Thursday, November 3, 2016

HDFC Prudence Fund

Invest Balanced funds Online

Balanced funds are a good tool to tide over high volatility in the financial markets. They provide the best of both worlds: equities and debt.




HDFC Prudence Fund
is today one of the largest* balanced funds in India with assets of ~ Rs 12,670 crores under management as on 30th September, 2016. It has an established track record of over 22 years over which Rs.10,000/- invested has grown to ~Rs.5.37 lacs (~54 times) at CAGR of ~19.20% as on Sep 30, 2016.


In this long journey, the Fund has experienced several market cycles and events like Lehman crises, IT meltdown, Asian crises etc. The significant wealth creation across these market cycles and adverse developments is a result of the consistent and disciplined approach to investments that the Fund has followed.


With a positive outlook for debt and equities, we believe the fund is well placed to benefit from the improving economic scenario.


HDFC Prudence Fund has an uninterrupted dividend track record over last 18 years. The dividend track record is as below

Dividend History till FY 2015



Since January 2016, the annual dividend distribution strategy has been modified to a monthly frequency. The table below shows the monthly dividends since this change.

 


As you may be aware that dividends declared in HDFC Prudence Fund are tax free in the hands of the investors regardless of the quantum of dividend. Hence, this regular income has the added benefit of being tax efficient.



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