Asia Index Private Ltd., a wholly owned subsidiary of BSE, announced the launch of the BSE Premium Consumption Index on October 17, 2024, aimed at tapping into India’s expanding premium consumption market. It is Asia’s oldest stock exchange and home to the iconic SENSEX index, a leading indicator of Indian equity market performance.
This new thematic index follows the performance of premium spending-related firms chosen from the BSE 500 Index based on their free-float market capitalization. The launch coincides with a significant change in the Indian consumer environment, driven by rising disposable incomes and a burgeoning market for premium lifestyle and wellness products.
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Ashutosh Singh, MD and CEO of Asia Index Pvt. Ltd., stated, “We believe the launch of the BSE Premium Consumption Index is perfectly timed as India’s evolving consumer landscape reflects a shift towards premiumization, driven by growing disposable incomes, increasing demand for high-quality lifestyle and wellness products, and the resilience of our thriving economy. This index provides investors with a unique opportunity to tap into the future of consumption in India.”
The base value of the BSE Premium Consumption Index is 1000, and its initial value date is June 23, 2014. To make sure it continues to be indicative of market trends, it will be reconfigured semi-annually and rebalanced every three months.
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According to the Asia Index, mutual funds can use the index as a benchmark for active mutual fund schemes and Portfolio Management Services (PMS) strategies, as well as for passive investment strategies including Exchange-Traded Funds (ETFs) and index funds.
With this new index, investors may now interact with a wider range of market possibilities and diversify their portfolios enhancing their investing strategies in the process.
The BSE Premium Consumption Index is a significant addition to the company's index portfolio, addressing the increasing demand in India for high-end consumer goods.
