Bind-Bund Se Sagar: Fund worth Rs 3.86 crore created from monthly SIP of Rs 10,000, it doesn’t matter if the markets rise or fall.

Last updated:January 18, 2025, 6:45 PM IST

HDFC Balanced Advantage Fund turns monthly SIP of Rs 10,000 into Rs 3.86 crore in 24 years. The fund works on a dynamic equity and debt investment strategy and is ideal for investors with moderate risk appetite. Experts consider it a long term…read more

HDFC Balanced Advantage Fund turns monthly SIP of Rs 10,000 into Rs 3.86 crore in 24 years.

Top Performing Mutual Funds: Can a monthly investment of Rs 10,000 make you a millionaire? Yes, if it is invested in the right place and one is patient. The country’s largest mutual fund has done this. The name of this fund is – HDFC Balanced Advantage Fund. Launched in September 2000, this fund has turned a monthly SIP (Systematic Investment Plan) of Rs 10,000 into Rs 3.86 crore in about 24.36 years.

Over the years, this fund has outperformed its category and benchmark index (NIFTY 50-TRI). For example, it returned 11.83% in the last one year, while the benchmark’s return was 6.29%. In the span of three and five years, it has given returns of 19.32 percent and 18.96 percent respectively.

What is the specialty of HDFC Balanced Advantage Fund?
The investment style of HDFC Balanced Advantage Fund makes it special. This fund invests in equity and debt (bonds) and their ratio varies according to market conditions. At present this fund is invested in 66 percent equity, 30.09 percent debt, and 3.91 percent other assets.

The maximum investment of this fund is in the banking sector (24.62 percent), which is more than its category average of 20.03 percent. Apart from this, it also invests mainly in Government Security (14.28 percent) and Finance sector (11.22 percent).

Experts believe that this fund is suitable for investors with medium to low risk. If your investment is for long term and you want stable returns, then this fund can be a part of your portfolio.

Should you invest in this fund?
The Economic Times quoted Shruti Jain, an expert on the subject, as saying, “HDFC Balanced Advantage Fund has maintained consistent performance. Its dynamic portfolio makes it sustainable even during market fluctuations. If your investment time is long and want to take less risk, then this fund is a good option.

Apart from HDFC Balanced Advantage Fund, there are 19 other schemes in this category. According to SEBI, the portfolio of Balanced Advantage Funds is dynamically divided into equity and debt.

(Disclaimer: Mutual fund investments are subject to market risks, read all scheme documents carefully. If you wish to invest in any fund, please consult a certified investment advisor first. Any profit or loss you may incur AyraNews24x7 will not be responsible for this.)