Axis Max Life BSE Dividend Stability Index Fund

The Axis Max Life BSE Dividend Stability Index Fund is a passively managed equity fund. It aims to invest in a basket of stocks drawn from companies listed in the BSE Dividend Stability Index. This index fund therefore primarily invests in large-cap businesses with a proven track record of high dividend payouts.

Benchmarked against the BSE Dividend Stability Index, the BSE Largecap Index would serve as the stock universe for this fund. This means that the fund’s portfolio will primarily feature financially strong companies with strong cash flows that have historically offered consistent dividend payouts to its stockholders.

The Axis Max Life BSE Dividend Stability Index Fund is a new fund so no historical returns for the fund exist currently. However, since this fund mirrors the BSE Dividend Stability Index, the historical performance of the index can be used as a surrogate to gain insight into the expected performance of the new fund.

The below chart compares the returns of the BSE Dividend Stability Index versus its parent index, the BSE Largecap Index over various time periods, as of April 30, 2026:

Note: The 3 year, 5 year and 10 year return data shown above are annualised returns of the total return variant of the respective indices. Returns data is as of April 30, 2026. Past returns do not guarantee future performance. Source: BSE Indices website.

In the above chart, it is clear that the BSE Dividend Stability Index has outperformed its parent index over a variety of market conditions. So, policyholders who invest in this fund can expect to benefit from the fund’s potential to outperform versus the broader markets over various time periods. That said, there is no guarantee that the same level of outperformance will be maintained in the future.

The Axis Max Life BSE Dividend Stability Index Fund follows a passive investment approach by replicating the BSE Dividend Stability Index. It focuses on companies with a strong track record of consistent dividend payments. The selection begins with stocks features in the BSE Large Cap Index universe. Moreover, only well-established companies with at least 7 years of listing history are considered.

From this pool, companies are selected for their ability to deliver stable, sustainable dividends over time. To qualify, they should have maintained a dividend payout ratio (DPS/EPS) of at least 4% in at least 7 out of the past 9 fiscal years. Next, the companies must demonstrate financial strength through a dividend-to-par value (DPS/PVPS) of at least 10% over the past 2 years.

Eligible stocks that meet the above criteria are weighted on the BSE Dividend Stability Index on the basis of their annual dividend yield. This means companies with higher dividend yields receive a correspondingly larger weight on the index.

The index is reviewed and rebalanced annually in September, during which eligible companies are added or removed, and individual stock weights are reset based on updated data. Between rebalancing periods, necessary adjustments may be made in response to corporate actions or regulatory developments.

Since the Axis Max Life BSE Dividend Stability Index Fund is newly launched, sectoral distribution of the fund is currently unavailable. However, the sectoral distribution of the BSE Dividend Stability Index can be used as a surrogate to predict the sectoral distribution of the new fund.

Here are the top sectors featured on the BSE Dividend Stability Index as of April 30, 2026:

From the above data, it is clear that the index has exposure to a diverse range of sectors and industries. So, policyholders who invest in the Axis Max Life Dividend Stability Index can benefit from access to a highly diversified portfolio, subject to regulatory limits. This can potentially reduce overall risk and optimise returns for the investor.

The Axis Max Life BSE Dividend Stability Index Fund attempts to mirror the composition and performance of the BSE Dividend Stability Index. So this index can serve as a proxy for understanding the potential investments of the new fund. Given below are the key stocks featured in the BSE Dividend Stability Index along with their individual weight as of April 30, 2026:

As shown above, the exposure of the index fund to individual stocks is expected to be limited. This would help the fund minimise the potential impact of underperformance or outperformance of any specific stock on the overall performance of the portfolio. This can help reduce potential risk and optimise expected returns for the investor.

The Axis Max Life BSE Dividend Stability Index Fund is a passively managed equity-oriented fund that provides exposure to the businesses listed in the BSE Dividend Stability Index. They aim to deliver consistent dividend returns to stakeholders. Check out some key details of the newly launched Axis Max Life BSE Dividend Stability Index Fund:

Individuals can invest in the Axis Max Life BSE Dividend Stability Index Fund through various ULIP offerings such as the Axis Max Life Flexi Wealth Advantage Plan (UIN:104L121V04) and the Axis Max Life Online Savings Plan Plus (UIN:104L131V02). These unit-linked insurance plans (ULIP) combine the benefit of life insurance cover with market-linked investment returns in a single plan. Both new and existing policyholders can avail the benefits of this fund through these Axis Max Life ULIPs.

The Axis Max Life BSE Dividend Stability Index Fund is well-suited for investors aiming to build long-term wealth through equity investments. It particularly appeals to those who prefer exposure to large-cap companies with a consistent track record of stable, sustainable dividend payments.

The Axis Max Life BSE Dividend Index Fund is suitable for the following categories of investors:

• Investors who prefer relatively stable equity investments instead of highly aggressive growth options.
• Those looking to invest in established large-cap companies with a consistent track record of rewarding shareholders.
• Individuals looking for passive investments that are free from fund manager bias.
• Investors with a higher risk appetite, as the fund offers exposure to equity market movements.
• Those who are comfortable with market-linked investments and have a medium- to long-term investment horizon.

The fund may also suit investors who want a balance between growth potential and stability, as dividend-paying companies have historically exhibited lower volatility and stronger risk-adjusted performance across market cycles.

However, it must be noted that being an equity-focused fund, investments made in this fund may be subject to short-term volatility and returns are not guaranteed. These are among the key reasons why this fund features a “Very High” risk rating.

In addition to the Axis Max Life BSE Dividend Stability Index Fund, Axis Max Life Insurance offers other passively managed funds through various ULIP plans. Some of our popular ULIP funds are: