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Mirae Asset Investment Managers (India) Pvt. Ltd. announces the launch of ‘Mirae Asset Nifty India New Age Consumption ETF’, an open-ended scheme replicating/ tracking Nifty India New Age Consumption Index, and Mirae Asset Nifty India New Age Consumption ETF Fund of Fund, an open-ended fund of fund scheme investing in units of Mirae Asset Nifty India New Age Consumption ETF. The schemes aim to provide investors with an opportunity to potentially participate in the evolving consumption landscape of India, driven by changing demographics and rising discretionary spending.

The Nifty India New Age Consumption Index comprises of 75 stocks representing segments like Ecommerce, Fintech, Wealth Management, Tours & Travels, Real estate, Consumer electronics, entertainment etc; which capture emerging discretionary and aspirational spending by Indian consumers. The index focuses on India’s non-food spending in Business-to-Consumer (B2C discretionary segment.

The New Fund Offer (NFO) for Mirae Asset Nifty India New Age Consumption ETF will open for subscription on December 12, 2024 and close on December 20, 2024 and will re-open for continuous sale and repurchase on December 27, 2024. Concurrently, the Mirae Asset Nifty India New Age Consumption ETF Fund of Fund will open for subscription on December 12, 2024 and close on December 26, 2024 and will re-open for continuous sale and repurchase on January 03, 2025.

For both schemes, the minimum initial investment during New Fund Offer will be Rs 5,000/- (Rupees Five Thousand) with subsequent investments being multiples of Re 1.

Announcing the NFO, Mr. Siddharth Srivastava, Head-ETF Product & Fund Manager, Mirae Asset Investment Managers (India) Pvt. Ltd., said, "India’s spending patterns are evolving at a significant pace, fuelled by demographic advantages, rise of new age companies, digitalization, higher access and increasing penetration and rising disposable incomes. The Mirae Asset Nifty India New Age Consumption ETF and Fund of Fund are designed to potentially capture this transformation, providing investors with a gateway to participate in the growth of India’s discretionary & aspirational consumption segment.”

India is experiencing positive economic growth and with per capita GDP above USD 2,000, the consumption patterns of Indian consumers are evolving and spending habits are becoming more discretionary and aspirational aided by the rise of new segments and new age companies providing easier and wider access to Indian consumers.  Already, as of June 2024, Rural India was spending 54% of its monthly spending towards non-food discretionary items and urban India was spending 61% of its monthly spending towards non-food discretionary items. (Source: Latest available data as on 30^th June, 2024, Ministry of Statistics and Programme Implementation. With rise of per capita GDP, increase in middle class income households, easier and wider access to goods, services and opportunities, the discretionary consumption is expected to increase further. Investors keen on seeking exposure to the rise in discretionary and aspirational spending by Indian consumer may look at taking exposure in these new schemes from a long-term point of view.

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