NSE has a ton of equity indices, 96 of them. Removing a bunch of the repetitive ones, we are still left with over 50. Chart below shows their CAGR since inception. All the way from 23% (Midcap150 Momentum50) to -3% (Realty). The Nifty has clocked 14% over 24 years.

Worst drawdowns. Realty fell 93% from peak, IT *gasp* 90% from March 2000 to Oct 2001.

CAGR calculations assume you invest on inception date and never again. So we also see how a monthly SIP would’ve done in each of those indices. The worst 3 SIP performers: Media, High Beta 50 and Realty The best 3: Midcap150 Momentum 50, Alpha 50, Smallcap250 Quality 50.

Chart shows the difference between SIP XIRR and CAGR. A look at the Realty index chart highlights why the CAGR is so much worse than what a monthly SIP would’ve done.

How the various indices did versus the Nifty on SIP XIRR and Volatility.

4: Worse than the Nifty on both return and volatility (Red ‘X’ marks the Nifty)

- Media
- Infrastructure
- Oil & Gas
- Realty
- Nifty100 Liquid15
- High Beta 50
- Commodities Metal

Lower return than the Nifty, but also lower volatility Nifty

- Total Market
- Nifty 100 Alpha 30
- Nifty 200
- CPSE
- Nifty100 Quality30
- Dividend Opportunities 50
- Nifty 100
- Healthcare
- Smallcap 250
- Growth Sectors 15
- Pharma

Higher SIP return but also higher volatility

- Nifty Bank
- Nifty 200 Alpha 30
- Fin Services ex-Bank
- Midcap Select
- Fin Services
- Nifty 500 Value 50
- Nifty 500
- Next 50
- IT
- Midcap Liquid 15
- Nifty Equal Wt.
- Alpha 50
- Energy
- Consumer Durables
- Auto
- Nifty 200 Momentum 30
- Microcap 250

Higher SIP return and Lower Volatility than the Nifty

- LowVol 50
- LargeMid 250
- Nifty100 Low Vol 30
- Midcap 100
- MidSmall 400
- FMCG
- Mid150 Quality50
- Small250 Quality50
- Midcap150 Momentum 50
- Nifty100 Equal Wt.
- Nifty500 Multicap
- Nifty50 Value 20
- Nifty200 Quality 30
- Noncyclical Consumer

Caveats when drawing conclusions from index data:

- Inception dates of the various indices compared are different, some go back to 1995, others to 2005, still others have later inception dates. The “youngest” index in this comparison is Nifty100 Liquid15, with an inception date in 2010. This could make an index look better or worse than it would had it been around for a longer duration.
- We found (many) issues with http://niftyindices.com data. Garbage values, repeated dates and a few others. We corrected most, but possible some slipped through here.
- Index inception dates are not publish dates. Most NSE indices were published only recently, presumably the ones that backtested well. This means some indices probably look good only with the benefit of hindsight.
- Not all indices are consistently investable, The Alpha50 index is one such example where the Kotak Alpha 50 ETF struggled to add one of the constituents of the index due to lack of liquidity as the stock hit upper circuits before it turned around and started doing the same thing on the way down. So, a high “model” index return is not actual return.

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NSE has a ton of equity indices, 96 of them. Removing a bunch of the repetitive ones, we are still left with over 50.

— Anoop (@CalmInvestor) August 14, 2023

Chart below shows their CAGR since inception. All the way from 23% (Midcap150 Momentum50) to -3% (Realty). The Nifty has clocked 14% over 24 years. (1/10) pic.twitter.com/LP43sFOkUi