 200 Momentum 30 ETF

This ETF tracks the Nifty 200 Momentum 30 Index and holds 30 stocks that display strong price momentum. It selects companies through a rules-based process that ranks stocks on recent performance. The ETF aims to capture ongoing market trends by investing in large and mid-cap names showing sustained strength.

What are Momentum ETFs?

Momentum ETFs invest in stocks that show strong recent price performance. These ETFs track indices that pick companies with rising prices over a defined period. The strategy assumes that stocks that have performed well in the near past may continue to show strength in the short term. Momentum ETFs offer a rules-based way to follow this trend without selecting individual stocks yourself.

How to Invest in Momentum ETFs?

Here's how you can invest in Momentum ETFs using Tickertape -

  1. Create an account on the Tickertape or log in if you already have one.
  2. Open Tickertape Stock Screener
  3. Filter Momentum ETFs screener based on various parameters such as market cap, close price, past returns and more. You can review this data to evaluate each ETF’s performance trends and determine whether they align with your investment thesis.
  4. Once you’ve decided on an ETF, you can place a buy order through your brokerage account linked to Tickertape.

You can also stay updated on alerts and announcements for your favourite stocks with Tickertape Alerts. Further, you can analyse your overall portfolio and potential red flags in it by connecting it to Tickertape. Check out detailed analysis of your portfolio now!

Advantages of Investing in Momentum ETFs in India

Capture strong trending stocks in India

Momentum ETFs in India mainly track indices like Nifty200 Momentum 30 and Nifty500 Momentum 50, which select the top-performing stocks based on recent price trends.

Long-term performance can exceed broad benchmarks

Back-tested and strategy index data show the Nifty500 Momentum 50 Index has delivered annualised returns well above the broad Nifty50 over multiple long periods.

Diversified across sectors and scales

Typical momentum indices hold 30 to 50 stocks across large- and mid-cap companies. A fund like the Motilal Oswal Nifty 200 Momentum 30 ETF has holdings across financial services, consumer cyclicals, industrials and basic materials sectors, providing diversified exposure to trends across India’s market.

Less emotion in the investment process

Rules-based selection means ETFs rebalance at preset intervals (usually semi-annual), removing bias and emotional decision-making that often leads direct stock investors to buy high and sell low during volatile periods.

Market structure benefits

Many momentum ETFs have seen measured growth in AUM and trading volume, and their transparent methodologies help investors understand what drives returns.

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Risks of Investing in Momentum ETFs in India

Short-term volatility and seasonal swings

The Nifty200 Momentum 30 Index has shown negative returns in several short-term periods, including the recent 1-month and 6-month returns (e.g., negative 1.34% over 1 month and around negative 0.07% over 6 months as of Jan 2026), suggesting momentum isn’t guaranteed in the near term.

Risk-adjusted performance metrics remain mixed

Some momentum index funds and related products show low or negative Sharpe ratios (a measure of risk-adjusted returns), suggesting periods when gains did not adequately compensate for volatility, a common outcome in trending strategies when the trend stalls.

High factor turnover costs

Frequent rebalancing to adjust to momentum shifts increases turnover. In Indian markets, costs such as transaction taxes and bid-ask spreads can reduce net returns relative to headline index returns.

Sector and market-cap concentration

At times, momentum indices overweight specific sectors or midcaps, increasing concentration risk. In corrections, these stocks may fall harder than broader indexes.

Tracking differences in ETFs

Some physical ETFs show divergences between index performance and fund NAV movements, especially in volatile markets, due to tracking errors and liquidity gaps.

Factors to Consider Before Investing in Momentum ETFs

Check historical performance vs benchmarks

Historical performance of momentum indices often shows periods where returns exceed broad benchmarks such as the Nifty50 or Nifty200. For instance, the Nifty500 Momentum 50 index has outperformed the Nifty50 in multiple recent periods, according to benchmark comparison data.

Market cycle and risk tolerance

Momentum index behaviour varies across market cycles. Long-term data highlights strong cumulative performance, while shorter periods can include phases of modest or negative returns, reflecting the strategy's cyclical nature.

Expense ratio and liquidity

Expense ratios and liquidity levels differ across momentum ETFs, and these characteristics influence overall returns through cost drag and trading efficiency.

Sector and holding composition

Holdings of momentum ETFs typically show exposure to sectors such as financials, consumer, and industrials. Shifts in sector weights can influence index behaviour because sector-specific trends affect return patterns.

Time horizon alignment

Performance outcomes in momentum strategies also reflect the impact of periodic rebalancing cycles, which shape return trajectories over multi-year horizons rather than short-term windows.

Taxation on Momentum ETFs

Momentum ETFs are taxed according to the investment horizon. The tax treatment varies between short-term and long-term gains.

Holding Period Tax Treatment
Short-Term (< 12 months ) Gains taxed at a flat rate of 20% (increased from the previous 15%).
Long-Term (> 12 months) Gains taxed at 12.5%. Exemption applies to the first ₹1.25 Lakh of long-term gains across all equity assets in a financial year.

Conclusion

Momentum ETFs give users a structured way to track stocks that show strong price trends within the Indian market. The strategy follows a transparent index-based process and reflects how specific sectors or themes gain strength during different market cycles. At the same time, momentum carries its own phases of underperformance and higher volatility, especially during sharp reversals. Understanding the index methodology, long-term data, sector exposure and risk behaviour helps set clear expectations before investing.

Frequently Asked Questions on Momentum ETFs

  1. What is a momentum ETF?

    A momentum ETF tracks an index that selects stocks with stronger recent price performance than the broader market. It follows a rules-based method and updates holdings periodically based on momentum scores.

  2. Which is the best momentum ETF?

    The best momentum ETFs as per 1-year returns include: Groww Nifty 500 Momentum 50 ETF, Aditya Birla Nifty 200 Momentum 30 ETF, HDFC Nifty 200 Momentum 30 ETF and ICICI Pru Nifty 200 Momentum 30 ETF.

  3. Are momentum ETFs worth it?

    Momentum ETFs have shown strong long-term returns. For instance, the Nifty200 Momentum 30 Index delivered ~114% in 5 years and ~61% in 3 years as of mid-Jan 2026. Performance varies by market cycles, trends and factor behaviour.

  4. How do momentum funds work?

    Momentum funds use quantitative ranking to pick stocks based on recent performance. The index selects and weights top-ranked stocks and rebalances periodically. The ETF replicates the index to stay aligned with prevailing trends.

  5. Are momentum ETFs suitable for beginners in the stock market?

    Momentum ETFs can show sharp swings during reversals. Beginners should understand that momentum relies on fast-changing trends and may be more volatile in the short term.

  6. What is the most powerful momentum indicator?

    Common indicators include rate of change, moving averages and relative strength. Most Indian momentum indices use relative strength to compare stock performance against the universe.

  7. How to sell momentum ETFs?

    Momentum ETFs can be sold on the exchange through your demat account by placing a sell order during trading hours. The sale executes at market price and settles normally.