HSBC Consumption Fund: Navigating India’s Growing Consumer Market
The HSBC Consumption Fund, managed by HSBC Mutual Fund, presents investors with an opportunity to participate in the growth of India’s consumer-driven economy. Launched on August 10, 2023, this thematic fund focuses on companies poised to benefit from increasing discretionary spending and evolving consumption patterns. As of January 31, 2026, the fund boasts an Assets Under Management (AUM) of ₹1,677 Crores, classifying it as a medium-sized fund within its category. This analysis provides a detailed overview of the fund’s performance, investment strategy, and key characteristics to help investors make informed decisions.
Fund Overview and Performance
As of March 2, 2026, the Net Asset Value (NAV) of the HSBC Consumption Fund – Regular Plan Growth is ₹13.65 [Moneycontrol]. The fund has demonstrated a 1-year return of 10.16% and an average annual return of 13.22% since its inception [ET Money]. With an expense ratio of 2.13%, it is slightly higher than the average for thematic-consumption funds.
Investment Strategy and Portfolio Allocation
The HSBC Consumption Fund is mandated to invest a minimum of 80% of its assets in equities of consumer-facing companies [Value Research]. The fund’s investment strategy centers on identifying companies that will benefit from increased consumption and related activities.
Currently, the fund’s portfolio is heavily weighted towards the Services, Consumer Staples, Automobile, Consumer Discretionary, and Communication sectors [ET Money]. Top holdings include Multi Commodity Exchange Of India Ltd., Bharti Airtel Ltd., Eternal Ltd., Maruti Suzuki India Ltd., and Titan Company Ltd. [ET Money].
Investment Details and Accessibility
The HSBC Consumption Fund – Regular (G) offers flexibility for investors with a minimum lumpsum investment of ₹5000 and a minimum SIP (Systematic Investment Plan) investment of ₹500 [MySIPOnline]. The fund has an AUM of ₹1,676.57 Cr [MySIPOnline] and does not have a lock-in period. An exit load of 1.0% is applicable if the fund is redeemed before 365 days [MySIPOnline].
Risk Assessment
The HSBC Consumption Fund – Regular (G) is categorized as a VERY HIGH RISK investment, suitable for investors with a very high-risk tolerance [MySIPOnline]. Investors should carefully consider their risk appetite and investment horizon before investing.
Recent Trailing Returns (As of March 4, 2026)
| Period | Fund Return | Category Average | Benchmark Return |
|---|---|---|---|
| 1W | -3.03% | -3.34% | -3.51% |
| 1M | 0.51% | -0.26% | -0.33% |
| 3M | -8.15% | -8.10% | -8.81% |
| 6M | -9.09% | -7.42% | -6.91% |
Source: [MySIPOnline]
Disclaimer: Mutual fund investments are subject to market risks. Read all scheme-related documents carefully.