HDFC Taxsaver mutual fund review: Should you stay invested? It remains to be seen if the fund can sustain improvement in return profile over the long run
ET Wealth collaborates with Value Research to analyse top mutual funds. We examine the key fundamentals of the fund, its portfolio and performance to help you make an informed investment decision.BASIC FACTS
DATE OF LAUNCH
31 MARCH 1996
CATEGORY
EQUITY
TYPE
ELSS
AUM*
Rs.9,993 Crore
BENCHMARK
NIFTY 500 TOTAL
RETURN INDEX
WHAT IT COSTS
NAV**
GROWTH OPTION
Rs.815.32
IDCW
Rs.58.84
MINIMUM INVESTMENT
Rs.500
MINIMUM SIP AMOUNT
Rs.500
EXPENSE RATIO*** (%)
1.80
EXIT LOAD
0
*AS ON 31 DECEMBER 2022
**AS ON 10 JANUARY 2023
***AS ON 30 NOVEMBER 2022
FUND MANAGER
ROSHI JAIN
TENURE: 11 MONTHS
Recent portfolio changes
New Entrants: Oil & Natural Gas Corporation.
Complete Exits: Sadbhav Infrastructure Project, Zomato.
Increasing allocation: Bank Of Baroda, Delhivery, Prestige Estates Projects (Oct), Prestige Estates Projects, TeamLease Services (Nov), Infosys (Dec).
Should you buy?
The tax-saving fund runs a much sharper large cap tilt compared to category peers. The portfolio construct has changed under the new fund manager, with the number of holdings being cut down sharply. It continues to retain a top-heavy skew with large positions in select bets and modest positions in the bulk of its portfolio.
The fund also retains large active positions in select high conviction bets relative to the index. Its past heavy bias towards energy stocks has been shed while tilting more towards financials. The fund has seen a sharp shift towards outperformance in past two years, aided by the market tilt towards value stocks. It remains to be seen if the fund can sustain improvement in return profile over the long run.
(Source: Value Research)
Don’t miss out on ET Prime stories! Get your daily dose of business updates on WhatsApp. click here!
This story originally appeared on: India Times - Author:Faqs of Insurances
