The best way to invest in HDFC Mutual Fund

hdfc mutual funds Trading

Are you looking for mutual funds that fit your specific investment needs? If so, you should consider investing in mutual funds online by HDFC. The company offers various mutual funds to suit every investment need. You can choose equity, debt, hybrid, and other funds.

In this article, we will discuss how to invest in HDFC mutual funds. We will also review the HDFC Children’s Gift Fund and why it’s an excellent option for parents looking to save for their child’s education. So whether you’re just getting started with investing or looking for a new fund to add to your portfolio, HDFC has you covered!

Why invest in HDFC Mutual Fund?

hdfc mutual fund online
HDFC MF allows you to profitably invest online in the financial market without constantly worrying about its fluctuations. You may invest in different mutual funds, depending on your investment goals. For example, if you’re looking for an investment in housing, you can consider the HDFC Housing Opportunities Fund. It is designed for joint investment, so you and your co-investor can contribute to the fund.

HDFC mutual funds offer several benefits. They are well-managed and have a good track record. Mutual funds from HDFC can help you reach your financial goals. Plus, if you have a mutual fund, you can borrow against it using margin. That allows you to borrow money from the fund and even invest in HDFC Securities products such as bonds and ETFs.

Note! HDFC Mutual Fund is part of the HDFC Group, which is active in housing finance, net banking, life insurance, asset management, trade, and other items.

What are the documents needed?

hdfc mutual fund status
Investors must be 18 or older. The documents required for opening an account and investing in HDFC mutual funds are:

  • Passport/ voter ID/ driving license/ Aadhaar/ NREGA job card: to be submitted as proof of identity.
  • PAN card with photo. It must be KYC compliant.
  • Proof of Address: to be submitted as proof of current residency.
  • Income Proof, KYC (Know Your Customer) form, and KYC Acknowledgment Slip: to be submitted as a part of the KYC process.
  • Other documents that HDFC may request.

Investors must also submit or complete the FATCA Individual form online on the HDFC website. Non-Resident Indian (NRI) customers might require some additional documents to be submitted.

Note! Foreign Account Tax Compliance Act (FATCA) directed against tax evasion by US citizens and residents.

Types of HDFC mutual funds

hdfc mutual fund types
HDFC Asset Management Company (AMC) is one of the largest ones in India, with Assets Under Management (AUM) of ₹3.9 Lakh Crore as of 31st March 2020. HDC AMC offers a wide range of mutual fund schemes across asset classes and risk profiles to meet the investment objectives of its customers.

Note! HDFC AMC is the investment manager of the schemes of HDFC MF.

The following are three main types of HDFC mutual funds.

Equity schemes

Equity schemes invest primarily in stocks and aim to generate capital growth over the long term. They suit investors with a high-risk tolerance and a long investment horizon.

HDFC Index Fund Nifty 50 Plan is the best equity mutual fund for individuals wishing to invest in a diverse basket of large-cap equities. The NIFTY 50 fund invests in 50 blue-chip businesses that are market leaders in their respective industries.

Equity Linked Savings Scheme (ELSS) is a type of MF investing in a diversified basket of equity securities. It has a lock-in period of three years and offers tax benefits. For example, you can invest in HDFC Tax Saver. This ELSS mutual fund invests 80-100% of its portfolio in mid- and large-cap stocks. It offers Direct and Regular Plans.

The Direct Plan is where investors buy units of the fund directly from the HDFC without going through a broker or agent. This type of plan typically has limited fees and expenses, which can help the investor earn higher returns.

The Regular Plan is where investors purchase fund units through a broker or agency. This plan usually has more significant fees and expenses but may include additional benefits like professional investing guidance. You can learn more about how to invest in ELSS here.

Debt schemes

Debt schemes invest primarily in fixed-income instruments such as government bonds, corporate bonds, and mutual funds. They aim to generate income and preserve capital. They are suitable for investors with a low-risk tolerance and a short to medium investment horizon.

For instance, HDFC Income Fund is a debt mutual fund scheme that invests in fixed income securities such as government bonds, corporate bonds, commercial papers, and treasury bills. This scheme aims to generate regular income for investors by investing in a portfolio of high-quality debt instruments.

Hybrid schemes

Hybrid schemes invest in both equity and debt instruments. They aim to generate income and capital growth. Hybrid schemes suit investors with moderate risk tolerance and a medium to long investment horizon. Some popular hybrid funds include HDFC Arbitrage Fund and HDFC Balanced Advantage Fund.

HDFC Small Cap Fund has one of the best-performing indexes in India. The fund has given excellent returns since its inception and has consistently performed in the small-cap category. You can invest in HDFC Small Cap Fund by choosing a Direct or Regular plan if you want long-term income growth by investing in small-cap companies.

How to invest in HDFC Mutual Fund?

invest in hdfc mutual fund
Investors looking to invest in HDFC Mutual Fund can do so through various channels, including online, offline, and mobile platforms.

Online Investment

One can invest in HDFC Mutual Fund online through You can register on the website and create a user ID and password. Once the registration is complete, you can log in to the website and start investing in the mutual funds of your choice. The online trading option allows you to check convenient your investment status at any time.

Offline Investment

Investors wishing to invest offline can visit any HDFC Bank branches or HDFC AMC offices across India. They can also look for authorized distributors of HDFC for purchasing mutual fund units.

Mobile Investment

HDC AMC has also launched a mobile application HDFC MF Online which allows investors to implement mutual fund schemes via mobile phones. The app is accessible for download on Android and iOS platforms.

Once you have selected the desired investment channel, you must complete the application form and submit it along with the required documents. If you are an account holder at HDFC net banking, you can transfer funds from your bank account to HDFC mutual funds scheme. Once your application is processed, you will be allotted units in the schemes per the prevailing NAV (net asset value).

Minimum amount for invest

hdfc minimum investment
HDFC Mutual Fund offers you the facility of investing in a wide range of schemes. The minimum investment amount differs depending on the chosen plan. For example, the minimum amount for investment in HDFC Balanced Advantage Fund and HDFC Index Fund is ₹5000. Payments can be made by credit/debit cards or in cash.

You can also invest through a trading platform HDFC Securities. For example, in HDFC Long Term Advantage Fund or HDFC Prudence Fund. HDFC Securities offers an online Systematic Investment Plan (SIP) and a Systematic Withdrawal Plan (SWP) that can help you reach your financial goals when investing in mutual funds. Through SIP, you can invest or withdraw a fixed sum of money at regular intervals.

HDFC Mutual Fund toll-free number

You can visit to see how to invest in mutual funds. Here you can discover the funds’ transfer form and distributor locator. Investors looking to invest in HDFC Mutual Fund schemes online can contact the customer care staff by phone or email. Toll-free numbers for contact are 1800 3010 6767 / 1800 419 7676, email ID is

How to invest online in the HDFC Children’s Gift Fund?

hdfc children gift fund
If you want to invest in your child’s future, consider HDFC Children’s Gift Fund. It pays higher interest rates than fixed deposits and bank savings programs, making it ideal for parents wanting to set aside money for their child’s future needs, such as education and marriage.

The HDFC Children’s Gift Fund has a 5-year lock-in period or till the child attains the age of majority and requires a minimum investment of ₹5000. The fund has excellent growth potential. You should expect gains that easily outperform fixed income options and inflation rates if you keep funds for five years or longer.

The fund offers several benefits, such as:

  • Tax benefits: The investments made in the HDFC Children’s Gift Fund are eligible for tax deductions under section 80C of the Income Tax Act, 1961.
  • Risk-averse: The fund is managed by experienced professionals, and the investments are made in a diversified portfolio of assets, which reduces the risk.
  • Growth potential: The investments in the HDFC Children’s Gift Fund have the potential to grow over the long term, providing you with good returns.

You can invest online in the HDFC Children’s Gift Fund through the official website or mobile app. The process is simple and quick, and you can start investing within minutes.


hdfc mutual funds risks
Investing in mutual funds is a great way to diversify your portfolio and potentially earn higher returns. But remember that while some funds may offer higher potential returns, they also come with more significant risks.

Also, fees can eat into your investment returns. Some mutual funds charge annual fees, which can reduce your overall returns. Be sure to ask about fees before investing in any fund. And don’t forget to do your homework. Research different types of mutual funds and find ones that fit your investment goals and risk tolerance.

However, mutual funds are a great way to invest, and HDFC products are among the best in the market.

Alex has over 9 years of experience in the financial markets. He has worked with various financial firms globally and has expertise in technical and fundamental analysis. Alex has fulfilled various roles in his 9 years of experience and has worked as an investment advisor, financial analyst, risk management officer, manager of financial planning, and compliance and internal control officer.

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