What does HDFC Manufacturing Fund invest in?

The Fund invests at least 80% of its assets in equity and equity-related instruments of companies/entities engaged in the manufacturing theme. This includes a wide range of industries including but not restricted to automobiles and auto components, capital goods and industrial products, metals and mining, chemicals, construction materials, consumer durables, and pharmaceuticals. The fund can allocate residual investment of Up to 20% outside the theme, and the Fund may also hold limited portions in gold and silver instruments, InvITs, and money market and other liquid instruments.

How does the Fund decide what to invest in?

The Fund follows a bottom-up approach, analysing individual companies based on Growth prospects, Fundamentals and Valuations across large, mid and small caps rather than limiting itself to any one size. It looks for manufacturing-linked businesses with the potential to benefit from the theme's long-term growth. At least 80% of the portfolio stays within the manufacturing theme.

Is there an exit load?

Yes. An exit load of 1% applies if you redeem or switch out your units within 1 month from the date of allotment. No exit load applies after 1 month. This is in keeping with the Fund's long-term orientation.

How risky is this Fund?

The scheme is rated Very High on the riskometer. As a Thematic Fund, it concentrates on a single theme, so its performance depends heavily on how the manufacturing theme performs. It is best suited to investors with a high-risk appetite and a focus on long investment horizon.

What plans and options does the Fund offer?

The Fund offers Regular and Direct plans, each with a Growth option and an IDCW (Income Distribution cum Capital Withdrawal) option.

How will my returns be taxed?

Since the Fund invests predominantly in equity, it is treated as an equity-oriented scheme for tax purposes. The tax on your gains depends on how long you stay invested and the rules in force at the time. You can consult your financial advisor for more details

HDFC Manufacturing Fund

Equity

DIRECTREGULAR

About HDFC Manufacturing Fund

HDFC Manufacturing Fund is An open-ended equity scheme investing in manufacturing theme. The Fund is a Thematic Fund and aims to provide long-term capital appreciation by investing at least 80% of its assets in equity and equity-related instruments of companies/entities related to this theme.

The theme covers investment opportunities across multiple industries that make up India's manufacturing economy.

Some of the fund's investable areas may include:

Automobiles and Auto components
Capital goods and Industrial products
Metals and Mining
Chemicals, Construction materials and Consumer durables
Pharmaceuticals, and other manufacturing-linked industries

Investing across these multiple industries connected by single theme allows the fund to provide Diversification. The scheme launched on 16th May 2024, follows a bottom-up approach, selecting companies across large, mid and small caps, it can also take limited exposure to gold and silver instruments and to units of InvITs. It is benchmarked against the Nifty India Manufacturing Index (TRI) and was launched on 16th May 2024.

What is HDFC Manufacturing Fund

HDFC Manufacturing Fund is a Mutual Fund scheme that pools money from investors and invests predominantly into Equity and Equity related instruments of companies operating or connected to manufacturing space

A Thematic Fund is one that invests around a central idea, choosing companies from different sectors that share a common thread. Here, the thread is manufacturing: All that is Produced in India, from Raw Materials to Finished goods, from vehicles, machinery and industrial equipment to metals, chemicals, consumer durables, pharmaceuticals and more. You can invest through a one-time lump sum or a Systematic Investment Plan (SIP). To stay diversified, the Fund can invest up to 20% of its assets outside the core theme basis available opportunities and may hold cash or other liquid instruments for redemption purpose. The scheme also has option to invest limited portions in gold and silver instruments, InvITs.

Who can consider HDFC Manufacturing Fund

This Fund may suit investors who:

Are seeking long-term capital appreciation and can stay invested through market cycles, typically five years or more.
Want focused exposure to India's manufacturing theme and believe in its long-term growth potential.
Already hold a diversified core portfolio and want to add a thematic fund as a satellite allocation.

Returns

5.21%

Inception Date

16/05/2024

Riskometer

Very High

Min SIP

₹ 100

Ideal for

Wealth Creation

More than 3 years

Entry Load

An entry load is a fee charged to investors when they purchase units of a Mutual Fund scheme. This fee was used to cover distribution and marketing expenses incurred by the Asset Management Company (AMC). Currently, Mutual Funds in India do not levy entry loads.

TER

The Total Expense Ration (TER) represents the costs for running and managing a Mutual Fund scheme. It is calculated as a percentage of the scheme’s average Net Asset Value (NAV). The daily NAV of a Mutual Fund is disclosed after deducting these expenses.

Disclaimer

Including Additional Expenses and Goods and Service Tax on Management Fees, if any. Click here to view the Total Expense Ratio

0.94

Lock in

A lock-in period is the fixed duration during which investors cannot sell or redeem their investments/Mutual Fund units. For example, Equity Linked Savings Schemes (ELSS) Funds have a 3-year lock-in.

NAV NA

Net Asset Value (NAV) per unit is the total market value of securities of a scheme minus liabilities divided by the total number of outstanding units on a given date.

AUM (31/10/2026)

Assets Under Management (AUM) is the total market value of all assets that a Mutual Fund manages on behalf of its investors.

₹9,726.26 Cr.

Benchmark

A benchmark is a standard market index used to compare a Fund’s performance. It helps investors know whether the Fund is performing better, worse, or similar to the market.

NIFTY India Manufacturing Index