Investment Objective and Approach

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 India Consumption fund will aim to capture this strong underlying growth trends in the country.

The fund's investment philosophy is built on the premise that India is experiencing a consumption boom similar to what China witnessed in the past. India is favorably positioned due to its demographics, formalization of economy, increase women participation in workforce etc. The fund capitalizes on changing consumer behavior where consumption shifting from unorganized to organized, premium categories and consumer behavior moving towards buying everything anywhere.

The fund invests primarily in equity and equity-related securities with a focus on:

- Consumer cyclical companies (34.77% allocation as of April 2025)

- Consumer defensive companies (22.84% allocation)

- Financial services firms (9.78% allocation)

- Companies benefiting from India's consumption growth story

The fund with a minimum 80 per cent weight in consumption index and up to 20 per cent outside its benchmark where key consumption enablers will be in focus can offer high growth and consistency over a long term.

Fund Managers

Gautam Bhupal, Sonal Gupta, Anish Goenka are the current fund managers of this mutual fund. The fund management team has extensive experience in equity investments, with an extensive experience of 15 years while managing equity & related investments. He is focused on picking quality companies and holds them for a long duration to generate good compounding returns in their funds.

Sonal Gupta is the fund manager of HSBC Consumption Fund Direct Growth and has been managing the fund effectively since its inception. The fund management approach focuses on identifying consumption-focused companies with strong fundamentals and long-term growth potential.

About the Fund House (AMC)

HSBC Asset Management (India) Private Limited is the investment manager for HSBC Consumption Fund. HSBC Mutual Fund, a fund house with a 21-year history in India, offers a diverse range of investment options spanning equity, debt and hybrid categories. It operates under HSBC Asset Management, a global asset manager overseeing $641 billion in assets across 23 countries as of March 2023.

As of December 2023, the AMC manages assets worth Rs.102162 crores in India. HSBC is among the largest banking and financial services companies in the world. The company serves over 40 million customers worldwide through its global business.

Key highlights of HSBC Asset Management:

- Global presence across 23 countries

- Strong track record in Indian market with 21-year experience

- Comprehensive product suite across asset classes

- Professional fund management with experienced team

- Strong research capabilities and investment processes

Should I Invest in HSBC Consumption Fund?

HSBC Consumption Fund can be suitable for investors who:

Positive Aspects:

- HSBC Consumption Fund Direct Growth has given a CAGR return of 22.31% since inception.

- The fund offers exposure to India's growing consumption story

- Some of the sectors from the Consumption sectors have potential to offer consistent growth even in economic downturn

- Managed by experienced fund management team

Key Considerations:

- The HSBC Consumption Fund Direct Growth is rated Very High risk.

- Thematic funds can be more volatile than diversified equity funds

- Warning: Do not invest in this, or any other consumption-themed fund, if you need to redeem your investment in less than five years.

- We believe that investors should avoid funds that have a narrowly defined investment mandate such as this one. Instead, they should invest in flexi-cap funds which provide complete freedom to the fund management team to invest in companies from which it expects maximum gains.

Investment Minimums:

- The minimum SIP amount of HSBC Consumption Fund is ₹500

- lumpsum of Rs 5000 to start the investment.

The fund is most suitable for investors with high risk tolerance, long investment horizon (5+ years), and those who believe in India's consumption growth story.

FAQs

What is today's NAV of HSBC Consumption Fund?

Latest NAV for HSBC Consumption Fund is at ₹ 14.86. The NAV is updated daily and reflects the current market value of the fund's holdings.

What is the AUM of HSBC Consumption Fund?

The AUM (i.e. assets under management) of HSBC Consumption Fund is ₹1517.05 Cr as of 26th June 2025. The AUM indicates the total value of assets managed by the fund.

What is the expense ratio of HSBC Consumption Fund?

The expense ratio of HSBC Consumption Fund Plan is 0.81 as of 26th June 2025. For regular plans, the expense ratio is higher at around 2.11%.

What are the returns of HSBC Consumption Fund since inception?

HSBC Consumption Fund Direct Growth has given a CAGR return of 22.31% since inception. The HSBC Consumption Fund was launched on 31st August 2023.

What is the minimum SIP amount to invest in HSBC Consumption Fund?

The minimum SIP amount of HSBC Consumption Fund is ₹500 and you can start investing with this amount monthly.

How do I invest in HSBC Consumption Fund?

You can invest in HSBC Consumption Fund through Allvest by completing your KYC, selecting the fund, choosing lump sum or SIP option, and making payment through various methods.

How to start a SIP in HSBC Consumption Fund?

To start SIP through Allvest, log in to your account, search for HSBC Consumption Fund, select SIP option, enter monthly amount and SIP date, then complete the payment process.

How do I automate an SIP in HSBC Consumption Fund?

To automate an SIP in HSBC Consumption Fund, use the Auto-Invest feature through Allvest platform which allows automatic monthly deductions from your bank account.

How can I withdraw/redeem my investment in HSBC Consumption Fund?

You can redeem your investment through Allvest by logging into your account, selecting the fund from your portfolio, choosing redemption amount or units, and submitting the redemption request online.