|Larsen & Toubro||Infrastructure Developers & Operators||Equity||4.13%|
|Infosys||IT - Software||Equity||3.99%|
|Tech Mahindra||IT - Software||Equity||3.67%|
|TCS||IT - Software||Equity||3.49%|
|NTPC||Power Generation & Distribution||Equity||3%|
|CESC||Power Generation & Distribution||Equity||2.92%|
|Coal India||Mining & Mineral products||Equity||2.1%|
|NHPC Ltd||Power Generation & Distribution||Equity||2.05%|
|St Bk of India||Banks||Equity||1.87%|
|O N G C||Crude Oil & Natural Gas||Equity||1.74%|
|Kaynes Tech||Consumer Durables||Equity||1.12%|
|AIA Engineering||Castings, Forgings & Fastners||Equity||1.11%|
|TD Power Systems||Capital Goods - Electrical Equipment||Equity||1.08%|
|Wipro||IT - Software||Equity||1.03%|
|Mahindra Holiday||Hotels & Restaurants||Equity||1.01%|
|Go Fashion (I)||Textiles||Equity||0.97%|
|Indraprastha Gas||Gas Distribution||Equity||0.92%|
|Dr Reddy's Labs||Pharmaceuticals||Equity||0.92%|
|GAIL (India)||Gas Distribution||Equity||0.9%|
|M & M||Automobile||Equity||0.87%|
|SBI Life Insuran||Insurance||Equity||0.84%|
|H P C L||Refineries||Equity||0.71%|
|Dilip Buildcon||Infrastructure Developers & Operators||Equity||0.59%|
|I R F C||Finance||Equity||0.53%|
|Hindalco Inds.||Non Ferrous Metals||Equity||0.51%|
|Sun TV Network||Entertainment||Equity||0.48%|
|Cummins India||Capital Goods-Non Electrical Equipment||Equity||0.45%|
|Guj Pipavav Port||Marine Port & Services||Equity||0.41%|
|ICICI Securities||Stock/ Commodity Brokers||Equity||0.33%|
|Netweb Technolog||IT - Software||Equity||0.32%|
|Rishabh Instrum.||Capital Goods - Electrical Equipment||Equity||0.17%|
|Sonata Software||IT - Software||Equity||0.11%|
|Latent View||IT - Software||Equity||0.06%|
|Bharti Airtel PP||Telecomm-Service||Equity||0.05%|
|Pharmaceuticals & Biotech||4.15%|
|Cement & Cement Products||1.43%|
|Fertilisers & Agrochemica||1.3%|
|Agricultural Food & other||1.24%|
|Aerospace & Defense||1.16%|
|Textiles & Apparels||0.74%|
|Chemicals & Petrochemical||0.59%|
|Commercial Services & Sup||0.48%|
|Cash & Others||-0.57%|
|Exit Load||1.00% - If Units are redeemed / switched-out within 1 years from the date of allotment. Nil - If Units are redeemed / switched-out after 1 years from the date of allotment.|
The HDFC Dividend Yield Fund is a thematic equity fund offered by HDFC Mutual Fund. The fund aims to provide both capital appreciation and dividends to its investors by investing in a diversified portfolio of equity and equity-related instruments of companies with a strong dividend yield.
The fund was launched on December 18, 2020, and is benchmarked against the NIFTY Dividend Opportunities 50 Total Return Index. This open-ended scheme offers an opportunity for investors looking for a potential source of income through dividend payouts, while also participating in the long-term growth potential of the equity markets.
Pros and Cons of HDFC dividend yield fund
|The HDFC Dividend Yield Fund is one of the most bought funds within its category, indicating a high level of popularity and demand among investors.||The HDFC Dividend Yield Fund is highly volatile within its category, making it a riskier investment option for those who are not prepared for market fluctuations.|
|The HDFC Dividend Yield Fund has a larger AUM within its category, providing a sense of security and reliability to potential investors.||The HDFC Dividend Yield Fund has a poor track record of recovering losses quickly, making it a riskier investment option for those who are looking for short-term gains.|
|The HDFC Dividend Yield Fund has consistently outperformed the benchmark indices, providing a higher return on investment to its investors.|
|The HDFC Dividend Yield Fund has a lower probability of downside risk, making it a safer investment option for those who are risk-averse.|
|The HDFC Dividend Yield Fund has outperformed benchmarks during bull runs, providing a higher return on investment during the upward movement of the market.|
How to invest in an HDFC dividend yield fund?
Investing in HDFC Dividend Yield Fund is made easy through 5Paisa. The process is streamlined, and efficient and does not require any paper-based documentation. Simply log in to your 5Paisa account and start investing in HDFC Dividend Yield Fund to experience the benefits of investing in a high-yield equity fund.
What is the expense ratio of the HDFC dividend yield fund?
HDFC Dividend Yield Fund Expense Ratio refers to the yearly management charge paid by investors to the mutual fund firm for the service of investing in HDFC Dividend Yield Fund. The fund’s administrative and operational expenses are partially covered by this charge.
The expense ratio is an important factor to consider when determining how much to invest in a mutual fund since it affects the investor’s return on investment (ROI). A lower expense ratio is always preferable as it reduces the cost of investment and helps in maximising the returns.
Who should invest in the HDFC dividend yield fund?
Investors who want to build a diverse portfolio of dividend-paying equities for long-term capital gain can consider the HDFC Dividend Yield Fund. It is a relatively low-risk investment option for those who aim to invest in equities over the medium to long term. The fund’s diversified portfolio helps to reduce the impact of market volatility and provides stability to the investment.
The scheme is also ideal for investors who aim to take advantage of tax arbitrage through mutual funds, rather than directly investing in dividend-yielding stocks. However, HDFC Mutual Fund recommends that an investor should have a minimum investment horizon of 3 years or more to invest in the HDFC Dividend Yield Fund.
What are the benefits of investing in the HDFC dividend yield fund?
Investing in HDFC Dividend Yield Fund offers several benefits for investors looking for a steady source of income and long-term capital appreciation. Some of the key benefits include:
1. Regular dividend income
The fund invests in dividend-yielding stocks, which means that investors can expect a steady stream of high dividends, indicating steady cash flows.
2. Tax-free dividends
Dividends received from the fund are tax-free at the hands of the investor, offering a high tax exemption threshold.
3. Minimised market volatility risk
By investing in dividend-yielding stocks, the fund helps minimise the market volatility risk and acts as a hedge against market turmoil.
4. Proven financial track records
The fund invests in blue-chip stocks that have proven financial track records, which means that the fund is always assured of high returns in the future.
5. Better yield in the long run
Investments in dividend yield funds provide a significantly better yield on investments in the long run as the fund managers only include blue chip stocks in the portfolio.
6. Suitable for different investment horizons and risk appetites
The investments made in dividend yield funds involve a marginal level of risk, making it suitable for investors with any investment horizon and risk appetite.
Gopal Agrawal - Fund Manager
Mr Gopal has worked with several fund houses before joining HDFC. He joined DSP Investment Managers in July 2018 as Head of Macro Strategy & Senior Fund Manager. Before that, he has over 20 years of experience at Tata Mutual Fund, Mirae Asset Mutual Fund and SBI Mutual Fund, managing some of its marquee funds. He has extensive experience in sectors such as Petrochemicals, Capital Goods, Power, Oil & Gas, and more. Mr Agarwal manages 9 HDFC schemes with an AUM of ₹17,987 Cr.
- Fund Name
- Fund Size
- 3Y Returns
- ICICI Pru Dividend Yield Equity Fund – Direct Growth
31.4%Fund Size - 2,216
35.5%Fund Size - 2,216
17.4%Fund Size - 2,216
- Templeton India Equity Income Fund – Direct Growth
23.5%Fund Size - 1,565
31.4%Fund Size - 1,565
18%Fund Size - 1,565
- Aditya Birla SL Dividend Yield Fund – Direct Growth
32.9%Fund Size - 992
28.2%Fund Size - 992
16%Fund Size - 992
- Sundaram Dividend Yield Fund – Direct Growth
23.5%Fund Size - 567
24.7%Fund Size - 567
14.8%Fund Size - 567
- UTI-Dividend Yield Fund – Direct Growth
24.7%Fund Size - 3,108
24.6%Fund Size - 3,108
14.5%Fund Size - 3,108
AMC Contact Details
Frequently Asked Questions
How to invest in HDFC Dividend Yield Fund – Direct Growth ?
- Login to your 5paisa account, Go to the Mutual Funds section.
- Search for HDFC Dividend Yield Fund – Direct Growth in the search box.
- Click on "Start SIP" if you wish to do a SIP or click on “One-time” if you wish to invest a lumpsum amount then click on "Invest Now"
What is the NAV of HDFC Dividend Yield Fund – Direct Growth ?
How to redeem HDFC Dividend Yield Fund – Direct Growth holding ?
What is the minimum sip amount of HDFC Dividend Yield Fund – Direct Growth?
What are the top sectors HDFC Dividend Yield Fund – Direct Growth has invested in?
- Banks - 14.44%
- IT-Software - 12.01%
- Power - 7.89%
- Diversified FMCG - 6.08%
- Industrial Products - 5.57%
Can I make investments in both the SIP and Lump Sum schemes of HDFC Dividend Yield Fund – Direct Growth?
How much returns have HDFC Dividend Yield Fund – Direct Growth generated ?
What is the expense ratio of HDFC Dividend Yield Fund – Direct Growth ?
What is the AUM of HDFC Dividend Yield Fund – Direct Growth?
What are the top stock holdings of HDFC Dividend Yield Fund – Direct Growth?
How can I redeem my investments in HDFC Dividend Yield Fund – Direct Growth?
Step 2: Log in to your account by adding Folio No. and M-Pin
Step 3: Click on Widhrawal > Redemption
Step 4: Select HDFC Dividend Yield Fund – Direct Growth in Scheme, enter the redemption amount, and click on submit button.