The reason behind the high rate of return lies in the fact that it invests around 54% of its assets in small cap stocks and around 40% in mid cap stocks that have a high growth potential. This is the highest return yielding mutual fund by HDFC. The 3 year and 5 year rate of return stands at 14.06% and 16.05% respectively. Small cap stocks are quite sensitive to market fluctuations, but they offer a great opportunity for high returns if investment is done strategically. The minimum amount required for SIP Investment for this fund is ₹500.
In the 5 year return framework, the rate of return is 11.07% In a 1-year time period, it has delivered returns at the rate of 17.05% which is significantly higher than the benchmark rate (7.17%) and category average (6.11%). It has invested around 90% of its total assets in equity or equity related instruments of large cap companies. This fund is one of the least risky investment options provided by HDFC AMC since it primarily invests in large cap stocks which are the most valuable and least volatile on the stock exchanges. The minimum amount required for SIP investment is ₹500. This fund is perfect for those investors who have long term investment horizon and moderate risk appetite. It has consistently outperformed its benchmark and category average returns in 1 year, 3 years and 5 years return framework. HDFC Hybrid – Equity fund has delivered returns at the rate of 12.79% in the 5 year time period. HDFC Hybrid- Equity FundĪggressive Hybrid Funds predominantly invest in equities and equity-related instruments with some allocation to debt securities. This fund has delivered returns at the rate of 13.99% in the 5 year time period which is higher than both the benchmark(10.95%) and category average(13.14%). It has invested around 80% of its total assets in equity or equity related instruments of mid cap companies and the rest in stocks of small and large cap companies. Since mid cap companies are more prone to market swings as compared to large cap stocks, investment in this fund carries moderate risk. It is an open ended scheme which predominantly invests in mid cap stocks.
Therefore, it is advisable to invest through SIP rather than making a lump-sum investment.Īlso Read : Best ELSS Mutual Funds to Invest in 2019 A Comparative Analysis of Top HDFC Mutual Funds 1. It means that you buy less number of units when the NAV of the fund increases and more units when the NAV of the fund decreases. This amount gets deposited in HDFC Bank mutual fund.Īlthough the amount an investor invests through SIP remains unchanged, the Net Asset Value (NAV) of the mutual fund changes as per its investment portfolio.
When you invest through SIP, you buy units of mutual fund every month or any other pre-decided intervals from the amount you’ve invested. SIP ensures that an individual who doesn’t have enough money to invest as a lump-sum investment can also generate extra income by investing in mutual funds.īenefits of Investing in HDFC Bank Mutual Funds via SIP These intervals could be weekly, monthly, quarterly, or annually. SIP is an acronym for Systematic Investment Plan (SIP) and refers to regular investment of small amounts of money in mutual funds at predefined intervals. Here is a List of Best HDFC SIP Mutual Fund Plans Fund NameĪlso Read : Best SIP Mutual Fund to Invest in 2019 What is SIP?
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