HSBC Mutual Fund has launched HSBC Focused Equity Fund (HFEF) - an open ended equity scheme investing in maximum 30 stocks across market caps.
The fund aims to seek long term capital growth by building a concentrated portfolio of equity & equity related instruments of 30 companies across large-cap, mid-cap and small-cap categories with a sector agnostic approach. HSBC Focused Equity Fund will be benchmarked against BSE 200 Index TRI benchmark and will be co-managed by Neelotpal Sahai, Head of Equities, HSBC AMC and Gautum Bhupal, Fund Manager, HSBC AMC.
In a press release, Ravi Menon, CEO, HSBC AMC said, “We do believe that companies with market leadership, niche product positioning, scale and competitive advantages will tend to benefit more going forward and are likely to outperform across cycles. These current opportunities are sector as well as market cap agnostic in nature. With a concentrated portfolio strategy, we are confident that this fund has the potential to outperform, whilst helping customers to create wealth.”
Talking about the fund’s investment strategy Neelotpal Sahai, Head of Equities, HSBC AMC said, “HSBC Focused Equity Fund aims to build a concentrated portfolio through bottom-up implementation of stock ideas and top down approach for prudent risk control. While investing in a company, the fund will focus on the fundamentals of the business including profitability, industry structure, quality of management, sensitivity to economic factors, financial strength of the company, valuation and key earnings drivers.”
