ICICI Prudential Mutual Fund on Thursday launched ICICI Prudential Bharat Consumption Fund Series 1 (1,300 days), tracking the consumption theme.

According to a press release by the fund house, the close-ended equity scheme will close for subscription on April 5.

The Bharat Consumption Fund is a multi-sectoral fund with both defensive and aggressive sectors as part of the theme; contrarian sectors too form part of the theme. It will primarily invest in businesses, which include consumer non-durables, consumer durables, automobile, healthcare services, etc, that are likely to play out well in its investment horizon of about 3.5 years.

The scheme will invest at least 80 per cent of its corpus in equity and equity-related instruments of companies benefiting from consumption and related activities.

It will invest up to 20 per cent each in equity and equity-related instruments of companies other than those benefiting from consumption and related activities, debt and money market instruments.

“Before elections, consumption is a good theme to invest in, and now when the government is likely to give a big thrust to consumption in the next 12-18 months,” it added. The minimum application amount is ₹5,000 and in multiples of ₹10 thereafter and its performance benchmark is the Nifty India Consumption Index.

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