Hdfc Top 100 Fund Idcw 54eb

The HDFC Top 100 Fund – IDCW – 54EB is a mutual fund managed by HDFC Asset Management Company, one of the largest fund houses in India. It typically operates as an open-ended equity scheme primarily focused on investing in large-cap stocks. Specifically, the HDFC Top 100 Fund targets the 100 largest companies in India, ranked based on their market capitalization.

Herein, IDCW stands for Income Distribution cum Capital Withdrawal, indicating that the fund periodically distributes a portion of its income (profits earned from its investments) to investors. The 54EB designation represents the ISIN code for this specific fund scheme within the HDFC Top 100 Fund, serving as a unique identifier.

Moreover, this fund has operated since August 19, 1996, and boasts a track record of delivering consistent returns throughout the years. The primary goal of this scheme is to offer long-term capital appreciation and income to its investors.

Thus, to help the Indian investor, Urban Money presents a comprehensive overview of the HDFC Top 100 Fund – IDCW – 54EB. In this all-in-one guide, we will discuss the fund’s essential parameters, holdings, returns, expense ratio, taxation, fund performance, and (almost) everything you need to know about the HDFC Top 100 Fund – IDCW – 54EB.

Key Parameters

Let’s take a look at a list of key parameters of HDFC Top 100 Fund – IDCW – 54EB.

Fund Type: Large-cap equity fund

Fund Manager: Rahul Baijal

Exit load: 1.0% of the sell value if the fund is sold before 365 days from the date of allotment.

Risk-O-Meter: Very High

Taxation

The taxation of HDFC Top 100 Fund – IDCW – 54EB can be segregated into two types: long-term capital gain tax and short-term capital gain tax.

• Selling your capital after 1 year from the purchase date is considered a long-term capital gain, and the current tax rate is 10%, excluding any cess/surcharge. Notably, if your total long-term capital gain is below 1 lakh, you are not required to pay any tax.
• Selling your capital before 1 year from the purchase date is considered a short-term capital gain, and the current tax rate is 15%, excluding any cess/surcharge.

Furthermore, in the case of dividend distribution tax, the dividend income from this fund will be combined with an investor’s total income and taxed based on their individual tax slabs. Namely, if you fall into the 20% tax slab, you will pay roughly one-fifth of the received dividends as taxes. Similarly, if you are in the 30% tax bracket, you will lose 30% of your dividend income.

Holdings

The HDFC Top 100 Fund – IDCW – 54EB has a total of 51 stocks in its portfolio. The fund has 96.82% of its investments in domestic equities, with 76.93% in large-cap stocks and 6.25% in mid-cap stocks. For more insight, please refer to the table below, which displays the fund’s top 10 holdings as of September 30, 2023:

The Investment Objective of HDFC Top 100 Fund – IDCW – 54EB

The investment objective of HDFC Top 100 Fund – IDCW – 54EB is to provide long-term capital appreciation or income by investing predominantly in large-cap companies. Thus, the fund house predominantly invests in large-cap equity stocks that are among the top 100 companies in India, listed by market capitalization. The fund follows a bottom-up approach to stock selection and focuses on the quality of the business, the growth prospects, the valuation, and the corporate governance of the companies. The fund also invests a small portion of its assets in debt and money market instruments to provide liquidity and stability. Notably, the fund is well-suited for investors with a high-risk appetite and a long-term horizon.

Minimum Investment and Lock-in Period

The minimum investment and lock-in period of HDFC Top 100 Fund – IDCW – 54EB are as follows:

Minimum Investment

The minimum investment required to purchase or switch-in units of this fund is ₹ 5,000 and any amount thereafter. The minimum additional investment required to add more units of this fund is ₹ 1,000 and any amount thereafter. The minimum SIP (Systematic Investment Plan) investment required to invest in this fund through monthly or quarterly instalments is ₹ 100.

Lock-in Period

The lock-in period of a fund refers to the duration during which investors are restricted from redeeming or selling their units. In the case of the HDFC Top 100 Fund – IDCW – 54EA, there is no specific lock-in period. However, an exit load applies to early redemptions or switches. I.e., if investors redeem or switch out their units within 1 year from the date of allotment, an exit load of 1.0% of the sell value may levied. On the other hand, if redemptions or switches occur after 1 year from the date of allotment, there is no exit load.

AMC Information

The AMC information of HDFC Top 100 Fund – IDCW – 54EB is as follows:

• Name: HDFC Mutual Fund
• Contact Number: 1800-3010-6767 / 1800-419-7676
• Address: HDFC House, 2nd Floor, H.T. Parekh Marg, 165-166, Backbay Reclamation, Churchgate, Mumbai – 400020