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Knowledge Centre
Overview
Knowledge Centre
Welcome to the Knowledge Centre, your destination to gain a better understanding about investment matters. To make informed choices in investing, visit this space...

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Importance of asset allocation
Asset allocation means diversifying your money among different types of investment vehicles, such as stocks, bonds and money market instruments. The goal is to help reduce risk and enhance returns. Establishing a well-diversified portfolio may allow you to avoid the risks associated with putting all your eggs in one basket.
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Investment Strategy-Portfolio Rebalancing
Carrying out asset allocation on your portfolio is half the job done. But what happens when one component of your asset pie appreciates by a big margin? The asset allocation, thereafter, gets skewed in favour of that single asset. Should an investor then stick to the renewed asset allocation or should one go back to one's original allocation?
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5 things to know before investing in Mutual Funds
In volatile and uncertain markets, mutual funds are any investor's best friend. But with a plethora of schemes available in the market catering to a variety of investment profiles, finding the right mutual fund can be a daunting task.
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Why Long Term investments in equities generates wealth
Equities is touted as a long-term instrument for saving. Investors are being advised today by fund managers to come into equities with only a 2-3 year kind of a view. The question an investor could have is: Why come in with a long-term view when one can make 10-20% today daily?
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What to look at when investing in an Equity IPO
The equity market decides the price of a stock and fundamentals in the short-term play only a 30-40% part in the valuation of a stock. Adequate research is, without a doubt, the most effective way to identify and stay away from the IPO disasters waiting to happen. Also, look at Investment Banker, Business and Strategy, Financials, Promoters Holding & Equity History, Objects of the issue, Valuations & Demand for the issue.
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What is a Systematic Investment Plan?
Systematic Investment Plan (SIP) is a disciplined way of investing, where you invest fixed amounts at a regular frequency. One often decides to start saving and investing regularly, but the daily routine sets in and investments are forgotten. SIP is a time tested investment approach that helps in bringing in the much-needed discipline while giving great results!
How does SIP work?
SIP is based on a very simple, yet powerful concept. On having identified the schemes that one wants to invest in and the savings required to achieve financial goals, all that needs to be done is to give monthly / quarterly post-dated cheques or standing instructions to debit the amount to be invested from ones bank account.

The Mutual fund units will be allotted based on the scheme's prevailing selling price on the date of the SIP transactions. These will be credited to your scheme account. Investments can be started with amounts as low as Rs 1000 per month for a minimum period of six months. The best way to determine the monthly / quarterly SIP amount is to set your financial goal in terms of the amount that you require at the end of the SIP period, based on a given return expectation.

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We at HDFC Bank aim to cater to every need a customer could have. HDFC Bank's Foresight - an exclusive and free monthly newsletter, is for anyone who believes in investing wisely.

Foresight is a valuable tool for those who like in-depth research to understand investments and exploit every opportunity in the market to augment their wealth. Foresight will give you an update on the Equity and Debt markets, Highlight current Investment Opportunities and inform you about Investment Tools and Techniques. What's more, Foresight will also keep you updated on our range of products and services and latest in our offerings.

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