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Conglomerate firms are resilient, but risks in one unit can spill across the group

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A conglomerate fund typically invests at least 80 per cent of its portfolio in stocks of leading diversified business groups, which straddle both traditional and new-age sectors.

Sarbajeet K Sen

4 min read Last Updated : Sep 24 2025 | 11:20 PM IST

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Mutual funds are introducing a new thematic option for investors — conglomerate funds — which focus on large industrial groups that house multiple businesses under one umbrella. The new fund offer (NFO) of Baroda BNP Paribas Business Conglomerates Fund closed on September 16. ICICI Prudential Conglomerate Fund’s NFO will open on October 3, 2025. Aditya Birla Conglomerate Fund, launched in December 2024, managed assets of ₹1,606 crore as on August 31, 2025. Tata BSE Select Business Groups Index Fund, a passive scheme, had assets under management (AUM) of ₹204 crore as on the same date.

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Topics : conglomerates Mutual funds MFs Your money