DSP Mutual Fund, formerly DSP Investment Managers Pvt. Ltd., was established on May 13, 1996. The company prides itself on being a 100% independent Indian Asset Management Company backed by the venerable DSP Group. The AMC offers services to individuals, high-net-worth individuals, non-resident Indians (NRIs), small and mid-sized businesses, large private and public corporations, trusts, and foreign institutions.
To give you an idea of how this AMC has performed over the last ten years, we will discuss a few of the schemes.
Understanding DSP Mutual Funds’ 10-Year Returns
Let’s get into the details now.
DSP Natural Resources and New Energy Fund
Launched on April 25, 2008, this thematic investment fund focuses on the commodities and energy sector. The scheme portfolio comprises companies from mining, oil & gas, and emerging clean and renewable energy sources.
As per the funds’ prescribed allocation, fund managers can include global stocks through investments in BGF World Energy & BGF Sustainable Energy Funds. This scheme generated a return of 8.56% of annualized returns.
The key stocks in this scheme are:
- Coal India Ltd.
- Tata Steel Ltd.
- Hindalco Industries Ltd.
- Reliance Industries Ltd.
- Jindal Steel & Power Ltd.
DSP Equity & Bond Fund
As the name implies, this scheme is a hybrid fund that aims to provide long-term capital appreciation and income distribution. The scheme allocates between 65% and 75% of its assets to equity and equity-related securities, while 25%—35% is dedicated to fixed-income securities.
As of March 31, 2024, the fund has delivered an annualized return of approximately 14.89%. That means if you invested Rs 1 lakh in this scheme ten years ago, your investment’s current value would be Rs 4,00,940.
The key stocks in this scheme are:
- ICICI Bank Ltd.
- Bajaj Finance Ltd.
- HDFC Bank Ltd.
- Avenue Supermarts Ltd.
- Samvardhana Motherson International Ltd.
DSP Equity Opportunities Fund
This scheme has a substantial fund size of Rs 10,812.48 Crores. The fund primarily invests in a mix of large and mid-cap equities. The portfolio consists mainly of investments within the country, with a focus of 47.26% on large-cap stocks, 28.57% on mid-cap stocks, and 8.01% on small-cap stocks.
In the last ten years, the Equity Opportunities scheme gave an annualized return of 17.83%.
The key stocks in this scheme are:
- Mahindra & Mahindra Ltd.
- State Bank of India
- Indus Towers Ltd.
- Power Finance Corporation Ltd.
- ICICI Bank Ltd.
DSP Liquidity Fund
This fund has been one of DSP Mutual Fund AMCs oldest debt funds, with a 23+ year track record. The majority of the scheme’s investments are rated CRISIL A1+ and SOV.
As of March 31, 2024, the Liquidity Fund has a total AUM of Rs 10,000+ crores. This scheme’s ten-year annualized returns are 5.15%.
The key stocks in this scheme are:
- 182 Days T-bill 2024
- 91 Days T-bill 2024
- NABARD
- Bank of Baroda
Conclusion
DSP Mutual Funds commitment to its investors is persistent. At present, DSP has 52 schemes running across equity, hybrid, ELSS and debt funds. The leading fund managers in DSP mutual funds are Atul Bhole, Anil Ghelani, Aditya Khemka, Laukik Bagwe, Jay Kothari, etc. Established over 25 years ago, DSP is the 10th largest AMC in India as on 15th May 2024 (by AUM).
The AMC prioritizes the interests of its clients, aiming to secure their wealth and provide financial solutions that align with their goals. This client-centric approach has been pivotal in AMC’s growth and generation of higher returns. To invest in mutual funds, open an account with Dhan.
