ITI Bharat Consumption Growth Fund: A New Thematic Opportunity Filed with SEBI!

Introduction

ITI Mutual Fund has filed with SEBI to launch its latest scheme, the ITI Bharat Consumption Growth Fund, an open-ended equity scheme designed to tap into India’s booming consumption market. Here’s a detailed overview of this promising mutual fund.

Scheme Details

• Scheme Name: ITI Bharat Consumption Growth Fund
• Category: Thematic Fund (Equity)
• Type: Open-ended equity scheme focused on consumption and related sectors.

Investment Objective

The fund’s primary goal is to generate long-term capital appreciation by investing primarily in equity and equity-related securities of companies engaged in consumption and consumption-related activities. This includes industries that are poised to benefit from the growing domestic demand for goods and services.

Asset Allocation

• Equity and Equity-Related Securities (Consumption Focus): 80-100%
• Debt and Money Market Instruments: 0-20%
• Units of REITs/InvITs: 0-10%

Benchmark Index

The scheme will use the Nifty India Consumption (Total Return Index – TRI) as its benchmark. This index is designed to reflect the performance of a diversified portfolio of companies representing domestic consumption, making it an appropriate performance comparison for this fund.

Fund Manager

The scheme will be co-managed by experienced professionals:

• Rohan Korde – With over 17 years of experience, specializing in fundamental research across various sectors.
• Dhimant Shah – A veteran with over 26 years in capital markets, bringing extensive expertise to the fund’s management.

Key Investment Sectors

The fund will invest in a wide range of sectors benefiting from consumption-led demand, including:

• Automobile and Components
• Consumer Durables and FMCG
• Pharmaceuticals
• Telecommunication and Utilities
• Retail, Housing, and Travel

Investment Strategy

This thematic fund follows a bottom-up stock selection approach, identifying individual stocks based on their growth potential within the consumption sector. It will also consider emerging trends and new opportunities within the consumption space to maximize returns.

Why Invest in ITI Bharat Consumption Growth Fund?

This fund is ideal for investors seeking capital appreciation by leveraging the growth of India’s consumption-driven economy. With a diversified equity portfolio focused on consumption sectors, it offers an excellent opportunity to benefit from the long-term growth prospects of domestic demand.

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Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.