How ₹10,000 SIP Grew to ₹82.84 Lakh in Canara Robeco Consumer Trends Fund

Thematic funds in India have gained attention for capturing long-term trends. Among them, the Canara Robeco Consumer Trends Fund has stood out with consistent performance. Launched in September 2009, the scheme recently completed 16 years of operations and has delivered remarkable returns to investors. With its focus on India’s consumption-driven growth, the fund has rewarded disciplined investors who stayed invested through SIPs or lump sum contributions.

Wealth Creation Through SIPs

A systematic investment plan (SIP) of ₹10,000 per month since the fund’s launch in September 2009 would have grown into ₹82.84 lakh by August 29, 2025. The total investment of ₹19.2 lakh translates into an impressive XIRR of 16.46%, according to the fund house. This highlights the power of compounding and the importance of long-term discipline in wealth creation.

Lump Sum Growth Since Inception

Investors who chose the lump sum route have also seen attractive gains. A one-time investment of ₹10,000 at inception would have grown to ₹1.09 lakh, compared to ₹64,782 if invested in the benchmark index. This demonstrates the scheme’s ability to outperform its peers and benchmarks over an extended horizon.

Consistent Outperformance Against Benchmarks

Since inception, the Canara Robeco Consumer Trends Fund has delivered a compounded annual growth rate (CAGR) of 16.16%. In comparison, its primary benchmark BSE 100 TRI generated 12.41% CAGR, while the additional benchmark BSE Sensex TRI returned 11.99%. The scheme’s regular plan has delivered 16.30% CAGR since inception, underscoring its consistent track record of outperforming indices.

Strong Recent Performance

Over the last five years, the scheme has delivered robust returns of 22.07% CAGR in its regular plan and 23.66% CAGR in its direct plan. During the same period, the BSE 100 TRI returned 19.94%, once again reflecting the fund’s ability to generate alpha through active management.

Portfolio Strategy and Sector Allocation

The fund invests across market capitalisations, with a thematic focus on India’s consumption story. It holds exposure to key sectors such as retailing, banking, finance, automobiles, consumer durables, and FMCG. Its top holdings include leading companies like HDFC Bank, Bharti Airtel, Bajaj Finance , ITC, Maruti Suzuki, and Godrej Consumer Products.

Fund Management and Investment Approach

Managed by Ennette Fernandes and Shridatta Bhandwaldar , the fund follows a growth-oriented approach. The strategy emphasizes companies with strong earnings visibility, competitive positioning, and structural advantages. This approach aims to capture long-term growth trends in India’s evolving consumer market.

Tapping into India’s Consumption Story

The fund’s theme is deeply tied to India’s rising consumption patterns. Increasing disposable incomes, favourable demographics, and rapid urbanisation are driving higher demand for branded goods, financial services, digital platforms, and discretionary spending. According to the AMC, these factors will continue to shape opportunities for consumption-focused funds in the coming years.

Risks of Thematic Investing

While the fund has delivered strong returns, analysts caution that thematic funds carry concentrated risks. Since they focus on specific sectors, they may be more vulnerable to downturns in those industries. Investors are advised to view thematic funds as part of a diversified portfolio and avoid basing decisions solely on short-term performance.

Conclusion

The Canara Robeco Consumer Trends Fund has rewarded investors with consistent outperformance over 16 years, driven by India’s structural consumption growth story. Its SIP track record, strong sectoral positioning, and disciplined management approach make it a compelling option for long-term wealth creation. However, as experts highlight, “Compounding works best for those who remain consistent, whether through SIPs or long-term savings instruments like ELSS, PPF, or insurance-linked plans.” Staying invested for the long run remains the key to unlocking the full potential of such thematic funds.