LIC MF Conservative Hybrid Fund(A-IDCW)
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Business Overview
LIC MF Conservative Hybrid Fund (A-IDCW) is a balanced mutual fund that invests in a mix of equity and debt instruments, aiming to provide moderate growth with lower risk. Ideal for conservative investors seeking stable returns while maintaining some exposure to equities, this fund is designed for those looking for a balanced approach to wealth creation. With a focus on capital preservation, it offers a reliable option for long-term financial goals.
- Balanced investment in equity and debt
- Suitable for conservative investors
- Focus on capital preservation
- Potential for moderate growth
- Regular income through dividend payouts
- Managed by experienced professionals
Investment Thesis
LIC MF Conservative Hybrid Fund (A-IDCW) stands out due to its strong backing from the LIC promoter group, ensuring credibility and trust. With a growing focus on digital services, this fund is well-positioned to capture the evolving market. Its attractive valuation compared to peers makes it a compelling choice for conservative investors seeking stable returns.
- Strong promoter group: Backed by LIC, a trusted name in the financial sector.
- Digital services growth: Positioned to leverage the increasing shift towards digital investments.
- Attractive valuation: Offers competitive pricing compared to similar funds in the market.
- Conservative approach: Ideal for risk-averse investors looking for stability.
- Diversified portfolio: Balances equity and debt for optimal risk-adjusted returns.
Opportunity vs Risk
- Stable income generation
- Diversified investment approach
- Potential for capital appreciation
- Suitable for risk-averse investors
- Market volatility impact
- Interest rate fluctuations
- Limited growth potential
- Management fee considerations
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10BusinessHighThe fund operates in a conservative hybrid space, which is stable but lacks high growth potential.
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10GrowthHighModerate revenue and profit growth observed, but not consistent enough to indicate strong future growth.
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9ProfitabilityHighROE and ROCE are acceptable, but cash flow is not consistently strong compared to net profit.
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8ValuationHighValuation metrics are in line with peers, but not particularly attractive.
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7BalanceHighBalance sheet is stable with manageable debt levels.
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6GovernanceGoodPromoter holding is decent, but there are some concerns regarding disclosures.
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5DriversGoodLimited growth drivers identified; execution risks are present.
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1TechnicalsLowMarket sentiment is weak, with low liquidity and poor price action.