The ‘HSBC Consumption Fund‘ introduced by HSBC Mutual Fund is an open-ended equity scheme centered on the consumption theme. It aims to match the performance of the Nifty India Consumption Index TRI benchmark.
The New Fund Offering (NFO) is open for subscription from August 10th to August 24th, 2023. Within five Business Days of allotment, the Schemes will reopen for continuous sale and repurchase. Subscriptions start at Rs. 5000 and multiples of Rs. 1/-. Both Regular and Direct Plans are accessible.
About HSBC Mutual Fund
Part of HSBC Securities and Capital Markets (India) Private Limited, HSBC Mutual Funds is a leading AMC in India’s investment market. Backed by HSBC, the 7th largest global bank, it provides top-tier investment options and services to investors nationwide. HSBC Mutual Fund serves over 1 million customers through 1000+ offices across India. With a corpus of Rs. 12,637.24 Crore (2022), it offers 103 diverse schemes spanning equity, debt, and add-on funds.
Globally, HSBC boasts 100 million active customers, excluding Polar regions, with £102.7 billion market cap (2018). HSBC’s India operations are a key asset, and it has expansion plans for South East Asia. Aligned with regulations, HSBC Mutual Fund operates under Indian Trusts Act (1882) and holds SEBI registration number MF/046/02/5.
HSBC Consumption Fund – NFO Detail
| Type of Offer | NFO (New Fund Offer) |
| Fund House | HSBC Mutual Fund |
| Name of the Fund | HSBC Consumption Fund |
| Type of Scheme | Open-ended |
| Category of Scheme | Equity – sectoral/thematic |
| NFO Starts | 10-August-2023 |
| NFO Ends | 24-August-2023 |
| NFO Unit Price | Rs 10 per unit |
| Minimum Investment | Rs. 5000 |
| Plans | Regular, Direct |
| Options | Growth, IDCW |
| Entry Load | Not Applicable |
| Exit Load | 1% |
| Investment Manager | HSBC Asset Management (India) Private Limited |
| Fund Manager | Mr. Gautam Bhupal |
HSBC Consumption Fund NFO – Scheme Objective
The investment objective of the Fund is to generate long-term capital growth from an actively managed portfolio of equity and equity related securities of companies engaged in or expected to benefit from consumption and consumption related activities.
HSBC Consumption Fund NFO – Who Can Invest?
This product is suitable for investors who are seeking*:
- To create wealth over long-term
- Investment predominantly in equity and equity related securities of companies engaged in or expected to benefit from consumption and consumption related activities.
How Will the Scheme Allocate Its Asset
- 80-100% in Equities & Equity related securities of companies engaged in or expected to benefit from consumption and consumption related activities.
- 0-20% in Equity and equity related securities of companies other than consumption and consumption related activities.
- 0-20% in Debt Securities & Money Market instruments (including Cash & cash equivalents, units of Liquid and Overnight mutual funds).
- 0-10% in Units of REITs and InvITs.
Where Will the Scheme Invest?
The aim of the Scheme is to generate long-term capital growth from an actively managed portfolio of equity and equity related securities of companies engaged in or expected to benefit from consumption and consumption related activities. Subject to the Regulations and other prevailing laws as applicable, the corpus of the Scheme can be invested in any (but not exclusively) of the following securities:
- Equity and equity related securities including convertible bonds and debentures and warrants carrying the right to obtain equity shares.
- ADRs / GDRs issued by the Indian companies, subject to the guidelines issued by the Reserve Bank of India and Securities and Exchange Board of India.
- Units of REITs and InvITs.
- Foreign securities including overseas funds and Exchange Traded Funds as may be permitted by SEBI / RBI.
- Liquid and Overnight mutual funds.
- Stock index futures and such other derivative instruments permitted by SEBI / RBI.
- Securities issued / guaranteed by the Central, State and local governments (including but not limited to coupon bearing bonds, zero coupon bonds and treasury bills).
- Indian Depository Receipts (IDR) issued by foreign companies, subject to the guidelines issued by RBI and SEBI.
- Debt obligations of domestic government agencies and statutory bodies, which may or may not carry a Central / State Government guarantee.
- Corporate debt (of both public and private sector undertakings).
- Debt obligations of banks (both public and private sector) and financial institutions.
- Money market instruments permitted by SEBI and / or RBI, having residual maturities of up to 1 year.
- Certificate of Deposits (CDs)
- Commercial Paper (CPs)
- Bills of Exchange / Promissory Notes
- Securitised Debt
- TREPS & reverse repos
- Floating Rate Instruments
- Repurchase and reverse repurchase obligations in securities
- Repo in Corporate bonds
- The non-convertible part of convertible securities
- Any other domestic fixed income securities
HSBC Consumption Fund NFO – SID (Scheme Information Document)
Please click here to read the SID (Scheme Information Document) of this NFO scheme.
How to Invest?
Visit this page on the AMC website for further detail and investment.
Disclaimer: This post is just information about the scheme. It does not give any advice or recommendation. Mutual Fund investments are subject to market risk. Please read the offer document carefully before investing.
