LIC Mutual Fund has launched a new thematic equity scheme — LIC MF Consumption Fund Direct – Growth, now open for subscription from 31st October to 14th November 2025. With a very high-risk profile, this NFO aims to capitalise on India’s expanding consumption sector by investing in companies driving domestic demand and consumer spending trends.
Key NFO Details
| Detail | Information |
| Fund Name | LIC MF Consumption Fund (Direct – Growth) |
| NFO Period | 31 Oct 2025 to 14 Nov 2025 |
| Allotment Date | 21 Nov 2025 |
| Category | Equity – Thematic (Consumption) |
| Risk Level | Very High |
| Fund Type | Open-ended |
| Benchmark | NIFTY India Consumption TRI |
| Minimum Investment | ₹5,000 (lumpsum), ₹500 (SIP) |
| Exit Load | 1% (Exit Load for units in excess of 12% of the investment,1% will be charged for redemption within 90 days) |
| Short-term capital gains (STCG) | Returns are taxed at 20% if you redeem before 1 year |
| Long-term capital gains (LTCG) | After 1 year, returns above ₹1.25 lakh in a financial year are taxed at 12.5% |
Investment Objective
The scheme seeks to:
• Achieve long-term capital appreciation by investing primarily in equity and equity-related instruments of companies aligned with India’s consumption theme.
This approach aims to benefit from rising consumer demand, urbanisation, and discretionary spending trends across India’s growing economy.
How Does This Compare with the Category?
| Time Period | Category Avg. Returns (CAGR) |
| 1 Year | 10.42% |
| 3 Years | 16.07% |
| 5 Years | 16.98% |
| 7 Years | 17.66% |
| 10 Years | 16.12% |
| 15 Years | 15.72% |
| Since Inception | 14.74% |
These figures reflect the performance of thematic consumption funds that have historically benefited from India’s steady consumer demand and economic growth.
Should You Invest in This NFO?
You may consider investing in this NFO if:
• You believe in India’s long-term consumption growth story.
• You’re seeking thematic equity exposure with high-growth potential.
• You’re comfortable with very high risk and market volatility.
However, investors should note that NFOs have no past performance record, and thematic funds tend to be narrowly focused, making them suitable for investors with a high-risk appetite and a long-term horizon.
About LIC Mutual Fund
LIC Mutual Fund manages ₹41,742 Cr AUM (as of September 30, 2025) and offers a range of equity funds catering to various investor goals and risk profiles.
| Fund Name | AUM | 1Y | 5Y |
| LIC MF Infrastructure Fund | 1,025 Cr | 3.1% | 33.24% |
| LIC MF Small Cap Fund | 632 Cr | -5.2% | 29.39% |
| LIC MF Dividend Yield Fund | 660 Cr | 5.32% | 23.68% |
| LIC MF Midcap Fund | 335 Cr | 2.91% | 23.07% |
| LIC MF Large & Mid Cap Fund | 3,047 Cr | 3.57% | 21.87% |
| LIC MF Value Fund | 195 Cr | -1.32% | 20.31% |
Additionally, top-performing funds in this consumption category include:
| Fund Name | Fund Size | 5Y Returns |
| Nippon India Consumption Fund | ₹2,802 Cr | 25% p.a. |
| ICICI Prudential Bharat Consumption Fund | ₹3,183 Cr | 22% p.a. |
| Mirae Asset Great Consumer Fund | ₹4,632 Cr | 23% p.a. |
Must Reads:
- Axis Income Plus Arbitrage Passive FoF NFO: A Low-Risk Diversified Investment for 2025
- Zerodha BSE SENSEX Index Fund NFO: A Large-Cap Index Opportunity for 2025
- Kotak Gold Silver Passive FoF NFO: A Commodities Investment Opportunity for 2025
- Motilal Oswal Consumption Fund NFO: A Thematic Investment in Consumption for 2025
Final Thoughts
The LIC MF Consumption Fund NFO offers investors an opportunity to participate in India’s fast-growing consumption-driven economy. For those seeking long-term growth and willing to tolerate high market risk, this thematic fund could be a compelling addition to their equity portfolio.
Before investing, review the scheme document and ensure the fund aligns with your financial objectives and risk tolerance.
