Description

Changes to HDFC Fund of Fund schemes including name changes, benchmark revisions, and underlying scheme modifications effective August 30, 2025.

Summary

HDFC Mutual Fund announces changes to select Fund of Fund (FOF) schemes to align with SEBI’s Standardized Framework for Fund of Fund Schemes dated June 30, 2025. Changes include scheme name modifications, benchmark index revisions, and updates to eligible underlying schemes, effective August 30, 2025.

Key Points

  • HDFC Developed World Equity Passive FOF renamed to HDFC Developed World Overseas Equity Passive FOF
  • HDFC Income Plus Arbitrage Active FOF benchmark changed from 35% NIFTY 50 Arbitrage + 60% NIFTY Composite Debt + 5% NIFTY 1D Rate to 40% NIFTY 50 Arbitrage + 60% NIFTY Composite Debt
  • HDFC Multi-Asset Active FOF eligible underlying schemes list updated with specific equity, debt, and gold ETF schemes
  • Changes align existing FOFs with SEBI’s standardized framework for multiple underlying schemes

Regulatory Changes

  • Implementation of SEBI’s Standardized Framework for Fund of Fund Schemes dated June 30, 2025
  • Re-categorization requirement for existing FOFs investing in multiple underlying schemes
  • Mandatory alignment of scheme attributes including names, benchmarks, and asset allocation

Compliance Requirements

  • Scheme Information Documents (SIDs) and Key Information Memorandums (KIMs) updated with revised details
  • Statement of Additional Information (SAI) amended to reflect changes
  • Investors to be notified of scheme attribute modifications through addendum

Important Dates

  • August 30, 2025: Effective date for all scheme changes
  • June 30, 2025: SEBI Framework notification date

Impact Assessment

Medium impact on HDFC mutual fund investors holding the affected FOF schemes. Changes primarily administrative to comply with regulatory requirements, with benchmark modifications potentially affecting performance measurement and underlying investment strategies for the Income Plus Arbitrage Active FOF scheme.

Impact Justification

Affects specific HDFC mutual fund schemes with changes to names, benchmarks, and underlying investments as per SEBI standardized framework