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HDFC Flexi Cap Fund

HDFC Flexi Cap Fund

Incorporated on December 10, 1999, HDFC Asset Management Company Ltd. is among India's most popular fund houses. HDFC Mutual Fund launched its first scheme in July 2000, and ever since it has been ambitious about offering a stable performance of funds across all the variants of schemes it offers. The HDFC Mutual Fund is managed by HDFC Asset Management Company (HDFC AMC) Limited.  Let us talk about the consumer product – HDFC Flexi Cap Fund  HDFC Flexi Cap Fund  Investment Objective The primary objective is to generate capital appreciation/income from a portfolio, predominantly invested in equity & equity-related instruments.   Investment Process  The fund follows the following approach to investing.  Focus on fundamentally strong companies with growth drivers in the medium to long term.  Focus on competitive position, corporate governance, and industry outlook.  Emphasis on valuation to assess risk-reward and provide a reasonable margin of safety.  A holistic approach to valuations without relying solely on traditional parameters like P/E or P/B.  Portfolio Composition  The fund had invested 90.85% of its assets in equity & equity-related stocks, 3.21% in real estate, and 5.94% in cash and cash equivalents. The significant sectoral exposure is to Banks, which account for roughly one-fourth of the portfolio. Note: Data as of June 30, 2023. Source: HDFC MF Top 5 Holdings  Name Weightage % ICICI Bank Ltd. 9.13 HDFC Bank Ltd. 5.62 State Bank of India Ltd. 5.28 Bharti Airtel Ltd. 4.71 Hindustan Aeronautics Ltd.  4.63 Note: Data as of June 30, 2023. Source: HDFC MF  Performance    This Fund S&P BSE 500 TRI Equity: Flexi Cap 1 Year 27.01% 18.66% 19.43% 3 Years 32.43% 24.46% 23.48% 5 Years 16.91% 13.71% 13.63% 10 Years 17.92% 15.33% 16.50% Note: Data as of June 30, 2023. Source: Value Research  Fund Manager  Ms. Roshi Jain (Since July 29, 2022) has over 17 years of experience in research and fund management. Before joining HDFC Asset Management Co Ltd in December 2021, she worked with Franklin Templeton India AMC Ltd. as a Vice President & Portfolio Manager. Ms Jain earned her Post Graduate Diploma in Management from the Indian Institute of Management, Ahmedabad, in 2002. She earned her Chartered Accountancy from the Institute of Chartered Accountants of India in 1998 with an All-India Rank 2. She is also a Chartered Financial Analyst (CFA) charter holder.   Who Should Invest in HDFC Flexi Cap Fund?  The fund is suitable for investors willing to invest across market cap. However, investors need to understand the aggressive risk exposure of this fund.  Why Invest in this Fund?  The fund provides an opportunity to invest in companies of various market caps.  Aims to provide diversification to an investor’s overall equity mutual fund portfolio.  Experienced fund management and research teams with a track record of managing equity assets across market cycles.  Emphasis on risk management – portfolio diversification across stocks and sectors; focus on good quality businesses.  One of the largest funds in the flexi-cap category.  Ideal Time Horizon  One should look at investing for at least three years or even more.  Investment through Systematic Investment Plan (SIP) may help in tackling the volatility of the broader equity market.  Conclusion  The HDFC Flexi Cap Fund has a proven track record of over 25 years, with an Asset Under Management of ₹36,345.36 Cr as on June 30, 2023. The fund has consistently outperformed both the benchmarks and the category average also. Therefore, investors looking to generate wealth over the long term can consider this fund with an understanding of high risk. 
Affordable UAE Universities

Affordable UAE Universities

When it comes to pursuing higher education, the UAE stands as a beacon of academic excellence and cultural diversity, attracting students from all corners of the globe. Dubai and Abu Dhabi are undoubtedly home to some of the best universities in the region, but the soaring tuition fees can be a deterrent for many international students. Fret not, let's delve into the cheapest universities in the UAE, where aspiring students can study without breaking the bank. Affordable Universities in UAE 1. Al Dar University College First on our list is Al Dar University College, a hidden gem that offers undergraduate programs with a surprisingly affordable price range of 900 AED ($200 USD) to 1,200 AED ($300 USD) per credit hour. Despite its pocket-friendly tuition, the university prides itself on maintaining a high standard of education, providing students with valuable skills and knowledge to thrive in their chosen fields. https://www.youtube.com/watch?v=tdwqQH0xkFw 2. University of Sharjah Nestled amidst the vibrant city of Sharjah, the University of Sharjah is a testament to academic excellence with an annual tuition fee for undergraduate programs starting from AED 30,000 (USD $8,170). Renowned for its diverse academic offerings and state-of-the-art facilities, this institution has earned its place as one of the top affordable universities in the UAE. Start Saving for Child Education in UAE 3. Manipal Higher Education Academy Another institution that shines brightly on the spectrum of affordability is the Manipal Higher Education Academy. With an average annual tuition fee for undergraduate programs ranging between 37,000 AED and 50,000 AED, this university blends affordability with a commitment to delivering a well-rounded education that prepares students for their future careers. Affordable Universities in Singapore Read More 4. Amity University Dubai Amity University Dubai is a beacon of hope for those seeking a budget-friendly yet quality education. With an average annual tuition fee for undergraduate programs between 40,000 AED and 60,000 AED, this university offers a plethora of academic options, ensuring that students find their passion and purpose. 5. American University in the Emirates For those aspiring to an American-style education with a twist of Arabian allure, the American University in the Emirates is an ideal choice. With an average annual tuition fee for undergraduate programs ranging from 42,000 AED to 84,000 AED, this university stands as a testament to diversity and academic innovation. Affordable Australian Universities Read More 6. Islamic Azad University U.A.E. Branch Seeking a fusion of Islamic values and modern education? Look no further than the Islamic Azad University U.A.E. Branch. With an average annual tuition fee for undergraduate programs between 45,000 AED and 90,000 AED, this institution strikes a harmonious balance between traditional values and contemporary knowledge. 7. The British University in Dubai Last but not least, The British University in Dubai offers a taste of British education with a splash of Arabian allure. With an average annual tuition fee for undergraduate programs ranging between 56,000 AED and 63,000 AED, this university attracts students from diverse backgrounds who seek a world-class education with an international perspective. Scholarships and Financial Aid It is essential to remember that the tuition fees mentioned above can vary depending on the program and level of study. Moreover, many of these universities offer scholarships and financial aid packages to ease the financial burden on international students. Before finalizing your decision, it is highly recommended to explore these options and reach out to the university's admissions office for more information. Whether it's studying in UAE or UK, the cost of studying abroad is enormous. A simple application form can cost you nearly 30,000 rupees. An IELTS online exam is nearly 15,500 for every candidate. This is just the start; the actual tuition and accommodation might make you reconsider your plans. It's time to make education affordable again, it's time to invest in it!  Talk To An Expert
What are Index Funds?

What are Index Funds?

In the previous article, we discussed CAGR in mutual funds. In this article, we will discuss what are index funds. If you are looking to benefit from the upward market movement, index funds are a great way to achieve that. Index funds are passive funds that follow specific market indices like the Bombay Stock Exchange or the National Stock Exchange of India. For instance, if an index fund is benchmarked against the BSE, its portfolio composition will mirror the holdings of the BSE. This implies that it invests in companies similar to BSE. This enables the index fund to move up and down as BSE does.   You must note that these funds are managed passively, and the fund manager simply replicates the movement and changing composition of the benchmark. No new research or analysis is brought in to evaluate whether investing in a certain company will help the fund in the long term.   Index funds are formulated and popularised on the basic premise that in the long run, stock markets will rise, and hence the index fund that closely mimics the original benchmark will also rise and bring growth to the investor portfolio. There are index funds that are benchmarked against different stock market indices and against different sectors. These give you the option to choose the segment of your interest. What makes index funds different?  According to Warren Buffet, index funds are a great place to park your money if you are looking at safe yet growth-oriented stock market options. This advice is based on a couple of facts that make index funds attractive to investors who do not want to shift their funds around very aggressively:  Index funds are passively managed  Index funds have a low expense ratio  Index funds match the profits and losses of the markets at large. And usually tend to perform equivalent or slightly lower than the benchmark  Index funds are invested on the premise that the market will always outperform any single stock  Investments in index funds will over a period of time keep your investments safe and growing at a steady pace as the economy and the market grows. Hence, these are recommended for investors close to retirement as good long-term investment options. What is the Russell 2000 Index? Read More How to invest in an index fund in India?  Investing in an index fund is similar to investing in any other mutual fund. It is important for you to understand what you are investing in, and not just put your money into some random investments.   As index funds are usually long-term investments and passively managed, it is important for you to be sure that the fund you select mirrors the stated index well.   Research: Research and analyze the index fund’s performance over the past few years against the benchmark index.   Check up on future opportunities: Look at how the market/industry you are planning to invest in is expected to grow in the future. You must understand the opportunity for the segment that your index fund will be investing in.   Map your investment goals: Check whether the overall portfolio composition of the fund matches your own investment expectations: high growth, safety, assured returns, and so on. Pick the one that is closest to your investment and returns expectations.   Check on fund expenses: Fund expenses must be studied and understood carefully especially if you are looking to shift large funds. High fund expenses could increase your trading costs unnecessarily over time. Simplified Guide to Index Funds Read More Risks and costs associated with index funds  Index funds move as the market moves, so it hardly ever outperforms the market.  It has little flexibility in cases of market crashes, the fund manager is not typically permitted to trade as a reaction to falling markets.   If the index fund does not truly mirror the benchmark index, it could affect your returns in the long run. This makes prior research very important.   It is worth noting that index funds with the lowest expense ratios track the benchmark index more accurately than others in the market. Word of caution Balance your portfolio with a combination of index funds and actively managed funds. This will help even out any major downsides that come with falling markets and bring more stability to your returns.   Be prepared to remain invested for up to a minimum of 7 years in the index fund if you wish to see some decent returns.  A few examples of popular index funds in India are:   IDBI Nifty Junior Index Fund Growth   ICICI Prudential Nifty 50 Index Plan Direct-Growth   UTI Nifty Next 50 Index Fund Direct-Growth  Index funds are a great tool to build your child’s education corpus fund. With the Indian economy growing, these funds will give you the growth that comes with the expanding markets. Start today, but make sure you do your due diligence before you part with your money.   FAQs What is an index fund and how does it work?  An index fund is a type of investment fund that aims to replicate the performance of a specific market index, such as the S&P 500. It works by holding a diversified portfolio of assets, mirroring the index's composition.  Is Nifty 50 an index fund?   No, Nifty 50 is not an index fund. Nifty 50 is a stock market index in India, comprising the 50 largest and most actively traded stocks on the National Stock Exchange (NSE). An index fund would be an investment fund that aims to replicate the performance of the Nifty 50 index.  What is an index fund in simple terms?   An index fund is like a basket of investments designed to follow the performance of a particular market index, such as the S&P 500. Instead of trying to beat the market, it aims to match its returns by holding a mix of assets like those in the chosen index.  Are index funds a good way to invest?   Ans. Yes, index funds are generally considered a good way to invest due to low costs, diversification, and potential for long-term growth.   Are index funds tax-free?   Ans. Index funds are not inherently tax-free. Investors may still incur taxes on capital gains and dividends when selling or receiving distributions from the fund, depending on their country's tax laws and individual circumstances.    What is a SIP in an index fund?   Ans. A SIP in an index fund involves regularly investing a fixed amount at predetermined intervals, promoting disciplined and gradual investment over time.    TALK TO AN EXPERT
Demystifying Exit Load: What Investors Should Know

Demystifying Exit Load: What Investors Should Know

In the previous article, we discussed NFO in mutual funds. In this article, we will discuss exit load in mutual funds Investors should always be aware of the costs and charges related to their investments when it comes to money management because these prices and charges immediately reduce their returns. For investors, some costs, such as fund management costs, may be inevitable because they increase the value of the mutual fund scheme. However, if investors carefully prepare for their investment withdrawal, they may be able to avoid one such fee, such as the exit load. What is an Exit load?  When investors redeem or withdraw their fund units, Asset management companies (AMCs) charge them a fee known as an exit load. If an investor withdraws money from the fund within the lock-in period, it is also known as the exit penalty or commission to fund houses.  Not all mutual funds impose an exit fee. Hence, in addition to the plan's expense ratio, take the exit load into account while making your decision. It's important to remember that the exit load is not included in the expense ratio. With open-ended funds, investors can withdraw their money whenever they wish. Investors may fail to commit to a fund for the time period they have promised to invest for. As a result, an exit load discourages investors from withdrawing money from a fund too soon. The number of withdrawals from mutual fund schemes may decline because of this cost. What is Open Ended Mutual Funds? Read More What is the Exit load in mutual funds?  The exit load often represents a portion of the investors' mutual fund holdings' Net Asset Value (NAV). The remaining amount is credited to the investor's account after the AMC deducts the exit load from the overall NAV. Imagine you invested in a mutual fund with a lock-in period of 1 year and an exit load of 2%. And you decide to withdraw the amount after 6 months when the fund’s NAV is at Rs.35 at the time of redemption. You’d only receive Rs.34.30 as you’d have to pay the exit load penalty of 2% for withdrawing the amount before the investment period is over. The exit load will not be applied to the investor's redemption if they stay invested for the full duration of the mutual fund. Exit Load on Different Mutual Fund Schemes  Exit load is not applied uniformly across all mutual fund schemes. Some mutual fund schemes may charge an exit load for up to a two-year investment period, whereas other schemes may only charge for a seven-day investment period.  In addition, many schemes might decide not to impose any exit load at all.   The following are the general exit load guidelines for several mutual fund categories:  If the holding period is less than the lock-in period, exit loads are typically imposed on redemptions by debt funds.  If the holding duration is between one and two years, equity funds may normally impose an exit load on redemptions.  On overnight schemes, there is no exit load.  In liquid schemes, if the investment duration is less than seven days, a graded exit load may apply. As a result, as the holding period extends, the exit fee gradually decreases.  Where does the exit load go?  The AMC receives the exit load payment, which it then invests in the portfolio. AMCs must reinvest it into the plan portfolio, as per SEBI's directive. Thus, mutual fund companies give you the net redemption proceeds after keeping a portion of the redemption value as the exit load. It is then reinvested in the portfolio to continue providing benefits to the current investors. XIRR in Mutual Funds Read More How can you avoid exit loads?  You can avoid the exit load if you redeem the fund after the specific time frame for which the load is applied.  To receive higher returns from your mutual fund investments, make sure to check the scheme's exit load before investing in it and aim only to redeem when the exit load is no longer applicable.  https://www.youtube.com/watch?v=T53Wlc0YS9U How to calculate exit load in mutual funds  Most of the time, the fund manager decides on the exit load. Let's say a person contributed Rs. 10,000 to a mutual fund scheme in January 2020. The scheme's NAV is Rs. 100, and there is a 1% exit fee for early withdrawal. The investor again chooses to invest Rs. 6,000 at a NAV of Rs. 100 in the same fund in March 2020. If they redeem the fund in November 2020, when the NAV is Rs. 110, how would you determine the exit fee? In the event that the redemption occurs in February 2021 and the NAV is Rs. 115, how can you determine the exit fee? Number of Units bought in January 2020 Rs. 10,000/100 = 100 (Total NAV/Number of Units bought) Number of units bought in March 2020 Rs. 6000/100 = 60 The investment of 10,000 in January 2020 and 6,000 in March 2020 will both have exit loads for redemptions in November 2020, based on the November NAV of Rs. 110. Exit Load 1% of [(100 x 110) + (60 x 110)] = Rs 176 The amount credited to the investor17600 – 176 = 17424 (Total NAV – Exit fee) For the second investment in March 2020 1% of (60 X 115) = Rs. 69  The first investment made in January 2020 exceeds the one-year period in the event of redemption in February 2021. Therefore, there is no exit load required to redeem it. However, the second investment made in March 2020 will be subject to an exit fee of 1%, as shown in the above table.  Conclusion   The assumption that the exit load time is always one year is incorrect. To learn about the exit load, which will always assist in making wise decisions, you should read the scheme information documents. Mutual fund exit loads are designed to prevent early redemptions in order to protect investors' interests in the scheme. Before investing, you should always be aware of the mutual fund exit load or mutual fund costs of a scheme. FAQs What is the exit load in mutual funds?   Exit load is a fee or amount charged by mutual fund houses when investors exit a scheme partially or fully during a specific period from the date of investment, as specified in the Scheme Information Document. The exit load is usually a percentage of the redemption amount at applicable NAVs. The purpose of exit load is to discourage investors from withdrawing their investments too soon, which can impact the fund's performance and returns.   Can exit load be avoided by investors?   Yes, exit load can be avoided by investors if they are smart about tracking when they bought the mutual fund units and when they plan to sell them. If investors hold their investments for the exit load period specified in the scheme's offer document, they can avoid paying the exit load. Additionally, investors can also consider investing in schemes that do not have an exit load or a lower exit load. However, it is important to note that exit load is just one of the many factors to consider while investing in mutual funds, and investors should always do their due diligence before making any investment decisions.  Do all mutual fund schemes levy exit load?   No, not all mutual fund schemes levy exit load. Some schemes do not charge any exit fee. For example, liquid funds and overnight funds do not have an exit load as they are designed for short-term investments. However, equity funds and debt funds may have an exit load, depending on the scheme's investment objective and holding period.   How is exit load calculated?   The exit load structure of a scheme specifies two parameters – mutual fund fees charged as a percentage of the redemption amount at applicable NAVs and the exit load period (period from the date of purchase). For example, if the exit load is 1% and the redemption amount is Rs. 10,000, the investor will have to pay Rs. 100 as exit load. The exit load period can vary from scheme to scheme and can range from a few days to a few years.   What is the difference between an entry load and an exit load?   An entry load is a fee charged by some mutual funds when investors purchase units in the fund. It is deducted from the investment amount and reduces the number of units allocated to the investor. On the other hand, an exit load is a fee charged when investors sell or redeem their units. It is deducted from the redemption proceeds and reduces the amount received by the investor.   How can investors avoid paying exit loads?   Investors can avoid paying exit loads by holding their mutual fund units for the duration of the exit load period. For example, if a scheme has an exit load for the first year, investors can choose to redeem their units after the first year to avoid the exit load. They can also choose to invest in schemes that do not charge an exit load or opt for schemes with a shorter exit load period. It is important for investors to carefully read the scheme information document (SID) before investing to understand the exit load provisions and make informed decisions. Are all mutual fund schemes subject to exit loads?   No, not all mutual fund schemes charge an exit load. The presence and amount of exit load vary from scheme to scheme. Some schemes may charge an exit load for a certain period of time, such as within the first year of investment, while others may not charge any exit load at all. The exit load guidelines are determined by the mutual fund company and are mentioned in the scheme information document (SID).  
Expensive Universities: Over 1 Crore Fees

Expensive Universities: Over 1 Crore Fees

Education is often seen as the gateway to a better future, offering opportunities for personal growth, intellectual development, and increased earning potential. However, attending prestigious universities with a hefty price tag can leave many students and their families questioning the true value of such an investment. In this article, we will explore some of the world's most prestigious universities that can cost you over 1 crore and delve into the potential returns on investment. https://www.youtube.com/watch?v=tdwqQH0xkFw Top Universities with 1 Crore+ Fees Harvard University Nestled in the historic city of Cambridge, Massachusetts, Harvard University stands tall as an academic giant. With a reputation that precedes itself, Harvard consistently ranks among the top universities worldwide, offering a diverse array of programs across various disciplines. The cost of attending Harvard can be jaw-dropping, with tuition, fees, and living expenses exceeding 1 crore. But for many, the chance to study at such an esteemed institution is a dream worth millions. Massachusetts Institute of Technology (MIT) If you have a passion for science, technology, engineering, or mathematics (STEM), MIT beckons you as a beacon of innovation. Renowned for groundbreaking research and a commitment to pushing the boundaries of knowledge, MIT is a mecca for students seeking to make a profound impact on the world. However, this privilege comes at a cost, with expenses at MIT often surpassing 1 crore, raising questions about whether the investment is justified. California Institute of Technology (Caltech) Caltech, the cradle of scientific pioneers, has earned its reputation for providing a rigorous education and fostering cutting-edge research. For students aspiring to excel in science, engineering, and applied sciences, Caltech is an attractive option. However, with tuition and living expenses potentially exceeding 1 crore, one must ponder the correlation between cost and brilliance. University of Pennsylvania As a member of the prestigious Ivy League, the University of Pennsylvania has a legacy of academic excellence and a wide range of undergraduate and graduate programs. Its business, law, and medical schools are particularly esteemed. Yet, the cost of attending Penn can surpass 1 crore, prompting prospective students to reflect on the significance of the Ivy League tag. Stanford University Nestled in the heart of Silicon Valley, Stanford University embodies the spirit of innovation and entrepreneurship. With its vibrant campus culture and strong ties to the tech industry, Stanford attracts students from around the globe. But with costs crossing the 1 crore mark, the price of innovation can leave many wondering if the investment will lead to a prosperous future. Cost of Universities Read More How can you save for this huge cost? The cost of education is rising annually at a frightening rate. An average engineering degree cost you lakhs in the next 5 years. The only way to stay ahead is to plan, save and invest. You complete all these steps on the EduFund App. The first step is using the futuristic College Cost Calculator. This calculator helps you estimate the future cost of studying in different countries and personalize your plan based on the outcome.  The second step is saving and goal creation. Once you know the cost of studying in Canada in 2040, you can create a plan to save for this cost on the App itself. Choose different investment options that can help you achieve your goal. You can also take the help of a savings expert to kickstart your plans.  The third step is execution and investment. You can invest with a SIP or choose a lumpsum plan to fund your child’s future college degree. You can choose to invest in mutual funds & US ETFs on the App.  If you want to make saving for your child’s education easy then do visit the EduFund App! Talk To An Expert
Studying in Delhi or Mumbai: A Comparative Analysis

Studying in Delhi or Mumbai: A Comparative Analysis

India is home to some of the best colleges and universities in the world, and Delhi and Mumbai are two of the most popular cities in India for students. With a plethora of colleges and universities in both cities, students have a wide range of options to choose from. However, one of the biggest factors that students consider when choosing a city to study in is affordability. In this article, we will delve deeper into the cost of education in Delhi and Mumbai and help you determine which city is best for affordable education. https://www.youtube.com/watch?v=tdwqQH0xkFw Deciding Between Delhi and Mumbai for Studies Tuition Fees Tuition fees are one of the biggest expenses students incur during their education. In Delhi, the tuition fees for top universities and colleges are generally lower than in Mumbai. For example, the annual tuition fee for Delhi University ranges from Rs. 10,000 to Rs. 30,000, while Mumbai University charges an annual fee ranging from Rs. 20,000 to Rs. 40,000. Similarly, the Indian Institute of Technology (IIT) in Delhi has an annual fee of Rs. 2 lakh, while the IIT in Mumbai has an annual fee of Rs. 2.2 lakh. This means that students can save some amount of money on tuition fees if they choose to study in Delhi. Accommodation The cost of accommodation is another crucial factor that students consider when choosing a city to study in. In Delhi, the cost of PGs and hostels is generally lower than in Mumbai. An average PG in Delhi costs between Rs. 8,000 to Rs. 15,000 per month, while in Mumbai, the rent for similar accommodations ranges from Rs. 10,000 to Rs. 20,000 per month. Similarly, the cost of a one-bedroom apartment in Delhi ranges from Rs. 10,000 to Rs. 20,000, while in Mumbai, it ranges from Rs. 20,000 to Rs. 40,000. This means that students can save a significant amount of money on accommodation if they choose to study in Delhi. Transportation The cost of transportation is also an important consideration for students. In Delhi, the public transportation system is more affordable, and the cost of a monthly pass for Delhi Metro ranges from Rs. 800 to Rs. 1,500. In Mumbai, there is also a public transportation system, but the cost of Mumbai Local and taxis is generally higher than that of Delhi. Similarly, the cost of owning a car in Mumbai is higher than in Delhi. According to a study by ICICI Lombard, the cost of owning a car in Mumbai is around 11% higher than in Delhi. This means that students can save a significant amount of money on transportation if they choose to study in Delhi. Cost of Living The cost of living is another crucial factor that students consider when choosing a city to study in. In Mumbai, the cost of living is generally higher than in Delhi. According to the Cost of Living Index released by Numbeo, the cost of living in Mumbai is 16.24% higher than in Delhi. Similarly, the cost of food and groceries is also higher in Mumbai than in Delhi. According to the same report, the cost of groceries in Mumbai is 16.01% higher than in Delhi. This means that students can save a significant amount of money on living expenses if they choose to study in Delhi. Scholarships and Financial Aid Both Delhi and Mumbai universities and colleges offer scholarships and financial aid to students. Delhi University offers merit-based and need-based scholarships, while Mumbai University also offers similar options. Similarly, IIT Delhi and IIT Mumbai also offer scholarships and financial aid to eligible students. Students can apply for scholarships and financial aid to offset their education costs. Conclusion As we have seen, Delhi and Mumbai are both great cities for students who are looking for an affordable education. While Delhi is generally more affordable than Mumbai, students should consider their budget, financial situation, and the college they want to attend before making a decision. Students can save a significant amount of money on tuition fees, accommodation, transportation, and living expenses if they choose to study in Delhi. However, Mumbai also offers a range of excellent colleges and universities, and students can still obtain an affordable education in this city with careful planning and budgeting. Ultimately, it is up to the individual student to decide which city is best for them based on their unique circumstances. Talk To An Expert
Smart Investments for Kids of 1-5 Years: A Parent's Guide

Smart Investments for Kids of 1-5 Years: A Parent's Guide

Parenthood is a beautiful journey full of smiles, joy, and love. Every child is a prince or princess for the parent. Like in any fairy tale, every parent wants their child to live the life of the prince or princess. In real life, royal life means sending your child to the best school, graduating from top-quality universities, going abroad, and settling anywhere in the world. And to achieve this, parents are ready to do anything. But come to reality. Inflation in education is among the highest. Another major obstacle is rupee depreciation if you want the child to go abroad for education. So how can a parent do all this? https://www.youtube.com/watch?v=tdwqQH0xkFw Well, every parent can fulfill all the dreams of the child. How?  The answer lies in investing.  Let us see how parents can save and invest for their children between the ages of 1-5.  Money grows with time. The earlier you start, the more advantage you have. A slight delay in investing can result in a considerable difference over the long term. Hence, it is advisable to start saving as soon as possible. "Start early and invest properly" is the appropriate approach every parent needs to follow to make their child's dreams a reality.  But how to invest for the kids in the age bracket 1-5?  Investing depends on the risk appetite of the investor. How much risk you can take will determine how you should invest. And the risk appetite depends on the time you have in your hand. The time when you require the money will determine your risk-taking ability.  Generally, it is considered that the more time you have in your hand, you can take a higher risk and vice versa. When investing for the long term, you can take the risk aggressively. As the time in hand reduces, your risk-taking ability reduces, and you need to reallocate your money to safer avenues.  This can be better understood with the help of the following example. Suppose your child is 1-2 years old. Let us first list down what expenses you will have to incur. It will be fees for kindergarten, school fees, graduation, post-graduation, electronics such as a tablet or a laptop, living expenses, and the list continues. Investment Options Under 10 Lakhs Read More You need to identify the expenses that will be incurred in less than one year, three years, 3- 5 years, and after that. After identifying the expenses, you can decide how much risk you can take.  For the expenditure to be incurred in less than a year, liquid funds can be considered. A gilt fund or corporate bond fund can be a good choice for expenses to be incurred after one year but within three years. One can consider even a conservative fund. Aggressive funds, balanced advantage funds, or multi-asset funds can be suitable in the case of 3-5 years. And for expenditures beyond five years, equity funds will be the best option. Small-cap funds, mid-cap funds, flexi-cap funds, focused funds, etc., generate good returns over the long term. However, as you come closer to your goals, you need to move the funds from high-risk to less-risky ones.  It should be noted that the allocation should be based on the risk-taking capacity of the individual investor. The above are general rules of thumb. One can choose to invest based on his or her risk appetite. E.g., an aggressive investor might consider investing in a balanced advantage fund for expenditure to be incurred within three years.  Generally, investing for kids between the age group of 1-5 gives the luxury of having an ample amount of time in hand. As said earlier, the sooner you start, the less you need to save, and it becomes easy to reach your goal. E.g., if you want Rs.10,00,000 after five years, you need to start a SIP of Rs.11,290 only assuming an expected rate of return of 15%. However, you need to save Rs.15,330 per month to reach the same goal if you delay your investments by one year. So, start investing as soon as possible. Talk To An Expert
UTI Equity Savings Fund

UTI Equity Savings Fund

UTI is one of the pioneers of the Indian Mutual Fund Industry. With over Rs 2.4 Lakh crore, the AMC is among the most trusted names in the mutual fund space. The UTI Mutual Fund offers products across asset classes. Let us talk about the flagship product – UTI Equity Savings Fund.  https://www.youtube.com/watch?v=44SZNc03zBM UTI Equity Savings Fund  Investment Objective The investment objective of the Scheme is to provide capital appreciation and income distribution to the investors using arbitrage opportunities, investment in equity/equity-related instruments, and debt/money market instruments.   Investment Process   For Equity Investments: Sector selection combines top-down and bottom-up approaches going through short-term challenges and trading below long-term averages. Stock selection mainly involves Stocks trading at a deep discount to their intrinsic value and with signs of value unlocking. The focus lies mainly on stocks below their long-term averages or when it is cheap relative to market aggregates. Arbitrage opportunities arising out of mispricing in cash & future market. Opportunities that can provide regular accruals.  For Debt Investments: Debt portfolio is based on accrual strategy, focus on good credit quality, focus on low duration, tactical allocation on G-sec based on in-house view. Portfolio Composition  As a hybrid fund, the funds are allocated to equity, long-term debts, government securities, and non-current assets. The equity fund allocated 96.2% to large-cap funds, 3.8% to mid-cap. Note: Data as of 30th June 2023.Source: UTIMF Top 5 Active Stock Positions  Name Sector  % HDFC Bank Ltd. Banking 3.1% Infosys Ltd IT 2.9% ICICI Bank Ltd Banking 2.4% Larsen & Toubro Ltd Construction 2.1% ITC Ltd FMCG 1.9% Note: Data as of 30th June. 2023. Source: UTIMF  Performance Since Inception Note: Fund performance since launch; Inception Date – 30th Aug. 2018. Source: UTIMF Invest In Fund Fund Manager  Mr. V. Srivatsa is an Executive Vice President & Fund Manager –Equity at UTI AMC Ltd. He is a B. Com graduate, C.A., CWA, and has a PGDM from IIM, Indore. He has been with UTI AMC since 2002. Before joining UTI, he worked with Ford, Rhodes Parks & Co., Chartered Accountants for two years, and as Officer-Audit in Madras Cements Ltd. He started in the securities research department at UTI AMC, covering varied sectors such as Information Technology, Capital goods, and metals. He was promoted as fund manager offshore in December 2005 after a three-year stint in the DOSR. He was given additional responsibilities for the equity portion of hybrid funds in October 2009. He reports to the Head – Of equities for both the domestic & hybrid equity schemes.  Mr. Sunil Patil is Executive Vice President & Fund Manager – Debt. He joined UTI AMC in October 1989. He has 28 years of experience in Primary Market Investment / dealing and Fund Management.  Who Should Invest?  Investors looking for overall portfolio diversification.  Investors who want growth with limited downside risk to their portfolio  Investors looking for tax-efficient returns  Retirees looking for moderate and stable returns with low volatility  First-time investors to the Mutual Fund  Why Invest?  Diversified portfolio construct that limits the volatility   Aims to create long-term wealth creation by investing in companies that generate economic value   Portfolio management within well-defined investment philosophy & investment process Around 27 years of Performance track record  Tax efficiency due to equity taxation   Competitive expense structure   Ideal Time Horizon  Ideal for investors with a time horizon of three years and above.   Investment through Systematic Investment Plan (SIP) may help in tackling the volatility of the broader equity market.  Conclusion  The equity portion of the fund's portfolio is managed actively with both top-down and bottom-up stock-picking approaches. In contrast, the debt portion is managed with a focus on good credit quality and low duration. The fund has underperformed the benchmark since its inception. Hence, investors should remain invested long-term to witness alpha generation. 
Empower Grandkids: 7 Financial Tips for Their Bright Future

Empower Grandkids: 7 Financial Tips for Their Bright Future

As a grandparent, you have a unique opportunity to shape your grandchildren's lives, including their financial well-being. By offering guidance and support, you can empower them to make wise financial decisions and build a secure future. In this blog post, we will explore practical tips to help your grandchildren financially.  Whether it's teaching them about money management, fostering good saving habits, or providing educational resources, these tips will equip your grandchildren with the tools they need to thrive. Secure Their Future: 7 Ways to Support Grandchildren Financially 1. Start early  Teaching the basics of money management and financial education is a lifelong journey, and the earlier it begins, the better. Introduce your grandchildren to basic concepts like budgeting, saving, and spending wisely.  Help them understand the value of money and the importance of setting goals. Encourage open discussions about finances and make it a point to answer their questions patiently. By instilling these fundamental principles early on, you lay a solid foundation for their financial future. Start Saving with EduFund 2. Encourage saving habits  Saving is a crucial habit that can benefit your grandchildren throughout their lives. Encourage them to save by setting up a savings account or piggy bank specifically designated for their goals. Teach them the concept of delayed gratification, where they save for something they desire rather than giving in to impulsive spending.  Consider matching their savings contributions or offering small incentives to motivate them. By nurturing their saving habits, you teach them the value of patience, discipline, and long-term planning. Reasons to Start Saving Early Read More 3. Introduce the power of compound interest Teaching your grandchildren about compound interest is a valuable lesson that can greatly impact their financial future. Explain how their money can grow exponentially over time by earning interest on both the initial amount and the accumulated interest.  Illustrate this concept through examples or interactive activities to make it more relatable and engaging. Encourage them to start saving early to take full advantage of the power of compound interest. Start SIP with EduFund 4. Support financial education  In today's digital age, there are numerous resources available to enhance financial literacy. Encourage your grandchildren to explore online courses, podcasts, books, or videos that cover various financial topics. Consider gifting them educational books on personal finance or subscribing to a financial magazine or newsletter that can provide valuable insights. Additionally, you can help them navigate through complex financial terms and concepts, ensuring they have a solid understanding of financial matters. SIP Plans for Child Education 5. Teach responsible credit card usage  Credit cards are a useful financial tool, but if used irresponsibly, they may also result in debt. Talk to your grandkids about the benefits and drawbacks of credit cards, emphasizing the necessity of making prompt, complete payments in order to avoid incurring interest fees.  Teach them to utilize credit cards for convenience instead of reckless spending. Inform them of the possible repercussions of taking on debt and the long-term effects it may have on their financial stability. https://www.youtube.com/watch?v=tdwqQH0xkFw 6. Start a fund for their college Introduce the idea of investing to your grandkids, as well as the possibility of building long-term wealth. You can start a small fund for their college to encourage them. Teach them about investing choices, including stocks, bonds, and mutual funds. Starting an education fund for them will help them a lot in the future. They can use those funds to sponsor their entire college education. This is a great financial relief because often students end up taking big loans that they have to pay off for years after their college ends.  Set Short Term and Long Term Goals 7. Teach the value of budgeting  Making efficient use of a budget is a crucial skill that your grandkids may develop. Show students how to make a budget by keeping track of their earnings, costs, and savings. Explain the difference between needs and wants, highlighting the need of giving priority to necessary costs and making thoughtful financial decisions.  Introduce them to applications or tools for budgeting that can make the process easier and promote ongoing budget evaluations. Early budgeting practices provide your descendants with the capacity to make wise financial decisions and avoid needless debt. College Student Guide To Budgeting Read More 8. Write them into your will If you're a grandparent, you undoubtedly want what's best for your grandkids. You want them to be happy, healthy, and equipped with all they need to thrive in life as they grow up. Additionally, if you're a typical grandmother, you want to be prepared to assist them when necessary. But here's the thing: there are certain things we don't know about, like how to give them money or how we can help financially, when it comes to aiding your grandchildren financially. How then can you ensure that your grandchildren receive the necessary financial support? You should include them in your will as one of your actions. They will receive all they are due when you pass away and your inheritance is distributed in accordance with your desires, regardless of the mischief they got themselves into in the interim. You may have a big effect on your grandchildren's financial situation by using the advice in this article. Building a solid financial foundation requires taking several important actions, including starting young, teaching money management skills, encouraging saving behaviors, and supporting financial education.  Your descendants will have the skills and attitude necessary to successfully manage the complexity of personal finance and ensure a wealthy future if you inculcate these principles and information in them. Keep in mind that your advice and encouragement might have a long-lasting impact on their life. Talk To An Expert
Transform Your Finances: ICICI Prudential Banking and Financial Fund 

Transform Your Finances: ICICI Prudential Banking and Financial Fund 

ICICI Prudential Mutual Fund is the second-largest asset management company in India. With over Rs 5 Lakh crore, the AMC is among the most trusted names in the mutual fund space. ICICI Prudential Mutual Fund offers products across asset classes. ICICI Prudential Banking and Financial Fund  Investment Objective The scheme's primary objective is to generate long-term capital appreciation to unit holders from a portfolio that is invested predominantly in equity and equity-related securities of companies engaged in banking and financial services.  Investment Process   Portfolio construction: The scheme will invest a minimum of 80% of its total assets in stocks of companies engaged in the banking and financial services sector, including banking, broking, asset management, wealth management, insurance, non-banking financial companies (NBFC), and other companies that may be engaged in providing financial services.  Benchmark agnostic: While the Scheme’s performance is benchmarked against Nifty Financial Services TRI, it may opportunistically invest in companies outside the same.   Investment Approach: The scheme invests across market capitalizations and uses a combination of growth and blend investment style.  Portfolio Composition  As per its investment objective, the equity exposure is significant to stocks of companies engaged in the banking and financial services sector. The funds are invested primarily in large-cap companies with approximately 81% exposure to large-cap stocks, approximately 15% to mid-cap stocks, and the remaining 4% to small-cap stocks. Note: Data as of 31st May. 2023. Source: ICICI Pru AMC, Value Research  Top 5 Holdings for ICICI Prudential Banking and Financial Fund Name Sector Weightage % HDFC Bank Ltd. Bank 17.41 ICICI Bank Ltd. Bank 17.16 State Bank of India Ltd. Bank 9.34 Axis Bank Ltd. Bank 8.09 HDFC Ltd. Finance 5.3 Note: Data as of 31st May 2023. Source: ICICI Pru AMC Performance Since Inception  If you had invested 10,000 at the fund's inception, it would now be valued at Rs 95,580. Note: Fund performance since launch; Inception Date – 22nd August 2008.  Source: icicipruamc.com The fund has performed consistently and has generated an annualized return of 16.4% since inception. It has outperformed its benchmark except for the five-year period.  Invest in the fund Fund Manager  The fund is ably managed by Roshan Chutkey, who has over 12 years of experience and manages five funds.  Who Should Invest in ICICI Prudential Banking and Financial Fund?  This scheme is suitable for investors who aim to invest predominantly in companies engaged in banking and financial service and achieve goals like tactical solutions and wealth creation.  Why Invest in ICICI Prudential Banking and Financial Fund?  The banking and financial services sector proxies India's growing economy since every aspect of the economy is influenced by it.   It allows investors to invest in companies engaged in the banking and financial services sector across all market caps.   Time Horizon  One should look at investing for a minimum of five years or more.  Investment through Systematic Investment Plan (SIP) may help tackle broader equity market volatility.  Conclusion  The scheme provides access to well-researched companies engaged in the banking and financial sectors that provide a higher return potential. This allows investors to have exposure to one of the most critical sectors that play a crucial role in the development of any economy. Also, the fund has consistently outperformed its benchmark except over five years. Hence, investors seeking to invest for a long-term time horizon to generate high returns with higher risk through exposure to the banking and financial sector can consider this fund. DisclaimerThis is not recommendation advice. All information in this blog is for educational purposes only.
Smart Investments for Kids of 5- 10 Years: A Parent’s Guide

Smart Investments for Kids of 5- 10 Years: A Parent’s Guide

Your child’s expenses do not remain constant all the time. As the child gets older, the expenses start to increase. Expenses like school fees, tuition fees, living expenses, and expenses incurred on other necessities of education such as stationery, electronic gadgets, etc. All these increases as your child grows older.    Parents need to follow the right investing approach to keep pace with potential costs. If not appropriately invested, you may end up having insufficient funds when required, and the stakes can be huge since it is the question of your child's future. Hence, in this article, we will explore what would be the correct approach to investing and how the investments should be made by parents having kids between the age group of 5-10 years.  https://www.youtube.com/watch?v=tdwqQH0xkFw What should be the correct approach to investing, and how to invest?  If you are a parent having a kid between the ages of 5-10 years, you need to be very serious about your investments because you are going to witness a sharp increase in the education expenditure of your child.   The reason is that in the next 4-6 years, your child will complete his secondary education and then be required to take admitted to college. College fees are not the only significant expenditure that you will incur. It is only the tip of the iceberg. Apart from the college fees, you may have to pay the class fees, especially if your child is willing to pursue courses such as engineering from IIT or an MBBS or an MBA from IIM.   Since the courses mentioned generally require the entrance exams to be cleared, the preparation starts much earlier, and you may incur significant outflow from your savings. And remind you; education inflation is among the highest of all the categories. Therefore, you should start investing as soon as possible.   Smart Investment for Kids 1 to 5 years Read More How to do that?  Step 1: First, identify the expenses that you will be required to incur and bifurcate them based on when they will be incurred, such as expenses to be incurred within a year, within 1-3 years, after three years, etc.  Step 2: Once you bifurcate the expenses into these categories, you need to quantify the expenditure. Since the expenses will always be increasing due to inflation, you need to find out how much you will be required to pay; otherwise, you might end up having insufficient funds due to investing less than the required amount. To estimate the education expenditure, you can use the help of our cost calculator.  Step 3: After estimating the amount and timing of expenditure, you need to estimate how much you need to invest to reach the goal. You can do so by using the SIP calculator.   Step 4: Once you find out how much you are required to invest every month, the next step is to determine where to invest. Generally, the longer the duration, the higher the risk-taking ability, and vice versa. A longer duration gives you a chance of recovery if something goes wrong. This is not the case in case of expenditure to be incurred within one year. Hence the risk tolerance decreases as the time horizon reduces.  For long-term time horizons such as 3 to 5 years or even more, investors can consider investing in small cap, mid cap, flexi cap, or focused funds. These funds provide good potential for capital appreciation over the long term. And the volatility also reduces over the long term. For investments with a time horizon of 1-3 years, hybrid funds such as conservative or balanced advantage funds can be suitable since they provide the advantage of both portfolio stability and limited growth potential. Also, an aggressive investor can consider investing in a multi-asset fund that provides diversification across various asset classes such as equities, debt, gold, etc. At the same time, a risk-averse person can consider the debt funds such as gilt-edge funds or dynamic bond funds for the said time horizon. And lastly, debt funds such as liquid funds should be considered for expenditure to be incurred within a year.  Please note the allocation to various types of mutual fund schemes depends on the individual's risk appetite. You need to determine how much risk you can take, and accordingly, you need to select funds for investing.  Step 5: The last step is rebalancing. You just cannot start investing and leave it as it is. It would help if you rebalanced your portfolio from time to time. As you come closer to your goal, you need to reallocate your investments to lesser risky funds since you cannot take high risks as you come closer to your goal.  So, this is the step-by-step guide for investing in your child. Hope you found this article useful. Thanks for reading!  Talk To An Expert
Diversify Your Portfolio: Explore DSP Global Innovation Fund

Diversify Your Portfolio: Explore DSP Global Innovation Fund

One of the largest AMCs in India, DSP has been helping investors make sound investment decisions responsibly and unemotionally for over 25 years. DSP is backed by the DSP Group, an almost 160-year-old Indian financial giant.  The family behind DSP has been very influential in the growth and professionalization of capital markets and the money management business in India over the last one-and-a-half centuries. DSP Global Innovation Fund of Fund This is an International Fund of Funds, FoFs (Overseas/ Domestic) fund with MSCI ACWI Net Total Return as its benchmark. It was launched in February 2022 and had an AUM of more than Rs. 501 crores as on May 31, 2023. The risk level for this fund is categorized as Very High Risk.  Investment objective  The primary investment objective of the scheme is to seek capital appreciation by investing in global mutual fund schemes and ETFs that primarily invest in companies with innovation themes having the potential for higher revenue and earnings growth. The scheme may also occasionally invest a certain portion of its corpus in money market securities and/or money market/liquid schemes of DSP Mutual Fund to meet liquidity requirements.  Investment process  DSP Global Innovation Fund Fund invests globally in the innovation theme via companies that are either market-leading dominators, game-changing disruptors, or connecting enablers through a mix of different investing styles, market-caps & fund managers.  It does this by investing in international funds across the active & passive space, which in turn invests in companies across multiple innovation themes and sectors such as Biotech, Aerospace & Defence, Fintech, E-Commerce, Mobility, Internet & interactive media, Semiconductors, and more.  Portfolio Composition  The fund had invested approximately 97% of the assets in equity, and the remaining were held in cash and cash equivalents.   Note: Data as of May 31, 2023. Source: DSP MF Performance:  If you had invested Rs.10,000 at the fund's inception, it would now be valued at Rs 10,355. Note: Data as of May 31, 2023. Source: DSP MF The fund has given a return of 15.04% in one year and has generated a CAGR (Compounded Annual Growth Rate) of 2.74% since inception. Since the fund was launched just a year ago, investors should remain invested long-term to witness wealth creation. Invest in the Fund Fund Manager Jay Kothari  Jay Kothari, Vice President & Product Strategist -Jay has been with DSP Mutual Funds since May 2005 and has been with the Investment function since January 2011. Jay joined the firm as a Sales team (Banking) member in May 2005. Before joining DSPAM, Jay worked for Standard Chartered Bank for a year in the Priority Banking division. Jay completed his Bachelor of Management Studies (Finance & International Finance) from Mumbai University and an MBA in Finance from Mumbai University.  Kedar Karnik  Kedar joined DSP Mutual Funds from Axis Asset Management and has over 17 years of investment experience. He has done his Masters in Management Studies from Jamnalal Bajaj Institute of Management Studies. He has over a decade of investment experience. He has previously worked with HSBC Asset Management and CRISIL Ltd.  Who Should Invest in the DSP Global Innovation Fund of Fund?  Consider this fund if you:  Are you an experienced Indian investor with a well-set core portfolio, looking to diversify no more than 10-15% of your portfolio internationally?  Love the theme of innovation & its investment potential and recognize that the future is powered by those focused on re-imagining the world.  Value international diversification & want to hedge your bets.  Have the patience and mental resilience to remain invested for a decade or more.  Do not always chase the highest possible returns.  Why Invest in this Fund?  To participate in cutting-edge next-gen themes like Artificial Intelligence, Machine Learning, Robotics, Cloud Infrastructure, Social Media, OTT, Digital Transformation & more.  To own companies that have demonstrated higher growth & also have higher earning growth expectations.   To get access to international companies that may be difficult for Indian investors to invest in directly- especially since major innovations have happened outside India.  Time Horizon:  One should look at investing for at least ten years or even more.  Investment through Systematic Investment Plan (SIP) may help in tackling the volatility of the broader equity market.  Conclusion The DSP Global Innovation Fund of Fund gives investors exposure to international companies engaged in the technology sector. Thus, it is the best option for investors seeking long-term capital growth and investment in units of overseas funds that invest primarily in equity and equity-related securities of technology companies with high risks. Investors need to stay invested long-term to reduce volatility and witness the benefits of compounding. DisclaimerThis is not recommendation advice. All information in this blog is for educational purposes only. 
Grow Your Wealth: Discover HDFC Capital Builder Value Fund

Grow Your Wealth: Discover HDFC Capital Builder Value Fund

Incorporated on December 10, 1999, HDFC Asset Management Company Ltd. is among India's most popular fund houses. HDFC Mutual Fund launched its first scheme in July 2000, and ever since it has been ambitious about offering a stable performance of funds across all the variants of schemes it offers. The HDFC Mutual Fund is managed by HDFC Asset Management Company (HDFC AMC) Limited. HDFC Trustee Company Limited is the trustee of the mutual fund. The HDFC Mutual Fund is sponsored by the Housing Development Finance Corporation Limited (HDFC Ltd.) and Standard Life Investments Limited. HDFC Capital Builder Value Fund  Investment objective The scheme aims to achieve capital appreciation/income in the long term by primarily investing in undervalued stocks.   Investment process   Undervalued stocks are generally those that are trading at prices below their intrinsic value as measured by potential earnings or asset values and/or future cash flow growth.  The scheme endeavors to maintain a minimum of 60 % of the portfolio in companies that are trading at multiples lower than the Median P/E (Price/Earnings) or Median P/B (Price/Book Value) of the NIFTY 500 Index or below the five-year historical average of own trailing P/E or P/B.  Portfolio composition  The portfolio holds significant exposure in equity & equity-related instruments at 99.19%, and significant sectoral exposure is to Banks, which account for roughly 29.37% of the portfolio. The top 5 sectors hold more than half of the portfolio. Note: Data as of May 31, 2023. Source: HDFC MF Top 5 Holdings for HDFC Capital Builder Value Fund Name Weightage % ICICI Bank Ltd. 9.70 HDFC Bank Ltd. 9.07 Infosys Ltd. 6.82 Axis Bank Ltd. 5.11 Bharti Airtel Ltd.  4.66 Note: Data as of May 31, 2023. Source: HDFC MF   Performance   This Fund Nifty 500 TRI Nifty 50 TRI   CAGR CAGR CAGR 1 Year 14.46% 12.74% 12.94% 3 Years 28.03% 27.61% 26.02% 5 Years 9.58% 12.35% 12.89% 10 Years 14.92% 14.19% 13.33% Since Inception 13.97% NA 10.90% Note: Data for Regular Plan as on May 31, 2023. Source: HDFC MF  Invest in Funds Fund Manager  Mr. Gopal Agarwal (Since December 10, 2021) has over 19 years of experience in Fund Management and 2.5 years in Equity Research. Before HDFC AMC, he worked at DSP Investment Managers Private Limited, TATA Asset Management Company Limited, and Mirae Asset Global Investments (India) Pvt. Ltd.   Who Should Invest in HDFC Capital Builder Fund?  This scheme is suitable for investors who  Intend to invest in undervalued companies.  Would like to invest in a diversified portfolio with a long-term horizon.  Want twin benefit of earnings growth as well as re-rating of valuation multiples.  Are looking for a sound and disciplined approach to investing in volatile times.  Why Invest in this Fund?  The fund follows a diversified multi-cap strategy with a value bias.  There is an emphasis on investing in undervalued stocks with a reasonable margin of safety.  Investors with long-term horizons can benefit not only from earnings growth but also from the re-rating of multiples.  The fund is an actively managed diversified equity portfolio that invests across sectors without a market cap bias.  Time Horizon  One should look at investing for at least 3-4 years or even more.  The fund is open-ended. One can invest any time in this fund.  Conclusion  The HDFC Capital Builder Fund has outperformed both benchmarks consistently except for a five-year period. With an Asset Under Management of ₹5,534.27 Cr as on May 31, 2023, it is one of the largest funds in the value category. Therefore, the fund is suitable for investors looking for long-term wealth creation with an understanding of high risk. However, investors must remain invested for a long-time horizon to witness wealth creation.   DisclaimerThis is not recommendation advice. All information in this blog is for educational purposes only. 
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