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Sam Eswaran made post

What if I invest the lump sum amount in the HDFC Balanced Advantage Fund dividend option?

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Sam Eswaran answered.
9 months ago

HDFC Balanced Advantage Fund is a hybrid (dynamic asset) category fund wherein the fund managers have the freedom to switch between equity and fixed income instruments depending on the market conditions. The key aim of this strategy is to generate better risk-adjusted returns by actively changing equity allocation using predefined formulae such as reducing equity exposure when equity valuations become expensive and increasing equity exposure when equity valuations become cheap or reasonable. Typically, the equity component in this category funds ranges between 30% and 80% of the total corpus. Investors with moderately high-risk appetite and an investment horizon of at least 3 years can invest in these kinds of funds.

As far as HDFC Balanced Advantage Fund is concerned, it part of our recommended schemes within the category. Therefore, one can invest in this scheme depending on one’s risk profile and investment horizon. Since equities are volatile assets, it is recommended to invest in equity or equity-based asset classes through the SIP (Systematic Investment Plan) route. However, investors who require dividend pay-out options can choose to invest as a lump sum amount.
Scheme NameCorpus (₹ Cr.)1Y3Y5Y
HDFC Balanced Advantage Fund(G)44,1109.912.88.6