Union Mutual Fund has launched a new thematic scheme — Union Consumption Fund, now open for subscription from 1st December to 15th December 2025. This fund focuses on businesses expected to benefit from India’s rising consumer demand, evolving lifestyle trends, and long-term consumption-driven growth. The scheme carries a very high risk label and aims to tap opportunities across consumption and allied sectors.
Key NFO Details
| Detail | Information |
| Fund Name | Union Consumption Fund |
| NFO Period | 01 Dec 2025 to 15 Dec 2025 |
| Allotment Date | 22 Dec 2025 |
| Category | Equity – Thematic Consumption |
| Risk Level | Very High |
| Fund Type | Open-ended |
| Benchmark | Not specified |
| Minimum Investment | ₹10,000 (lumpsum), ₹3,000 (SIP) |
| Exit Load | Exit load of 1%, if redeemed within 1 Year |
| 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 aims to generate long-term capital appreciation by investing in companies operating in consumption-driven sectors or allied areas. These businesses are positioned to benefit from:
• Changing consumer aspirations
• Rising lifestyle-oriented spending
• Expansion in consumption-led demand across the economy
How Does This Compare with the Category?
| Time Period | Category Avg. Returns (CAGR) |
| 1 Year | 8.47% |
| 2 Years | 7.36% |
| 3 Years | 13.01% |
| 4 Years | 13.87% |
| 5 Years | 14.22% |
| 7 Years | 15.42% |
| 10 Years | 14.13% |
These averages reflect the performance trend of consumption-themed funds in the market.
Top Performing Funds in This Category
| Fund Name | Fund Size | Returns |
| Nippon India Consumption Fund | ₹2,801 Cr | 20% p.a. (5Y) |
| ICICI Prudential Bharat Consumption Fund | ₹3,273 Cr | 18% p.a. (5Y) |
| Tata India Consumer Fund | ₹2,660 Cr | 18% p.a. (5Y) |
These funds highlight how established players in this theme have performed historically.
Should You Invest in This NFO?
You might consider this NFO if:
• You want targeted exposure to India’s consumption story.
• You believe in long-term structural demand growth across consumer-focused sectors.
• You can handle very high risk, given the thematic and concentrated nature of the fund.
Since NFOs do not have a performance track record, suitability depends on your risk appetite and conviction in the theme.
About Union Mutual Fund
Union Mutual Fund manages ₹23,799 Cr AUM (as of Sept 30, 2025) across 29 schemes.
Fund Managers
- Sanjay Bembalkar
- Vinod Malviya
Fund House Details
| Detail | Information |
| No. of Schemes | 29 |
| Total AUM | ₹23,799 Cr |
| Address | Unit 503, 5th Floor, Leela Business Park, Andheri Kurla Road, Andheri East, Mumbai – 400059 |
| investorcare@unionmf.com | |
| Phone | (022) 6748 3300 |
More Equity Funds from Union Mutual Fund
| Fund Name | AUM | 1Y | 5Y |
| Union Small Cap Fund | ₹1,790 Cr | -2.56% | 23.62% |
| Union Midcap Fund | ₹1,620 Cr | 4.83% | 22.66% |
| Union Value Fund | ₹362 Cr | 4.52% | 19.56% |
| Union ELSS Tax Saver Fund | ₹922 Cr | 4.0% | 18.06% |
| Union Large & Midcap Fund | ₹945 Cr | 3.75% | 17.4% |
| Union Flexi Cap Fund | ₹2,414 Cr | 3.5% | 17.33% |
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Final Thoughts
The Union Consumption Fund NFO offers focused exposure to sectors driving India’s expanding consumption landscape. Investors who believe in the long-term structural growth of consumer demand and can take on higher thematic risk may find this offering worth exploring.
As always, review the scheme details and ensure it fits your investment goals before proceeding.
For a seamless and guided investing experience, consider investing in mutual funds with Torus Digital.
