The HSBC Medium Duration Fund (A-IDCW Payout) is a dynamic investment option designed for investors seeking moderate risk with potential for regular income. This fund primarily invests in medium-duration debt instruments, making it suitable for those looking to balance growth and stability in their portfolio. It aims to provide consistent returns while managing interest rate risks effectively. With a focus on quality assets, this fund is ideal for individuals planning for short to medium-term financial goals.

Moderate risk investment option
Focus on medium-duration debt instruments
Ideal for regular income seekers
Balances growth and stability
Suitable for short to medium-term goals
Managed by experienced fund managers

Investment Thesis

HSBC Medium Duration Fund stands out due to its robust backing by the reputable HSBC Group, ensuring credibility and stability. The fund is well-positioned to capitalize on the growing digital services sector, enhancing investor accessibility. Additionally, its attractive valuation relative to peers presents a compelling opportunity for retail investors seeking solid returns.

Strong promoter group with HSBC's global reputation and expertise.
Significant growth potential in digital services, enhancing investor engagement.
Attractive valuation compared to similar funds, offering potential upside.
Focus on medium-duration assets provides a balanced risk-return profile.
Consistent performance track record, instilling investor confidence.

Opportunity vs Risk

Opportunities

Potential for steady income
Diversification in fixed income
Professional fund management
Tax benefits on dividends

Risks ⚠️

Interest rate fluctuations
Credit risk from bonds
Market volatility impacts
Liquidity concerns in downturns

Peer Perspective

HSBC Medium Duration Fund is currently trading at a slight premium compared to peers like HDFC Medium Duration Fund and ICICI Prudential Medium Duration Fund. A rerating could occur if it achieves consistent margin stability.

📊 Stock Investment Checklist (100 Points)

HSBC Medium Duration Fund(A-IDCW Payout) • Updated: 2025-10-01 16:08:40

10

Business
High

The fund operates in a stable sector but lacks a significant competitive moat.
10

Growth
High

Revenue and profit growth have been inconsistent over recent periods.
10

Profitability
High

ROE and ROCE are moderate, with OCF slightly trailing net profit.
10

Valuation
High

Valuation metrics are in line with peers but lack compelling attractiveness.
8

Balance
High

Debt levels are manageable, but liquidity could be improved.
7

Governance
High

Promoter holding is decent, but there are some concerns regarding disclosures.
8

Drivers
High

There are potential growth drivers, but execution risks remain high.
6

Technicals
Good

Market sentiment is neutral, with low liquidity affecting price action.

Final Score & Verdict

Score 66 / 100 • Decent

The fund shows potential but is hindered by inconsistent growth and moderate profitability metrics.