HDFC Mutual Fund DEBT PRODUCT SUITE OCTOBER 2018 October 2017 - PowerPoint PPT Presentation

HDFC Mutual Fund DEBT PRODUCT SUITE OCTOBER 2018 October 2017

ABOUT US ABOUT US HDFC Asset Management Company Ltd. (AMC) was incorporated in 1999. Housing Development  Finance Corporation Limited (HDFC) and Standard Life Investments Limited (SLI), the investment arm of The Standard Life Group, UK are the promoters of the company. Experienced fund management and research team with experience of managing assets across market  cycles Strong emphasis on managing and controlling portfolio risk; avoids chasing the latest “fads and trends”  Product offerings across asset and risk categories enabling investors to invest in line with their  investment objectives and risk taking capacity One of India`s Leading fund houses with Quarterly Average AUM of over Rs. 3,06,360* Crore  Source AMFI 2 * As of 30th Sept 2018.

INVESTMENT PHILOSOPHY (DEBT)  Determination of interest rate trends, emphasis on high credit quality, controlling volatility on account of interest rate swings and maintaining necessary portfolio liquidity are the key determinants of our fixed income strategy. Portfolios are built to achieve optimal risk-adjusted total returns  Extension or retraction of portfolio maturity / duration is effected only after a careful evaluation of yield curves, spreads between quality issuers and market sectors  Our emphasis is on instruments having high credit quality where the financial strength of the issuer (or guarantor) is well-documented by major rating services. In addition, in-house credit analysis is relied upon to arrive at relative positions within major rating categories  This approach translates into the following:  An investment style that is developed through an appraisal of the respective schemes’ investment objectives, expectations and positioning, risk tolerance and unique needs  Emphasis on portfolio quality in the implementation of our strategy, while using fundamental and technical analysis to seek opportunities for profitable investments. The focus is on detailed and better understanding of the business that we invest in  Primary goal is the development and implementation of respective scheme portfolios such that optimal risk-adjusted returns are achieved while maintaining good quality portfolio and liquidity 3

Retail Oriented Debt Schemes FUND CLASSES ON OFFER HDFC Ultra Short Term Fund HDFC Low Duration Fund HDFC Short Term Debt Fund HDFC Banking & PSU Debt Fund HDFC Corporate Bond Fund HDFC Credit Risk Debt Fund 4

HDFC Ultra Short T erm Fund Key Facts  Focuses on investing in debt securities and money market instruments such that the An open ended ultra-short term Macaulay Duration of the portfolio is between 3 debt scheme investing in and 6 months. instruments such that the Type of Scheme  A well-diversified portfolio of debt (including Macaulay Duration of the portfolio securitised debt) and money market instruments is between 3 months and 6 months.  Aims to maintain high degree of liquidity with low levels of interest rate risk. Category of Ultra Short Duration Fund Scheme  The scheme is ideal for those with an investment horizon of 2-6 months. To generate income / capital appreciation through investment in Investment debt securities and money market Objective instruments. There is no assurance that the investment objective of the Scheme will be realized. Fund Manager$ Anil Bamboli Exit Load NIL Benchmark CRISIL Ultra Short Term Debt Index $ Dedicated Fund Manager for Overseas Investments : Rakesh Vyas For further details on investment strategy, asset allocation and scheme facts refer Scheme Information Document/ Key Information Memorandum. 5 In view of the individual circumstances and risk profile, each investor is advised to consult his / her professional advisor before making a decision to invest.

HDFC Low Duration Fund (Erstwhile HDFC Cash Management Fund - Treasury Advantage Plan) Key Facts  Focuses on investing in debt securities and money market instruments such that the An open ended low duration debt Macaulay Duration of the portfolio is between 6 scheme investing in instruments and 12 months. Type of Scheme such that the Macaulay Duration of  A well-diversified portfolio of debt (including the portfolio is between 6 months securitised debt) and money market instruments and 12 months  Aims to generate returns commensurate with Category of Low Duration Fund low levels of interest rate risk. Scheme  The scheme is ideal for those with an investment To generate income / capital horizon of 3-6 months. appreciation through investment in Investment debt securities and money market Objective instruments. There is no assurance that the investment objective of the Scheme will be realized. Fund Manager$ Anupam Joshi Exit Load NIL Benchmark CRISIL Liquid Fund Index $ Dedicated Fund Manager for Overseas Investments : Rakesh Vyas For further details on investment strategy, asset allocation and scheme facts refer Scheme Information Document/ Key Information Memorandum. 6 In view of the individual circumstances and risk profile, each investor is advised to consult his / her professional advisor before making a decision to invest.

HDFC Short T erm Debt Fund (Erstwhile HDFC Short Term Opportunities Fund) Key Facts  Focuses on generating regular income by investing in debt & money market instruments An open ended short term debt while scheme investing in instruments  The scheme aims to maintain a Macaulay Type of Scheme such that the Macaulay Duration of Duration 1 to 3 years. the portfolio is between 1 year and 3 years.  The focus is on returns through interest accruals by building a relatively higher quality credit Category of Short Duration Fund portfolio with a shorter maturity profile. Scheme  The scheme is ideal for an investment horizon of To generate income / capital 6-12 months. appreciation through investments Investment in Debt and Money Market Objective Instruments. There is no assurance that the investment objective of the Scheme will be realized. Fund Manager$ Anil Bamboli Exit Load NIL Benchmark CRISIL Short Term Bond Fund Index $ Dedicated Fund Manager for Overseas Investments : Rakesh Vyas For further details on investment strategy, asset allocation and scheme facts refer Scheme Information Document/ Key Information Memorandum. In view of the individual circumstances and risk profile, each investor is advised to consult his / her professional advisor before making a decision to invest. 7

HDFC Banking and PSU Debt Fund Key Facts  HDFC Banking & PSU Debt Fund focuses on generating regular income by investing An open ended debt scheme predominantly (a minimum of 80%) in debt predominantly investing in debt Type of Scheme instruments of Banks, Public Sector securities issued by Scheduled Commercial Undertakings, Public Financial Banks, Public Sector Undertakings (PSUs), Public Institutions and Municipal Bonds Financial Institutions (PFIs), Municipal Corporations Category of Scheme Banking and PSU Fund  The defined universe of securities ensures To generate income / capital relatively high credit quality of the portfolio. appreciation through investments in debt and money market instruments  Benefits from interest accruals. consisting predominantly of securities issued by entities such as Scheduled  The scheme is ideal for those with an Commercial Banks (SCBs), Public Sector investment horizon of 6-12 months. Investment Objective undertakings (PSUs), Public Financial Institutions (PFIs), Municipal Corporations and such other bodies. There is no assurance that the investment objective of the Scheme will be realized. Fund Manager$ Anil Bamboli Nil Exit Load Benchmark CRISIL Short Term Bond Fund Index $ Dedicated Fund Manager for Overseas Investments : Rakesh Vyas For further details on investment strategy, asset allocation and scheme facts refer Scheme Information Document/ Key Information Memorandum. In view of the individual circumstances and risk profile, each investor is advised to consult his / her professional advisor before making a decision to invest. 8