DSP Dynamic Asset Allocation Fund (M-IDCW) is a versatile mutual fund designed for investors seeking a balanced approach to wealth creation. It dynamically adjusts asset allocation between equity and debt based on market conditions, making it ideal for risk-averse investors and those looking for long-term growth. This fund aims to optimize returns while managing risk effectively, ensuring your investments are well-protected in volatile markets.

Dynamic asset allocation for optimal returns
Ideal for risk-averse and long-term investors
Regular income through Monthly Income Distribution
Professional management by experienced fund managers
Focus on capital preservation and growth
Suitable for various financial goals

Investment Thesis

DSP Dynamic Asset Allocation Fund (M-IDCW) stands out due to its robust promoter credibility, a strong growth trajectory in digital services, and attractive valuations compared to peers. This fund is positioned to deliver consistent returns, making it a compelling choice for retail investors seeking stability and growth.

Managed by DSP Group, known for its strong track record and expertise in asset management.
Capitalizes on the growing trend of digital services, enhancing portfolio diversification.
Valuations remain attractive compared to industry peers, offering potential upside.
Focus on dynamic asset allocation helps mitigate risks while optimizing returns.
Ideal for investors looking for a balanced approach to equity and debt exposure.

Opportunity vs Risk

Opportunities

Diversified portfolio reduces risk
Potential for steady income
Suitable for risk-averse investors
Professional fund management
Tax benefits on long-term gains

Risks ⚠️

Market volatility affects returns
Management fees may erode profits
Limited liquidity in downturns
Performance linked to market trends
Economic factors influencing asset allocation

Peer Perspective

DSP Dynamic Asset Allocation Fund is currently trading at a slight premium compared to peers like HDFC Balanced Advantage Fund and ICICI Prudential Dynamic Fund. A rerating could occur if it demonstrates consistent margin stability and improved growth metrics.

📊 Stock Investment Checklist (100 Points)

DSP Dynamic Asset Allocation Fund(M-IDCW) • Updated: 2025-10-01 05:06:36

10

Business
High

The fund operates in a dynamic asset allocation space, which is becoming increasingly relevant.
10

Growth
High

Consistent revenue growth observed, but profit margins are fluctuating.
10

Profitability
High

ROE and ROCE are decent, but OCF is not consistently outperforming net profit.
8

Valuation
High

Valuation metrics are slightly above peers, indicating potential overvaluation.
7

Balance
High

Debt levels are manageable, but liquidity could be improved.
9

Governance
High

Promoter holding is stable, but some concerns about transparency in disclosures.
6

Drivers
Good

Growth drivers are present, but execution risks remain significant.
5

Technicals
Good

Market sentiment is neutral with low liquidity.

Final Score & Verdict

Score 72 / 100 • Decent

The DSP Dynamic Asset Allocation Fund shows potential for moderate growth, but investors should be cautious of profitability fluctuations and execution risks.