March 28, 2024
mayank
HSBC Medium to Long Duration Fund details, NAV, Portfolio, Returns, Peer Comparison, Fund Managers & Guidance by Chanakyamfguidance.com
NAV Growth: Rs 42.1367
Quarterly NAV IDCW: Rs 10.5492
Suitable For Which Investors?
“Medium to Long Duration debt funds invest mainly in bonds maturing in four to seven years. They aim to earn better returns than bank fixed deposits of a similar duration. The risk of incurring a loss in these funds over the said time frame is low, but they may experience some degree of volatility in response to changes in interest rates.
Retail investors can avoid these funds altogether. We believe that Short Duration funds are a better alternative for the fixed-income allocation in an investor’s portfolio.
We also believe that investors with an investment horizon of more than three years may consider investing some portion of their money in equity funds to earn higher returns. They witness more severe ups and downs than debt funds but the possibility of incurring a loss reduces with an increase in one’s investment horizon.”
Fund’s Investment Strategy:
The scheme seeks to generate regular income through a diversified portfolio of fixed income securities such that the Macaulay duration of the portfolio is between 4 years to 7 years.
Fund Manager:
1) Kapil Punjabi
Education: Mr. Kapil Punjabi is MMS from Mumbai University.
Experience: Prior to joining HSBC Asset Management (India) Pvt. Ltd., he has worked with Taurus Asset Management Co. Ltd., Edelweiss Asset Management Ltd., Edelweiss Securities Ltd. and Trans Market Group Research (India) Pvt. Ltd.
2) Shriram Ramanathan
Education: Shriram is a B.E. (Electrical), PGDBM from XLRI Jamshedpur and CFA.
Experience: Prior to joining HSBC Mutual Fund, he has worked with L&T MF, FIL Fund Management Pvt. Ltd., ING Investment Management, Zurich Asset Management Co., ICICI Ltd., and L&T Ltd.
Investment Details
| Min. Investment (Rs) | 5,000 |
| Min. Addl Investment (Rs) | 1,000 |
| Min. SIP Investment (Rs) | 500 |
| Min. Withdrawal (Rs) | 500 |
| Min. No of Cheques | 12 |
| Min. Balance (Rs) | 1,000 |
| Lock-in Period | NA |
| Exit Load | 0 |
Basic Details
| Fund House | HSBC Mutual Fund |
| Launch Date | 07-Jan-13 |
| Return Since Launch | 6.85% |
| Benchmark | NIFTY Medium to Long Duration Debt Index A-III |
| Riskometer | Moderate |
| Type | Open-ended |
| Assets | Rs 46 Cr |
| (As on 29-Feb-2024) | |
| Expense | 0.69% |
| (As on 29-Feb-2024) | |
| Risk Grade | Above Average |
| Return Grade | Below Average |
Trailing Returns (%) of HSBC Medium to Long Duration Fund
| Fund name | YTD | 1D | 1M | 3M | 6M | 1Y | 3Y | 5Y | 7Y | 10Y |
| HSBC Medium to Long Duration Dir | 2.30 | 0.13 | 0.41 | 2.45 | 4.06 | 7.57 | 4.87 | 6.29 | 5.93 | 7.20 |
| VR Bond | 2.52 | 0.13 | 0.49 | 2.58 | 4.03 | 7.79 | 5.24 | 5.81 | 5.87 | 6.77 |
| Debt: Medium to Long Duration | 2.33 | 0.12 | 0.49 | 2.50 | 4.05 | 8.07 | 5.84 | 6.71 | 6.42 | 7.78 |
| Rank within category | 7 | 3 | 11 | 7 | 6 | 10 | 11 | 11 | 10 | 11 |
| Number of funds in category | 13 | 13 | 13 | 13 | 13 | 13 | 13 | 13 | 13 | 13 |
Peer Comparison of HSBC Medium to Long Duration Fund
| Rating | 1 Year Returns | 3 Year Returns | 5 Year Returns | Expense Ratio (%) | Net Assets (Rs Cr) | Return Since Launch (%) | Exit Load (Days) | Fund Age | |
| HSBC Medium to Long Duration Dir | 2 star | 7.57 | 4.87 | 6.29 | 0.69 | 46 | 6.85 | — | 11Y 2M |
| ICICI Pru Bond Dir | 4 star | 8.81 | 5.99 | 7.66 | 0.60 | 2,974 | 8.10 | — | 11Y 2M |
| SBI Magnum Income Dir | 4 star | 8.42 | 6.05 | 8.07 | 0.79 | 1,729 | 8.14 | 1.00 (365) | 11Y 2M |
| Kotak Bond Dir | 3 star | 8.77 | 6.10 | 7.75 | 0.64 | 1,834 | 7.77 | — | 11Y 2M |
| ABSL Income Dir | 3 star | 7.64 | 5.71 | 7.57 | 0.66 | 1,789 | 7.89 | — | 11Y 2M |
Portfolio Breakup
| Fund | Category | |
| Number of Securities | 8 | 16 |
| Macaulay Duration (yrs) | 6.57 | 6.51 |
| Average Maturity (yrs) | 9.28 | 10.41 |
| Yield to Maturity (%) | 7.28 | 7.39 |
| Avg Credit Rating | AAA | — |
How to Invest in HSBC Medium to Long Duration Fund?
Chanakya’s Mutual Fund Guidance For HSBC Medium to Long Duration Fund
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