HDFC Mutual Fund launches HDFC Manufacturing Fund: Key things to know

HDFC Mutual Fund on April 22 announced the launch of HDFC Manufacturing Fund. The open-ended equity scheme aims to unlock the potential of India’s manufacturing sector by investing predominantly in equity and equity-related securities of companies engaged in manufacturing activities.

The new fund offer (NFO) for HDFC Manufacturing Fund commences on April 26, 2024, and concludes on May 10, 2024. According to HDFC Mutual Fund, India’s manufacturing sector stands at the cusp of an Amrit Kaal, a golden era, fuelled by various factors such as growing consumption, investments, and exports, coupled with changing geopolitical dynamics and the government’s push for self-reliance through reforms and incentives. The fund seeks to capitalise on these tailwinds, offering investors an opportunity to participate in the country’s transformation into a global manufacturing powerhouse.

HDFC Manufacturing Fund’s investment strategy emphasises on a core portfolio comprising at least 80% investment in stocks representing diverse sectors under the manufacturing theme. The fund’s flexible approach allows for investments across market capitalisation, offering investors an exposure to a wide range of opportunities within the manufacturing landscape.

The scheme will be managed by Rakesh Sethia, Fund Manager, HDFC Manufacturing Fund, with over 19 years of experience in equity research said, “Our investment style revolves around rigorous bottom-up research aimed at identifying companies with a compelling long-term growth story. We seek to construct a portfolio that balances established industry leaders with emerging disruptors, ensuring a diverse mix of opportunities within the manufacturing sector.”