DSP Investment Managers announced the launch of India’s first SIP focused NFO for DSP Global Innovation Fund of Fund (DSP GIF). DSP GIF is a Fund of Funds (it will itself invest in different international funds) which focuses on innovation as its key driver and identifies companies that have innovative thinking at their core, are likely to remain relevant and have the potential to succeed in the long term. These include emerging innovation themes like Metaverse, Semiconductors, Blockchain, 5G, Gene Technology, Artificial Intelligence, Space Exploration, Electric Vehicles & Robotics, among others. Currently, there are very limited opportunities in the Indian listed space to participate in these emerging sectors.Indian investors have matured & adopted SIPs as the right way of long-term investing.

They invest around Rs 12,000 crore every month as SIPs. Another emerging trend is diversifying globally to take advantage of innovative companies that are not present in India. However, SIP flows in global Fund of Funds are just around Rs 200 crore out of the entire Rs 12,000 crore/ month.

DSP GIF looks for companies that fall within the three categories: leading Dominators, young Disruptors and connecting Enablers. ‘Dominators’ in their space, such as Amazon, Tesla, Apple1 are those who lead in terms of market cap, market share & revenue and have delivered above-par returns to their investors. ‘Young Disruptors’ are innovative companies with the ability & foresight to become the next ‘Dominators’.

Identifying and investing in these early-stage companies that have the chance of becoming the next Apple/ Google/ Tesla is a key theme of this fund.

‘Enablers’ help the dominators & disruptors scale further & faster by providing connecting products like semiconductors or services such as programming/ development, that are best-in-class.