HDFC Mutual Fund launches innovation-themed equity scheme

HDFC Asset Management has announced the launch of HDFC Innovation Fund, an open-ended equity scheme focused on innovation-led businesses across sectors.

The New Fund Offer (NFO) will open on June 27 and close on July 11.

The fund will invest in companies that demonstrate innovation in products, processes, or business models. It will follow a bottom-up stock selection strategy with a diversified portfolio across sectors and market capitalisations.

At least 80% of the fund’s net assets will be allocated to equity and equity-related instruments. The benchmark index for the fund is the NIFTY 500 Total Returns Index.

HDFC AMC said the fund is designed to tap into India’s growing innovation ecosystem, driven by digital adoption, a thriving startup landscape, and supportive policy initiatives.

The scheme will be managed by Amit Sinha, Fund Manager and Senior Equity Analyst at HDFC AMC. The minimum investment during the NFO and ongoing offer period is ₹100. Both Direct and Regular plans will be available, with options for Growth and Income Distribution cum Capital Withdrawal.

An exit load of 1% will be applicable if units are redeemed within one month from the date of allotment. There is no exit load beyond this period.

HDFC Mutual Fund stated that the fund adopts a long-term approach, aiming to invest in quality companies with higher-than-industry growth potential, supported by valuation discipline.

ALSO READ | These flexi cap mutual funds have given up to 34% returns in 5 years: Check top performer