Hdfc Asset Management Co. Ltd. · NSE:HDFCAMC
Hdfc Asset Management — Investor Presentation (March 2025)
43 slides from Hdfc Asset Management's investor presentation, March 2025
Slide 1: Everyday life or A life you love? HDFC Retirement Savings Fund
Everyday life or A life you love? Aim to retire on your own terms Start early, Invest consistently HDFC RETIREMENT SAVINGS FUND $ A Notified Tax Savings Cum Pension Scheme [An open ended retirement solution oriented scheme having a lock-in of 5 years or till retirement age (whichever is earlier)] $ I
Slide 2: Table of Contents
Table of Contents 1. Need for Retirement Planning................................................................................................................................ 03 - Increasing Life Expectancy - Inflation – Hidden Enemy of Your Wealth! 2. Power of Compounding........................
Slide 3: Did You Know?
Did You Know? You are likely to live longer, healthier as compared to your previous generation Life Expectancy at Birth (in years) 80 72 70 60 Life expectancy has increased 50 significantly due to better living conditions 40 and medicines. Consequently, retirement 30 life has gotten longer, thereby
Slide 4: Times Are Changing
Times Are Changing A Generation Ago Now Medical Technology Limited Improved by Leaps and Bounds But, Medical Costs … Were Expensive Have Become More Expensive Plans Post Retirement Pilgrimage, Settle Down Quietly Travel the World, Pursue Hobbies Higher Job Security, Join an Organization More Frequen
Slide 5: Inflation – Hidden Enemy of Your Wealth!
Inflation – Hidden Enemy of Your Wealth! Average Inflation Over the Decades* Inflation sinks your purchasing power Today’s money will not buy you the same things tomorrow Inflation Over The Decades Over the last 4 decades CPI Inflation in India has averaged at 7.7% per year.* 20.0% 18.0% A few speci
Slide 6: Protect Against Inflation
Protect Against Inflation Retirement planning should be done keeping the ‘Real Rate of Return’ in mind Key Takeaways Real return = Return from investment if my Return from Investment* is 12.84% and my inflation# is 6.65% then my real rate of return is 6.19%. Because, what I could Plan your retiremen
Slide 7: If I had retired in 2000 - How Much Corpus Do I Need?
If I had retired in 2000 - How Much Corpus Do I Need? While the power of compounding can work wonders for wealth creation, inflation can erode your corpus over the years. How Much Corpus Do I Need? Illustration if I had retired in 2000 3 Monthly expenses assumed – ` 40,000 CORPUS IN RS. CRORES 3 Ret
Slide 8: Need for Retirement Planning
Need for Retirement Planning Monthly Expenses of ` 20,000 in Longer life-spans mean longer retirement 2000 have grown to ` 96,300 in 2024 Joint families giving way to nuclear families at 6.49% *Inflation rate. Lack of social security benefits in India Are you investing enough Maintain the standard o
Slide 9: Power of Compounding
Power of Compounding 01 02 03 The below highlights this “Power The longer the investment Also, higher the rate of of Compounding”. horizon, the greater the returns, the more you It shows how a Rs. 1 lakh compounding and hence can accumulate. investment would have grown at a you have time working to
Slide 10: Equities Help Create Wealth Over Long-Term
Equities Help Create Wealth Over Long-Term Key Takeaways CAGR Return (FY1980 to FY 2025YTD)* Equities have compounded better than other financial Equity (BSE SENSEX) 15.61% asset classes over the last 25 years. Gold 11.11% Do Not Shy Away From Bank FD 7.98% Equities! Avg Infla on# 7.50% 0.00% 2.00% 4
Slide 11: Starting Early Makes an impact!
Starting Early Makes an impact! The below table showcases how you need to invest larger sums as you delay your retirement saving and how much it costs you in the long run. The % change is reflected over the previous start age. Start @ 35 Yrs Start @ 40 Yrs Start @ 45 Yrs Investment Amount Per Month
Slide 12: Targeting Retirement Savings of Rs.1 Crore
Targeting Retirement Savings of Rs.1 Crore What to do? How to Do? How Much do I would have needed to Invest every month? The amount you need to invest is a result Monthly Investment Amount to Reach a target corpus of ` 1 Crore at age of 60 of the rate of return and time. Age "Monthly SIP amount"* 40
Slide 13: The Saving Habit
The Saving Habit A Generation Ago Now Working Years (Age) 20 to 60 25 to 60 Decreasing Retirement Years(Age) 60 to 70/75 60 to 75/80 Increasing Working years are decreasing while retirement The Thumb Rule: years are increasing In your 20s – Save at least 20% of your income Plan for at least 30 years
Slide 14: Invest With a Goal Towards Retirement
Invest With a Goal Towards Retirement Goal Based Investing Investing without a Goal Targets a specific amount of corpus for your retirement Savings are kept in a “common savings pool” through “product buying” Money is earmarked only for retirement. For instance, investors do not touch PF corpus for
Slide 15: Avenues for Investment For Retirement
Avenues for Investment For Retirement Refer disclaimer on page 42 15/43
Slide 16: Comparison: NPS, PPF and HDFC Retirement Savings Fund
National Pension HDFC Retirement Criteria Public Provident Fund Scheme (Tier I) Savings Fund Account Holder Individuals Individuals Individuals Eligibility 18-70 years Any Resident Indian Above the age of 18 Authorized Points of Presence %XFEROWSVXLI4SWX3ƦGI Any Investor Service Center of Where can
Slide 17: Comparison: NPS, PPF and HDFC Retirement Savings Fund (continued)
National Pension Public Provident HDFC Retirement Criteria Scheme (Tier I) Fund Savings Fund Storage and safety risk Low Low Low %JXIVɅɅƤRERGMEPɅ]IEVWI\GPYHMRKɅXLIɅ ƤRERGMEPɅ]IEVɅSJEGGSYRXɅSTIRMRKɅ Maturity Tenure Attainment of age 60 XIRYVIɅGERXLIRɅFIɅJYVXLIVɅI\XIRHIHɅMR No limits FPSGOWɅSJɅɅ]IEVWE
Slide 18: Comparison: Liquidity, returns and tax benefits
National Pension Public Provident HDFC Retirement Criteria Scheme (Tier I) Fund Savings Fund Liquidity Very low Low High, post completion of lock-in period Scheme E - 15.83%~ Equity Plan – 22.10%* 5 year CAGR^ Scheme C - 7.41 %~ 7.1% Hybrid Equity Plan – 15.93%* Scheme G - 7.72 Hybrid Debt Plan – 8.
Slide 19: To Conclude…
To Conclude… Retirement Planning is a necessity as: Approaching retirement without planning is like appearing for an Your Parents Are Not Your Emergency Fund. exam without preparation and Your Children Are Not Your Retirement Fund. hoping to score good marks! Views expressed above are indicative and
Slide 20: Presenting HDFC Retirement Savings Fund
Long term investment vehicle targeting retirement corpus for YOU! Choice of 3 plans – Depending on age and risk profiles Presenting Equity Plan HDFC Retirement Hybrid Equity Plan Savings Fund Hybrid Debt Plan Investments in the scheme qualify for benefits U/s 80 C of the Income tax Act, 1961. Expert
Slide 21: HDFC Retirement Savings Fund asset allocation
HDFC Retirement Savings Fund Under normal circumstances the asset allocation will be as follows: Hybrid Equity Hybrid Debt Type of Instruments Equity Plan Plan Plan % of Total Assets: Min Max Min Max Min Max Equity & Equity related instruments 80 100 65 80 10 45 Of which net long through equity and
Slide 22: Tax Benefits of HDFC Retirement Savings Fund
6CZ$GPGƒVUQH*&(%4GVKTGOGPV Savings Fund HDFC Retirement Savings Fund Æ #0QVKƒGF2GPUKQP(WPF Example illustrating Tax Saving: CUURGEKƒGFD[VJG%GPVTCN)QXGTPOGPV Assume Gross Total 03 Income for the year is Rs. 12,00,000 02 Provisions of Section 80 C Investment in HDFC Retirement Savings Rs. 1,50,000 01
Slide 23: Asset Allocation is Key to Financial Success
Asset Allocation is Key to Financial Success Each asset class has Asset allocation decision a different Return-Risk- is the most important Liquidity profile factor for long-term wealth building Diversification is needed to There is no “one size achieve optimal balance fits all” formula for between r
Slide 24: Risk Profiling and Asset Allocation
4KUM2TQƒNKPICPF#UUGV#NNQECVKQP Your Risk Appetite is a Function of Factor Risk Appetite Age The younger you are higher is your risk taking capability Income stream A regular and predictable income means a higher risk appetite Capital Base Higher the capital base, higher will be risk taking capabilit
Slide 25: Bye-bye Tension! Welcome Pension!
Bye-bye Tension! Welcome Pension! Phase 1: Earn and Accumulate Phase 2: Distribute Accumulate till 60 through: Withdraw post 60 through SWAP Lump sum Systematic Withdrawal Advantage Plan (SWAP) SIP Identify a reasonable standard of living Do not touch the retirement corpus and the monthly costs asso
Slide 26: Get Money Regularly - Like Paycheck
Get Money Regularly - Like Paycheck HDFC Retirement Savings Fund – Hybrid Equity Plan SMART SYSTEMATIC WITHDRAWAL ADVANTAGE PLAN A facility to plan withdrawal from your mutual fund investments by automatically redeeming units while giving your investments a chance to grow at the same time. ADVANTAGE
Slide 27: Investment Patterns For Different Age Groups
Investment Patterns For Different Age Groups Refer disclaimer on page 42 27/43
Slide 28: Which Plan to Invest?
Which Plan to Invest? Factors Equity Plan Hybrid Equity Plan Hybrid Debt Plan Investors Investors between Investors above Age younger than 40 to 50 years 50 years of age or 40 years of age of age nearing retirement Investors who Investors with Highly conservative investors Risk understand moderate r
Slide 29: Ideal Investment Pattern for Youngsters
Ideal Investment Pattern for Youngsters Keep topping up your SIP amount with regular lump sum investments to build your corpus faster Start topping up your SIP amount Continue SIPs until with regular lump sum investments retirement to build your corpus faster Set up a SIP in a Equity Upon retirement
Slide 30: Ideal Investment Pattern for The Mid-Aged
Ideal Investment Pattern for The Mid-Aged Switch to a Hybrid Debt Plan** as you age and take on more responsibilities so as to reduce risk Ensure that this SIP amount is topped Continue your topped up SIPs up with regular lump sum investments till retirement. Add lump sums to build your corpus faste
Slide 31: Ideal Investment Pattern for Those Nearing Retirement
Ideal Investment Pattern for Those Who are Nearing Retirement Keep topping up your SIP amount with regular lump sum investments to build your corpus faster Start topping up your SIP amount Continue SIPs until with regular lump sum investments retirement to build your corpus faster Set up a SIP in a
Slide 32: Fund Facts
Fund Facts Name of the Scheme HDFC Retirement Savings Fund A notified Tax Savings Cum Pension Scheme Category of Scheme Retirement Fund Type of Scheme An open ended retirement solution oriented scheme having a lock-in of 5 years or till retirement age (whichever is earlier) Fund Manager$ Srinivasan
Slide 33: Fund Facts
Fund Facts Existing Investments by investors including SIP / STP registrations, etc. (until June 1, 2018): Units purchased cannot be assigned / transferred / pledged / redeemed / switched out until completion of 5 years from the date of allotment Lock In of Units under the Scheme. Period Fresh inves
Slide 34: Scheme Performance Summary - HDFC Retirement Savings Fund
Scheme Performance Summary - HDFC Retirement Savings Fund Equity Plan NAV as on JANUARY 31, 2025 `47.422 Hybrid Equity Plan `36.516 Hybrid Debt Plan `20.7779 Additional Value of ` 10,000 invested Scheme Benchmark Plan Period Benchmark Scheme Benchmark Additional Returns (%) Returns (%)# Returns (%)#
Slide 35: Performance of Other Funds Managed by Srinivasan Ramamurthy
Performance Performance of Other Funds Managed by Mr. Srinivasan Ramamurthy, Co-Fund Manager of HDFC Retirement Savings Fund (who manages total 9 schemes) Managing Scheme Last 5 years (%) Scheme Last 1 year (%) Last 3 years (%) since HDFC Balanced Advantage Fund # 29-Jul-2022 10.07 19.50 19.64 Bench
Slide 36: Performance of Other Funds Managed by Shobhit Mehrotra
Performance Performance of Other Funds Managed by Mr. Shobhit Mehrotra, Co-Fund Manager of HDFC Retirement Savings Fund (who manages total 8 schemes) Returns (%) as on January 31, 2025 Managing Scheme Scheme since Last 1 year (%) Last 3 years (%) Last 5 years (%) HDFC Hybrid Debt Fund^ 1-Sept-2007 8
Slide 37: HDFC Retirement Savings Fund Riskometer
HDFC Retirement Savings Fund $ A Notified Tax Savings Cum Pension Scheme (An Open-ended Retirement Solution Oriented Scheme having A Lock-in of 5 Years or till Retirement Age, whichever is earlier) $ Investing in the Scheme shall be eligible for tax benefits U/S 80C of the Income-Tax Act, 1961 Name of
Slide 38: Benchmark and Scheme Riskometers
Benchmark and Scheme Riskometers Riskometer of the Scheme# Name of Scheme Name and Riskometer of Benchmark# BSE India Infrastructure Index (TRI) HDFC Infrastructure Fund^ NIFTY Housing (Total Returns Index) HDFC Housing Opportunities Fund^ NIFTY 50 Hybrid Composite Debt 15:85 Index HDFC Hybrid Debt
Slide 39: Benchmark and Scheme Riskometers
Benchmark and Scheme Riskometers Riskometer of the Scheme# Name of Scheme Name and Riskometer of Benchmark# NIFTY 50 Hybrid Composite Debt 65:35 Index (TRI) HDFC Dynamic PE Ratio Fund of Funds~ Potential Risk Class (PRC) (Maximum risk the Scheme can take) CRISIL Short Duration Debt A-II Index Credit
Slide 40: Benchmark and Scheme Riskometers
Benchmark and Scheme Riskometers Riskometer of the Scheme# Name of Scheme Name and Riskometer of Benchmark# CRISIL Medium To Long Potential Risk Class (PRC) (Maximum risk the Scheme can take) Duration Debt A-III Index Credit Risk Relatively Low Moderate Relatively High Interest Rate Risk (Class A) (
Slide 41: Benchmark and Scheme Riskometers
Benchmark and Scheme Riskometers Riskometer of the Scheme# Name of Scheme Name and Riskometer of Benchmark# NIFTY 50 Hybrid Composite Debt 50:50 Index HDFC Balanced Advantage Fund 90% Nifty 50 Hybrid Composite Debt 65:35 Index (Total Returns Index) and 10% Domestic Prices of Gold derived as per regu
Slide 42: Disclaimer
Disclaimer The views expressed and data in the presentation are as on March 05, 2025 and based on internal data, publicly available information and other sources believed to be reliable. The information given is for general purposes only. Past performance may or may not be sustained in future and is
Slide 43: Thank You
THANK YOU
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