NFO Alert: Motilal Oswal Mutual Fund launches Motilal Oswal Consumption Fund

Motilal Oswal Mutual Fund has announced the launch of the Motilal Oswal Consumption Fund, an open-ended equity scheme designed to capture India’s multi-decade consumption growth story, now transitioning into an evolved phase of luxury and discretionary spending.

The new fund offer (NFO) of the fund will open for subscription on October 1 and will close on October 15.

The primary objective of the scheme is to generate long-term capital appreciation by investing predominantly in equity and equity-related securities of companies engaged in consumption and consumption-related activities.


The performance of the fund will be benchmarked against the Nifty India Consumption Total Return Index.

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India’s consumption is undergoing significant changes. Rising incomes, rapid urbanisation, and policy reforms are formalising the economy and creating a unified national market. At a time when global markets face volatility, India offers a rare, domestically supported investment opportunity. As the world’s most populous nation with one of the youngest workforces, India enjoys a demographic advantage compared to ageing economies, creating a large and evolving consumer base, according to a press release by the fund house.

“Consumption already contributes over 60% to India’s GDP, acting as a resilient domestic pillar. More importantly, spending patterns are shifting from essentials to discretionary categories and premiumisation. Consumers are increasingly prioritising quality, brands, and experiences across automobiles, retail, financial services, durables, and lifestyle products. These structural changes are expected to support India’s long-term consumption growth,” the release added.

“The Motilal Oswal Consumption Fund is being launched to focus on India’s evolving consumption theme. India’s consumption patterns are evolving beyond basic needs, reflecting changes in the upper-middle class and their growing demand for a wider range of goods and services. With our QGLP investing framework, we aim to construct a high-conviction portfolio of quality businesses that we believe are well-positioned to benefit from these long-term structural shifts,” said Prateek Agrawal, MD & CEO of Motilal Oswal AMC.

The fund will be managed by Niket Shah (Chief Investment Officer and Fund Manager – Equity component), Varun Sharma (Fund Manager – Equity component), Bhalchandra Shinde (Associate Fund Manager – Equity component), Rakesh Shetty (Fund Manager – Debt component), and Sunil Sawant (Fund Manager – Overseas component).

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The fund will focus on high-growth pockets of the consumption theme, including organised retail, digital services enabling consumption, financial services financing this consumption growth, and select segments within durables and apparel.

The fund is suitable for investors who are seeking capital appreciation over the long term and looking to invest in equity and equity-related securities of companies in the consumption and consumption-related sector.