HDFC Mutual Funds need no fancy introduction. One of the leading fund houses in the country, they offer a diversified portfolio of products across asset and risk classes.
Benefits associated with HDFC Mutual Funds
- Market credibility and ratings
HDFC Mutual Funds give investors a platform to invest and profit from the financial market without continuously worrying about the fluctuations and volatility. Their strong past performance is a testament to their market knowledge and expertise. Many of the schemes have a rating of 3 and above (CRISIL)
- Infrastructure
In order to always stay ahead of the game, HDFC Mutual Fund has put in place state-of-the art infrastructure required for extensive fundamental research and effective analysis.
- Controlled Risk
HDFC Mutual Funds do not believe in just running behind the latest trends. Rather they put strong emphasis on taking up only controlled and managed risk. This contributes significantly in wealth creation in the long-run.
- Something for everyone
The Fund House offers a wide range of products. Hence, every investor (irrespective of the financial goals, investment horizon or risk appetite) is assured of finding a product as per his or her need.
Why should you choose the SIP route for HDFC Mutual Funds?
There are two ways of investing in Mutual Funds – a one-time lump-sum investment or periodic investment through Systematic Investment Plan. The latter option is accessible for more investors as everyone does not have a large sum of amount at their disposal. Additionally, there are some inherent benefits of this method. Such as:
- It brings a disciplined approach to investing
- Provides benefit of rupee cost averaging as the investment takes place across market cycles
- One has flexibility – in terms of the amount to be invested as well as the duration of investment
- Investors reap the benefits of compounding
- It enables even new (or inexperienced) investors to enter the equity market without worrying about constantly watching the market.
SIP Calculator
While most investors know the benefit of SIP investments, they still need some help. This is where the SIP Calculator plays a big role. The HDFC Mutual Fund SIP Calculator helps investors estimate the capital appreciation for different time periods based on the value of a periodic investment. It is a simple and quick way to ascertain how much one is likely to get if they continue with their SIPs for a particular duration of time in a scheme. All one needs to do is:
- Choose the desired HDFC Mutual Fund scheme for investment (options in dropdown)
- Enter the value of the desired target corpus
- Mention the investment tenure (in months)
- Click on the “Calculate” option
The HDFC SIP calculator will use these inputs and offer the best projection of the monthly investment required by taking into account past performance and trends of the scheme
Our pick for the top-performing HDFC Mutual Funds (Categorized as per their risk level)
Low Risk
- HDFC Liquid Fund – Direct Plan – Growth Option
This product is apt for investors who are looking for a regular source of income over a short-term duration. The portfolio consists of debt and money market instruments.
Some key highlights of this Fund are:
- Carries lower risk as compared to the benchmark
- Offers better quality of credit
- No exit load and lock-in period
Moderate Risk
- HDFC Gilt Fund – Growth Option – Direct Plan
The core objective of this Fund is to generate returns (with minimal to no risk) by investing in government securities. Hence, it is suitable for investors who have a long-term investment horizon and want to assume zero credit risk. Some key highlights of this Fund are:
- The large fund size (AUM) offers more stability in terms of returns
- Majority of the portfolio consists of sovereign investment (75.05%).
- It is managed by Mr. Anil Bamboli who has more than 1.5 decades of experience in fund management and domain research.
Moderately High Risk
- HDFC Hybrid Equity – Direct Plan – Growth Option
This balanced fund seeks to optimize returns in the long-run by carefully investing in a well-diversified portfolio consisting of large-cap and mid-cap stocks. Some key highlights of this Fund are:
- Carries lesser risk as compared to its benchmark
- The large AUM benefits with stability and reduced expense ratio
- Invests in a wide range of industries. The top three being Banks (19.11%), IT-Software (6.83%) and Finance (6.1%)
- HDFC Mid Cap Opportunities Fund – Direct Plan – Growth Option
This scheme invests a majority of the corpus (at least 65%) in mid-cap stocks. Some key highlights of this Fund are:
- Potential for long-term capital appreciation
- Rated as a consistent performer across various timelines – 1 Year, 3 Years and 5 Years
- Carries relatively lower risk as compared to its benchmark
- Invests across a wide range of sectors. Top three being Banks (11.73%), Chemicals (7.38%) and Pharmaceuticals (7.25%)
- HDFC Small Cap Fund – Direct Growth Plan
Another scheme with a long-term investment horizon, this invests the corpus in small cap and mid-cap stocks. Some key highlights of this Fund are:
- Rated as a consistent performer across various timelines – 1 Year, 3 Years and 5 Years
- Invests across a wide range of industries. Top three being Chemicals (9.56%), Banks (7.6%) and Pharmaceuticals (6.23%)
All these three funds are managed by Mr. ChiragSetalvad. With his rich experience of 14 years (Fund Management and investment banking), he has taken them to greater heights.
So, what are you waiting for? Whatever is your need, there is a HDFC Mutual Fund available for you.
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