Hdfc Asset Management Co. Ltd. · NSE:HDFCAMC
Hdfc Asset Management — Investor Presentation (November 2022)
18 slides from Hdfc Asset Management's investor presentation, Nov 2, 2022
Slide 1: Choose a better route. HDFC Business Cycle Fund NFO
1 Choose a better route. Aim to stay ahead with NFO HDFC Business Cycle Fund 11th - 25th November, 2022 HDFC Business Cycle Fund aims to invest in businesses likely on the cusp / midst of a favourable business cycle. Refer disclaimers on page 18 01
Slide 2: Indian economic resilience in the face of several challenges across decades
Indian economic resilience in the face of several Nature of cycles… challenges across decades 1 Average Annual Real GDP Growth % Average Annual Inflation % 18 16 15 16 14 13 13 12 9 10 6 10 7 8 6 4 6 6 7 6 2 0 1980-89 1990-99 2000-09 2010-21 1980-89 1990-99 2000-09 2010-21E Operation Blue Star Global
Slide 3: Well poised versus other economies
India Nature- of Well poised versus other economies cycles… 1 Structural tailwinds of demand, digitisation, demography and democracy hold India in good stead Amidst various challenges, India GDP growth still Relatively low leverage should minimize the impact of tightening expected to be higher than
Slide 4: India Economy: Key positives and risks
India NatureEconomy: Key positives and risks of cycles… 1 1 2 3 4 5 Make in India to China Shift from Banks – Housing - benefit Indian +1 story is unorganized improving Affordability is manufacturing unfolding to organized NPAs and rising at a high segment players capital adequacy 6 7 8 9 10 Corporat
Slide 5: Equity Market Valuations – relatively expensive, but in-line with positive outlook
Equity Market Valuations – relatively expensive, Nature of cycles… but in-line with positive outlook 1 Nifty 50 Valuations (P/E) Historical Valuations : NIFTY50 30 1 Year forward P/E : NIFTY 50 Avg Mean+1SD Mean-1SD 25 1 Year Forward P/E 20.9 20 15.9 15 NIFTY50 1 Yr Fwd P/E 10 10 Yr Average 17.6 Cur
Slide 6: Business cycle investing amidst rising equity participation
Business cycle investing amidst rising equity participation 1 Equity as an asset class has now received larger acceptance from Indian households: Number of demat accounts crossed 10 crore, doubling since the start of 2021 Equity Mutual Funds have grown to Rs 14.7 trillion, ~6% of GDP Sectoral / them
Slide 7: What is a Business Cycle
What is a Business Cycle 1 Business cycle is the journey across four phases of growth in business activity, observed in acceleration / deceleration across factors such as volume growth, pricing power, competitive intensity, cost consciousness, capex intensity, ROCE and business sentiment. Peak (Stab
Slide 8: Why does business cycle investing make sense?
Why does business cycle investing make sense? 1 Higher confidence on forecasts Estimating positioning of various business cycles and their trajectory can be done with higher confidence vs the general economic cycle Correlation with valuations When businesses are in upcycle, investors get dual benefit o
Slide 9: Presenting HDFC Business Cycle Fund
1 Presenting HDFC Business Cycle Fund An open ended equity scheme following business cycle based investing theme 09 Refer disclaimers on page 18
Slide 10: Portfolio Strategy – blend of top down and bottom up approach
Portfolio Strategy – blend of top down and bottom up approach 1 Presenting Core of portfolio (>80%): companies likely on the cusp / midst of favorable business cycle Non-core (<20%) portfolio: Growth stories relatively agnostic to the business cycle Stocks relatively better positioned within their s
Slide 11: Understanding top down approach
Understanding top down approach 1 Illustrative list of factors considered for top down assessment of business cycles Presenting Macro indicators Business specific indicators Domestic GDP growth Outlook on growth An open Inflation ended&equity scheme Interest rates following business cycle based invest
Slide 12: Risk reward positioning
Risk reward positioning 1 Presenting Attribute Aims at returns higher than traditional fixed income instruments Aims to protect purchasing power, suitable Aims at wealth creation with dynamic asset Aims at wealth creation using diversified Aims at wealth creation by investing in business cycles Aims a
Slide 13: Who should consider investing?
Who should consider investing? 1 This product may be suitable for investors who are looking for Exposure to businesses likely on the cusp / midst of a favourable business cycle A fund that is agile in rotation of investments based on assessment of stages of business cycles. An open ended equity sche
Slide 14: Large and experienced team with a rigorous investment process
Large and experienced team with a rigorous investment process 1 Rahul Baijal, Senior Fund Manager, Equities with experience spanning over 20 years in Equity Research and Fund Management. Experienced team: 28 Investment professionals with average experience of 18 years Experienced risk management tea
Slide 15: Fund Facts
Fund Facts 1 Investment Objective To provide long-term capital appreciation by investing predominantly in equity and equity related securities with a focus on riding business cycles through dynamic allocation between various sectors and stocks at different stages of business cycles Fund Manager Mr.
Slide 16: Asset Allocation
Asset Allocation 1 The scheme will invest predominantly in equity and equity related securities with focus on riding business cycles through dynamic allocation between sectors and stocks at different stages of business cycles Under normal circumstances, the asset allocation (% of Net Assets) of the
Slide 17: Product Labelling
Product Nature ofLabelling cycles… 1 HDFC Business Cycle Fund (An open ended equity scheme following business cycle Riskometer # based investing theme) is suitable for investors who are seeking*: To generate long-term capital appreciation/ income Investment predominantly in equity & equity related i
Slide 18: Disclaimer
Disclaimer Nature of cycles… 1 This presentation dated 02nd November, 2022 has been prepared by HDFC Asset Management Company Limited (HDFC AMC) based on internal data, publicly available information and other sources believed to be reliable. Any calculations made are approximations, meant as guidel
HDFC Asset Management Company — Investor Presentation (November 2022) on 6ix