The Securities and Exchange Board of India cleared two thematic index fund launches proposed by Axis Mutual Fund and ICICI Prudential AMC. The new schemes will track defense and digital-technology indices, reflecting investor appetite for specialized exposure. Asset managers plan staggered rollouts following regulatory approval and benchmark alignment with NSE Indices. Analysts believe the products expand passive-investment diversity and align with India’s manufacturing and digitalization themes. Market participants expect increasing competition in thematic funds as issuers target differentiated strategies to attract younger investor segments.