Scheme Positioning and Categorization

Transcription

1 Scheme Positioning and Categorization Date: 26 th April 2018

2 Open-Ended Scheme Categories * Equity Schemes {9 Schemes} Hybrid Schemes {6 Schemes} Debt Schemes {13 Schemes} Solution Oriented Schemes {2 Schemes} Other Schemes (including Index s, ETFs and FOFs) { 7 Schemes} ETF - Exchange Traded, FOF - of s *To bring standardization in scheme categories and uniformity in the characteristics of schemes under each category, across Mutual s, the Securities and Exchange Board of India (SEBI) had issued a circular on 6 th Oct As per the circular, read with circular dated 4 th Dec 2017, we present the new product spectrum of HDFC Mutual. 2

3 Equity Schemes Our Offerings Equity (9 schemes) Diversified Thematic HDFC Infrastructure ELSS HDFC TaxSaver Market Cap Biased Large Cap HDFC Top 100 Mid Cap HDFC Mid Cap Opportunities Non Market Cap Biased Multi Cap HDFC Equity Value HDFC Capital Builder Value Small Cap HDFC Small Cap Focused HDFC Focused 30 Large & Mid Cap HDFC Growth Opportunities 3

4 Positioning - Equity Schemes Diversified Equity Schemes Old Name New Name Category Positioning Effective Date Market Cap Biased HDFC Top 200 HDFC Top 100 Large Cap Focuses on Large Cap stocks (minimum 80% of total assets) HDFC Mid Cap Opportunities HDFC Mid-Cap Opportunities Mid Cap Focuses on Mid Cap stocks (minimum 65% of total assets) HDFC Small Cap HDFC Small Cap Small Cap Focuses on Small Cap stocks (minimum 65% of total assets) HDFC Large Cap HDFC Growth Opportunities Large & Mid Cap Invests a minimum of 35% of total assets each into large and mid cap stocks Non-Market Cap Biased HDFC Equity HDFC Equity Multi Cap Seeks opportunities across large, mid and small market capitalization stocks HDFC Capital Builder HDFC Capital Builder Value Value Follows a Value investing strategy HDFC Core & Satellite HDFC Focused 30 Focused Invests into a maximum of 30 stocks, while diversifying among stocks across market capitalizations Thematic Schemes Old Name New Name Category Positioning Effective Date HDFC Infrastructure HDFC Infrastructure Sectoral / Thematic Follows an infrastructure theme (minimum 80% of total assets) Equity Linked Savings Scheme Old Name New Name Category Positioning Effective Date HDFC TaxSaver HDFC TaxSaver ELSS An Equity Linked Savings Scheme (ELSS) with a statutory lock in of 3 years and tax benefit. Minimum investment in equity & equity related instruments - 80% of total assets (in accordance with Equity Linked Saving Scheme, 2005 notified by Ministry of Finance) 4

5 Hybrid Schemes Our Offerings Expected Risk Arbitrage HDFC Arbitrage Conservative Hybrid HDFC Hybrid Debt Equity Savings HDFC Equity Savings Multi-Asset Allocation HDFC Multi Asset Aggressive Hybrid HDFC Hybrid Equity Balanced Advantage HDFC Balanced Advantage Expected Return 5

6 Positioning - Hybrid Schemes Old Name New Name Category Positioning Effective Date HDFC Arbitrage HDFC Arbitrage Arbitrage Invests a minimum of 65% into fully hedged equity positions HDFC MF Monthly Income Plan - LTP HDFC Hybrid Debt Conservative Hybrid Follows a debt oriented hybrid strategy with equity exposure ranging between 10% to 25% of total assets 26 th May 2018 HDFC Equity Savings HDFC Equity Savings Equity Savings Invests a minimum of 65% of total assets into gross equity positions, while maintaining a net equity exposure ranging between 15% to 40% of total assets. Minimum debt exposure 10% of total assets HDFC Multiple Yield - Plan 2005 HDFC Balanced HDFC Multi-Asset HDFC Hybrid Equity (erstwhile HDFC Balanced and HDFC Premier Multi-Cap ) Multi Asset Allocation Aggressive Hybrid Follows a hybrid strategy with a flexibility to invest into equity, debt and gold - each with exposures ranging between 10% to 80% of total assets Follows an equity oriented hybrid strategy with equity exposure ranging between 65% to 80% of total assets 2 nd June 2018 HDFC Prudence HDFC Balanced Advantage (erstwhile HDFC Prudence and HDFC Growth ) Balanced Advantage Follows a hybrid strategy with 100% flexibility to move between equity and debt 2 nd June

7 Debt Schemes Our Offerings Debt Schemes Duration Based Theme Based HDFC Overnight HDFC Gilt HDFC Liquid HDFC Money Market HDFC Low Duration HDFC Short Term Debt HDFC Medium Term Debt HDFC Banking and PSU Debt HDFC Corporate Bond HDFC Floating Rate Debt HDFC Credit Risk Debt HDFC Dynamic Debt HDFC Income 7

8 Positioning - Debt Schemes Duration Based Schemes Old Name New Name Category Portfolio Duration Band Positioning Effective Date HDFC Cash Management - Call Plan HDFC Overnight Overnight 1 business day Invests in overnight securities 2 nd June 2018 HDFC Liquid HDFC Liquid Liquid Up to 91 days Invests in debt and money market securities, with maturity up to 91 days HDFC Cash Management - Savings Plan HDFC Money Market Money Market Up to 1 year Invests in money market instruments, with maturity up to 1 year 26 th May 2018 HDFC Cash Management - Treasury Advantage Plan HDFC Low Duration Low Duration 6 to 12 months Invests in instruments such that Macaulay duration of the portfolio is between 6 months and 12 months HDFC Short Term Opportunities HDFC High Interest - STP HDFC Short Term Debt HDFC Medium Term Debt Short Duration Medium Duration 1 to 3 years Invests in instruments such that Macaulay duration of the portfolio is between 1 year and 3 years 3 to 4 years Invests in instruments such that Macaulay duration of the portfolio is between 3 years and 4 years* HDFC Income HDFC Income Medium to Long Duration 4 to 7 years Invests in instruments such that Macaulay duration of the Portfolio is between 4 years and 7 years* * Portfolio Macaulay duration under anticipated adverse situation maybe reduced to 1 year Theme Based Schemes Old Name New Name Category Positioning Effective Date HDFC Gilt - LTP HDFC Gilt Gilt Invests in government securities across maturities HDFC Banking and PSU Debt HDFC Banking and PSU Debt Banking and PSU Invests a minimum of 80% in debt instruments of Banks, Public Sector Undertakings and Public Financial Institutions and Municipal Bonds HDFC Medium Term Opportunities HDFC Corporate Bond Corporate Bond Invests a minimum of 80% in corporate bonds with rating of AA+ and above 9 th May 2018 HDFC Floating Rate Income - STP HDFC Floating Rate Debt Floater Invests predominantly in floating rate instruments HDFC Corporate Debt Opportunities HDFC Credit Risk Debt Credit Risk Invests a minimum of 65% into AA and below rated corporate bonds (excluding AA+ corporate bonds) 9 th May 2018 HDFC High Interest - Dynamic Plan HDFC Dynamic Debt Dynamic Bond Invests across durations. 8

9 Positioning - Solution Oriented Schemes Old Name New Name Category Positioning Effective Date HDFC Retirement Savings HDFC Retirement Savings Retirement A notified tax saving cum pension scheme with an objective to provide long term capital appreciation/income by investing in a mix of equity and debt instruments to help investors meet their retirement goals 3 Plans - Equity, Hybrid Equity and Hybrid Debt 2 nd June 2018 HDFC Children s Gift HDFC Children s Gift Children s Scheme for investment for children with an objective of capital appreciation/income from a portfolio mix of equity and debt instruments 9

10 Positioning - Other Schemes Index s / ETFs Old Name New Name Category Positioning Effective Date HDFC Index - Nifty Plan HDFC Index - NIFTY 50 Plan Index Replicates/tracks NIFTY 50 Index HDFC Index - SENSEX Plan HDFC Index - SENSEX Plan Index Replicates/tracks S&P BSE SENSEX Index 26 th May 2018 HDFC NIFTY ETF HDFC NIFTY 50 ETF ETF Replicates/tracks NIFTY 50 Index HDFC SENSEX ETF HDFC SENSEX ETF ETF Replicates/tracks S&P BSE SENSEX Index Gold ETFs / FOFs Old Name New Name Category Positioning Effective Date HDFC Gold Exchange Traded HDFC Gold Exchange Traded ETF Replicates/tracks the performance of Gold HDFC Gold HDFC Gold FOF Invests in HDFC Gold Exchange Traded HDFC Dynamic PE Ratio of s HDFC Dynamic PE Ratio of s FOF Invests in specified equity and debt schemes of HDFC Mutual based on PE Ratios 2 nd June 2018 ETF - Exchange Traded, FOF - of s 10

11 Merged Schemes Old Scheme Names HDFC Balanced and HDFC Premier Multi-Cap HDFC Prudence and HDFC Growth HDFC MF Monthly Income Plan - LTP and STP HDFC Index SENSEX Plan and SENSEX Plus Plan HDFC Medium Term Opportunities, HDFC Floating Rate Income - LTP and HDFC Gilt - STP HDFC Corporate Debt Opportunities and HDFC Regular Savings New Scheme Name HDFC Hybrid Equity HDFC Balanced Advantage HDFC Hybrid Debt HDFC Index SENSEX Plan HDFC Corporate Bond HDFC Credit Risk Debt The above is a brief description of the merged schemes. For complete details on scheme mergers / change in characteristics of the schemes, investors are requested to refer to the notice-cum-addenda dated March 27, 2018, April 19, 2018 and April 25, 2018 available on the website of the Discontinued Scheme Scheme Name HDFC Long Term Advantage Remarks Discontinuation of subscriptions in this scheme, with effect from 11

12 PRODUCT LABELING: To provide investors an easy understanding of the kind of product/scheme they are investing in and its suitability to them, the product labeling for the following schemes is as under: NAME OF SCHEME THIS PRODUCT IS SUITABLE FOR INVESTORS WHO ARE SEEKING* RISKOMETER HDFC Overnight Regular income over short term that may be in line with the overnight call rates To generate returns by investing in debt and money market instruments with overnight maturity HDFC Liquid Regular income over short term To generate income through a portfolio comprising money market and debt instruments Investors understand that their principal will be at low risk HDFC Low Duration Income over short term through investment in debt securities and money market instruments HDFC Money Market Income over short term To generate income/ capital appreciation by investing in money market instruments HDFC Short Term Debt Income over short term through investments in Debt and Money Market Instruments Investors understand that their principal will be at moderately low risk HDFC Floating Rate Debt Income over short term through investment in a portfolio comprising substantially of floating rate debt, fixed rate debt instruments swapped for floating rate returns and money market instruments HDFC Corporate Bond Income over short to medium term through investments predominantly in AA+ and above rated corporate bond *Investors should consult their financial advisers if in doubt about whether the product is suitable for them. 12

13 NAME OF SCHEME THIS PRODUCT IS SUITABLE FOR INVESTORS WHO ARE SEEKING* RISKOMETER HDFC Banking and PSU Debt Income over short to medium term through investments in debt and money market instruments consisting predominantly of securities issued by entities such as Scheduled Commercial Banks (SCBs), Public Sector Undertakings (PSUs), Public Financial Institutions (PFIs), Municipal Corporations and such other bodies HDFC Gilt Credit risk free returns over medium to long term To generate credit risk-free returns through investments in sovereign securities issued by the Central Government and/or State Government HDFC Credit Risk Debt HDFC Medium Term Debt Income over short to medium term by investing predominantly in AA and below rated corporate debt (excluding AA+ rated corporate bonds) Income over medium term through investments in Debt and Money Market Instruments Investors understand that their principal will be at moderate risk HDFC Income Income over medium to long term through investments in debt and money market instruments HDFC Dynamic Debt Income over medium to long term by investing in a range of debt and money market instruments HDFC Arbitrage Income over short term Income through arbitrage opportunities between cash and derivative market and arbitrage opportunities within the derivative segment Investors understand that their principal will be at moderately low risk *Investors should consult their financial advisers if in doubt about whether the product is suitable for them. 13

14 NAME OF SCHEME THIS PRODUCT IS SUITABLE FOR INVESTORS WHO ARE SEEKING* RISKOMETER HDFC Small Cap appreciation /income Investments predominantly in Small-Cap companies HDFC Capital Builder Value appreciation/income in the long term Investment primarily in undervalued stocks HDFC TaxSaver appreciation / income Investment predominantly in equity & equity related instruments HDFC Index -NIFTY 50 Plan Returns that are commensurate with the performance of the NIFTY 50, subject to tracking errors over long term Investment in equity securities covered by the NIFTY 50 HDFC Index -SENSEX Plan Returns that are commensurate with the performance of the S&P BSE SENSEX, subject to tracking errors over long term Investment in equity securities covered by the S&P BSE SENSEX HDFC NIFTY 50 ETF Returns that are commensurate with the performance of the NIFTY 50, subject to tracking errors over long term Investment in equity securities covered by the NIFTY 50 HDFC SENSEX ETF Returns that are commensurate with the performance of the S&P BSE SENSEX, subject to tracking errors over long term Investment in equity securities covered by the S&P BSE SENSEX HDFC Growth Opportunities appreciation/income Investments in predominantly Large Cap and Mid Cap companies HDFC Focused 30 appreciation/income Investments in equity & equity related instruments of up to 30 companies *Investors should consult their financial advisers if in doubt about whether the product is suitable for them. 14

15 NAME OF SCHEME THIS PRODUCT IS SUITABLE FOR INVESTORS WHO ARE SEEKING* RISKOMETER HDFC Equity appreciation / income Investment predominantly in equity & equity related instruments HDFC Top 100 appreciation/income Investment predominantly in Large-Cap companies HDFC Mid-Cap Opportunities appreciation/income Investments predominantly in Mid-Cap companies HDFC Multi-Asset appreciation/income Investments in a diversified portfolio of equity & equity related instruments, debt & money market instruments and Gold HDFC Equity Savings Capital appreciation while generating income over medium to long term Provide capital appreciation and income distribution to the investors by using equity and equity related instruments, arbitrage opportunities, and investments in debt and money market instruments HDFC Hybrid Debt To generate long-term income /capital appreciation Investments primarily in debt securities, money market instruments and moderate exposure to equities HDFC Hybrid Equity appreciation / income Investments predominantly in equity & equity related instruments. The scheme will also invest in debt and money market instruments HDFC Balanced Advantage appreciation / income Investments in a mix of equity and debt instruments *Investors should consult their financial advisers if in doubt about whether the product is suitable for them. 15

16 NAME OF SCHEME THIS PRODUCT IS SUITABLE FOR INVESTORS WHO ARE SEEKING* RISKOMETER HDFC Retirement Savings - Equity Plan HDFC Retirement Savings - Hybrid-Equity Plan HDFC Retirement Savings - Hybrid-Debt Plan A corpus to provide for pension in the form of income to the extent of the redemption value of their holding after the age of 60 years Investment predominantly in equity and equity related instruments A corpus to provide for pension in the form of income to the extent of the redemption value of their holding after the age of 60 years Investment predominantly in equity and equity related instruments & balance in debt and money market instruments A corpus to provide for pension in the form of income to the extent of the redemption value of their holding after the age of 60 years Investment predominantly in debt and money market instruments & balance in equity and equity related instruments HDFC Children s Gift Capital appreciation over long term Investment in equity and equity related instruments as well as debt and money market instruments HDFC Gold Exchange Traded HDFC Gold Returns that are commensurate with the performance of gold, subject to tracking errors, over long term Investment predominantly in Gold bullion of fineness Capital appreciation over long term Investment in Units of HDFC Gold Exchange Traded (HGETF). HGETF invests in gold bullion of fineness HDFC Dynamic PE Ratio of s Capital appreciation over long term Investment in specified equity and debt schemes of HDFC Mutual based on PE Ratios HDFC Infrastructure appreciation/income Investment predominantly in equity and equity related securities of companies engaged in or expected to benefit from the growth and development of infrastructure Investors understand that their principal will be at high risk *Investors should consult their financial advisers if in doubt about whether the product is suitable for them. The information given here is for general purposes only. The details are given in summary form and do not purport to be complete. For complete details on changes to the Schemes, investors are requested to refer to the notices dated March 27, 2018, April 5, 2018, April 12, 2018, April 19, 2018 and April 25, 2018 (2 notices) available on the website of the The information/ data herein alone are not sufficient and should not be used for the development or implementation of an investment strategy. Neither HDFC AMC and HDFC Mutual nor any person connected with them, accepts any liability arising from the use of this document. The recipient(s) before acting on any information herein should make his/her/their own investigation and seek appropriate professional advice and shall alone be fully responsible / liable for any decision taken on the basis of information contained herein. MUTUAL FUND INVESTMENTS ARE SUBJECT TO MARKET RISKS, READ ALL SCHEME RELATED DOCUMENTS CAREFULLY. 16