Tata BSE Quality 30 Index Fund – This NFO is open for subscription until 28th March.
Quality has been associated as one of the measures of profitability of the firm in the case of equities. The quality factor in investing refers to a set of financial and business characteristics that indicate a company’s robustness, profitability, and operational efficiency. Quality as a factor takes into consideration 3 key fundamental ratios (ROE, Accruals and Financial Leverage) for screen stocks. This approach has helped to bring robustness in the performance of quality as a factor compared to its universe i.e., BSE 250 Large & Midcap.
Quality tends to perform the best during volatile/down phases of the equity markets and is inclined to offer downside risk protection.
Happy Investing !!!