Why Include HDFC Equity Fund (G) to Your Investment Portfolio?

HDFC Mutual Fund is one of the largest AMCs regarding Assets Under Management. It has achieved the milestone of 3 lakh crore in a shortest span of time. It has been able to capture the trust of the investors by providing outstanding growth in the returns. HDFC Equity Fund (G) is a diversified equity scheme which is provided by HDFC Mutual Fund. Diversified equity schemes are chosen by a majority of investors who are new to the mutual fund investments and want to keep a balance between risk and return factor.

HDFC Equity Fund (G) - A Broad View

It is a diversified equity scheme which aims to provide maximum long-term capital gain by spreading the corpus among different market-cap companies. HDFC Equity Fund has provided good returns in last few years. It has generated 16.8% annualised return in the last 2 years and 16.6% annualised return in the past 5 years. Rs 10,000 invested in this fund 5 years ago would have become Rs 21,734 by now. It is one of the oldest schemes of HDFC MF and was launched in January 1995. It has provided an annualised growth of 19.15% since then.

The fund is managed by Mr Prashant Jain and Mr Rakesh Vyas. Mr Jain is a B.tech from IIT Kanpur, PGDM from IIM, Bangalore and CFA from AIMR, USA. He has previously worked with Zurich AMC and SBI Mutual Fund. He is managing this fund since June 2003 and was joined by Mr Rakesh Vyas in May 2012 who is a B.E and PGDM from XLRI Jamshedpur. He has worked with Lehman Brothers and Nomura.

They invest a majority of the corpus in the finance(30% approximately), engineering (15%), technology(12%), and various other sectors. 75-80% of the corpus is invested in equity instruments of large-cap companies to gain a decent return at the expense of a low-risk factor. 15-20% of the corpus is invested in mid-cap companies and 3-5% in small-cap companies to grab the

maximum returns and elevate the NAV of the scheme

The fund allows an investor to invest a minimum amount of Rs 5000 as lumpsum and Rs 500 as SIP. The expense ratio of the scheme is 2.04%. The exit load is 1% for withdrawal within 365 days of investment. The NAV of HDFC Equity Fund is Rs 606.45, and the AUM is Rs 21,553 crore.

The fund is suitable for the investors who seek long-term capital gain by investing in diversified equity instruments of different market-caps. The fund has performed decently and it is a great platform to place a bet on. But it is always advisable to consult with a financial expert before investing. Connect with the highly experienced experts at MySIPonline, where they provide the best guidance to invest in mutual funds. Investors are well introduced with the schemes and their benefits before investing.