HDFC Defence Fund hikes stake in BEML & Solar Industries, adds Centum Electronics in March

HDFC Defence Fund, the only defence fund based on defence sector, increased its stake in two stocks - BEML and Solar Industries and added Centum Electronics in its portfolio in March.

The defence fund added around 50,068 shares of Solar Industries India taking the total number of shares to 5.67 lakh in March against 5.17 lakh in February. Around 18,603 shares of BEML were added to the portfolio in March.

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The fund did not reduce its exposure in any stock in the mentioned time period. The exposure in 19 stocks remained unchanged. The fund added only one new stock in the portfolio which was Centum Electronics and around 2.58 lakh shares were added to the portfolio in March.

The fund had around 22 stocks in the portfolio in March against 21 stocks in February and the fund also did not make complete exit from any stock in the mentioned period.

Based on the portfolio classification by industry, the fund has the highest exposure in Capital goods of around 66.76%, followed by chemicals of around 15.29%. In infrastructure, the fund had an exposure of 6.66%, followed by electricals where the exposure was 2.89%.

In the aviation sector, the fund house had an exposure of 2.72%, followed by power where the exposure was 0.86% and iron & steel of an exposure 0.66%.

HDFC Defence Fund is an open-ended equity scheme investing in Defence & allied sector companies.

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The scheme is suitable for investors who are seeking to generate long-term capital appreciation / income and want investments predominantly in equity and equity related instruments of defence and allied sector companies.

The scheme is benchmarked against Nifty India Defence Index TRI and has an AUM of Rs 4,975 crore in March against Rs 3,880 crore as on February 28, 2025.

The minimum amount of investment is Rs 100 and any amount thereafter. The schemes allocates 80-100% in equity and equity related instruments of Defence & allied sector companies, 0-20% in equity and equity related instruments of companies other than Defence & allied sector companies, 0-10% in units issued by REITs and InvITs, 0-20% in debt securities, money market instruments and fixed income derivatives, and 0-5% in units of mutual fund.

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