Why should you invest in this smallcase?
The FMCG sector is the 4th largest sector in the Indian economy and is expected to grow at a compounded growth rate of 23.15% to reach US$ 103.70 billion by FY21 from US$ 68.38 billion in FY18.
- Increased brand consciousness has been driving the growth of the organized FMCG sector. Growth in modern retail will further drive the growth of the organized FMCG sector.
- Increasing internet penetration and online grocery stores has provided new sales channels for FMCG companies.
- Rural population which accounts for 65% of India's total population has only 45% revenue share in FMCG sales. Increasing disposable income and consumption in rural areas provides a large untapped market.
- Government has allowed 100% FDI in food processing and single-brand retail and 51% in multi-brand retail, this will provide high visibility for FMCG brands in organized retail markets, bolstering consumer spending and encouraging more product launches.
This smallcase comprises food & beverages, tobacco, household products, batteries and personal products companies to allow investors to efficiently track and invest in the FMCG sector.
Past Performance vs
Equity Large Cap
Mar 3, 2014
Note: Past performance graph includes changes due to rebalance, events like stock splits & mergers. Also, past performance doesn't guarantee future returns