HSBC Medium Duration Fund
Medium Duration Fund - An open ended medium term debt scheme investing in instruments such that the Macaulay duration of the portfolio is between 3 years to 4 years. Please refer Page no. 9 of the SID for explanation on Macaulay duration. A relatively high interest rate risk and moderate credit risk.
(Formerly known as L&T Resurgent India Bond Fund)
Investment Objective
To seek to generate income by investing primarily in debt and money market securities. There is no assurance that the objective of the Scheme will be realised and the Scheme does not assure or guarantee any returns.
Our philosophy
- We deploy a balanced approach to credit and risk management
- Transparency in investment methodology
- Active investment opportunity supported by proprietary credit research
Our process
Proprietary research drives security selection:
- Balanced approach for security selection to achieve optimal risk adjusted returns
- Balanced approach in managing risk – well managed issuer concentration
- Benefits from global investment network and research sharing platform
Why HSBC Medium Duration Fund?
- The fund offers prudent portfolio considering the risk appetite whilst seeking optimal returns
- Actively managed within the specified macaulay duration range to generate returns to match the investment objective and to maintain adequate liquidity to accommodate funds movement
- Active view of the interest rate movement supported by quantitative research, to include various parameters of the Indian economy, as well as developments in global markets
- Combination of credit analysis of individual exposures and analysis of macro-economic factors
- True to label fund – The fund will stay true to its objective in keeping with the mandate reposed by the investor whilst investing in the fund
- To create a corpus through generating inflation-adjusted returns
HSBC Medium Duration Fund Riskometer
Investors understand that their principal will be at Moderate Risk
Medium Duration Fund - An open ended medium term debt scheme investing in instruments such that the Macaulay duration of the portfolio is between 3 years to 4 years. "ease refer Page no. 9 of the SID for explanation on Macaulay duration. A relatively high interest rate risk and moderate credit risk.
This product is suitable for investors who are seeking*:
- Generation of income over medium term
- Investment primarily in debt and money market securities
*Investors should consult their financial advisers if in doubt about whether the product is suitable for them.
Please note that the above risk-o-meter is as per the product labelling of the Scheme available as on the date of this communication/disclosure. As per SEBI circular dated October 5, 2020 on product labelling (as amended from time to time), risk-o-meter will be calculated on a monthly basis based on the risk value of the scheme portfolio based on the methodology specified by SEBI in the above stated circular. The AMC shall disclose the risk-o-meter along with portfolio disclosure for all their schemes on their respective website and on AMFI website within 10 days from the close of each month. Any change in risk-o-meter shall be communicated by way of Notice cum Addendum and by way of an e-mail or SMS to unitholders of that particular Scheme.
Benchmark: Nifty Medium Duration Debt Index
Potential Risk Class (‘PRC’) matrix indicates the maximum interest rate risk (measured by Macaulay Duration of the scheme) and maximum credit risk (measured by Credit Risk Value of the scheme) the fund manager can take in the scheme. PRC matrix classification is done in accordance with and subject to the methodology/guidelines prescribed by SEBI to help investors take informed decision based on the maximum interest rate risk and maximum credit risk the fund manager can take in the scheme, as depicted in the PRC matrix.
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