MFs step up launches of schemes seeking to invest in foreign markets

Most funds in FoF space chasing unique themes

The domestic mutual fund (MF) industry has launched a number of unique theme-based schemes seeking to invest in foreign markets. All of these schemes are so-called fund of funds (FoF). A FoF invests in other MF schemes instead of directly investing in stocks or debt instruments.

Some of these include Mirae Asset NYSE FANG+ETF, which is a basket of growth stocks of next generation technology and tech-enabled companies. BNP Paribas Funds Aqua FoF, that invests in global companies that are part of the water value chain.

“The underlying fund intends to identify global companies that are growing faster than the