23 DEVELOPED MARKETS CANADA

1500+ CONSTITUENTS USA EUROPE

JAPAN

ONE FUND
HDFC DEVELOPED WORLD NFFO
N O P
Peerr io
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02211 ttoo PACIFIC

INDEXES FUND OF FUNDS eppt,

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An open ended Fund of Funds scheme investing in

units/ shares of Overseas Index Funds and/or ETFs
which will in aggregate track the MSCI World Index

GLOBAL DIVERSIFICATION | ONE SOLUTION

September 2021 Refer disclosure on page 19 and disclaimers on page 26

A Snapshot

HDFC Developed World MSCI

Indexes Fund of Funds World Index ^

A Fund of Funds scheme that aims to Captures large and mid-cap

generate returns through investments
in a combination of ETFs and Index
Funds.
The scheme will endeavour to track
the performance of the MSCI World
Index.
representation.
Across 23 developed markets
countries.
Covers approximately 85% of the
free float-adjusted market
capitalization in each country.

1500+ Constituents
^Data as on July 30, 2021.
Source: MSCI World Index (USD) | msci.com
Refer disclaimers on page 26
02
MSCI Developed Markets
Classification Criteria

Economic Size and Liquidity Market Accessibility

development requirement criteria

Source: MSCI Market Classification framework June 2021. For details, refer Annexure 1.
Refer disclaimers on page 26
03
Components of MSCI Developed Market

CANADA

EUROPE
USA
JAPAN
United Kingdom, France, Switzerland,
Germany, Netherlands, Sweden,
Denmark, Italy, Spain, Finland, Belgium,
Ireland, Israel, Norway, Austria, Portugal

PACIFIC EX. JAPAN

Australia, Hong Kong,

Source : MSCI World Index (USD) | msci.com. Data as on July 30, 2021. Singapore, New Zealand
Refer disclaimers on page 26
04
MSCI World Index - Take off to the developed markets

5 23 14
Regions Countries Currencies

1559 ~ 56% ~ 50%

Constituents of the Global of the World
GDP Market Cap

Countries forming part of MSCI World index cover ~ 56% of Global GDP, out of which USA accounts for 24.8%, Europe 20.6%,
Japan 6.0%, Pacific Ex-Japan 2.7 and Canada 1.9%.
Source : MSCI World Index (USD) | msci.com. Data as on July 30, 2021

Refer disclaimers on page 26

05
MSCI World Index – Region Exposure,
Revenue Split & Sector Exposure

68% 9.1% 10.6%

15%
7.01%

11.9%
4.45%

2.91%
REGION-WISE DIVERSIFIED 42% SECTOR
2.76%
EXPOSURE 23%
REVENUES* WEIGHTS
2.76% 12.8%

7%

22.5% 13.3%
3% 20%
19%
3%

USA North America Information Technology 22.5% Industrials 10.6%

Europe Europe Financial 13.3% Communication Services 9.1%
Japan Emerging Markets Health Care 12.8% Consumer Discretionary 11.9%
Pacific Ex- Japan Pacific Region Consumer Staples 7.01% Materials 4.45%
Canada Energy 2.91% Real Estate 2.76%
Utilities 2.76%

Source : MSCI World Index (USD) | msci.com. Data as on July 30, 2021
North America includes USA and Canada, Pacific Region includes Japan and Pacific Ex- Japan.
* Revenues are much more diversified as compared to the weight of respective regions in MSCI World Index. Revenues of companies are classified across geographies irrespective
of where the company is listed. For e:g X company might be listed in United States (and thereby be part of US in MSCI World Index) but generates revenues from across the world.
Data as on October 2020.
Refer disclaimers on page 26 06
MSCI World Index – Top 10 constituents across regions

Europe
NESTLE, ASML HLDG,
ROCHE HOLDING GENUSS,
LVMH MOET HENNESSY,
NOVARTIS, ASTRAZENECA,
NOVO NORDISK B, UNILEVER
PLC (GB), SAP, SIEMENS
Japan
TOYOTA MOTOR CORP,
SONY GROUP CORP, KEYENCE
CORP, SOFTBANK GROUP CORP,
RECRUIT HOLDINGS CO,
MITSUBISHI UFJ FIN GRP, TOKYO
ELECTRON, NINTENDO CO,
SHIN-ETSU CHEMICAL CO,
HITACHI
Total 1.5%
Pacific
ex Japan
AIA GROUP,
COMMONWEALTH BANK
OF AUS, BHP GROUP (AU), CSL,
HONGKONG EXCH & CLEARING,
WESTPAC BANKING, NATIONAL
AUSTRALIA BANK, ANZ BANKING
GROUP, WESFARMERS, DBS
GROUP HOLDINGS

USA Total 3.6% Total 1.4% Canada

APPLE, MICROSOFT CORP, SHOPIFY A, ROYAL BANK OF
AMAZON.COM, FACEBOOK CANADA, TORONTO-DOMINION
A, ALPHABET A, ALPHABET C, BANK, ENBRIDGE, CANADIAN
TESLA, NVIDIA, JPMORGAN
MSCI World NATL RAILWAY, BANK NOVA
CHASE & CO, JOHNSON & Number of Constituents 1559 SCOTIA, BROOKFIELD ASSET
JOHNSON MAN A, BANK MONTREAL,
Mkt Cap (USD Billions)
CANADIAN IMPERIAL BANK,
Index 58,861.68 CP RAILWAY
Largest Constituent 2,448.71
Total 17.6% Smallest Constituent 1.63 Total 1.5%
Average Constituent 37.76
Median Constituent 15.31

Source : MSCI World Index (USD) | msci.com. Data as on July 30, 2021

Refer disclaimers on page 26 07

MSCI World Index captures 40 out of top 50 most
Innovative Companies
USA Stock Name Sector Country

Stock Name Sector Stock Name Sector Astrazeneca Healthcare UNITED KINGDOM
Alphabet Abott labs
Novartis
Comcast Johnson & Johnson Healthcare SWITZERLAND
Communication
Services Roche
Disney Merck & Co. Healthcare
Inditex Consumer Discretionary SPAIN
Facebook Moderna
Amazon Pfizer Philips Consumer Discretionary NETHERLANDS

Apple Cisco Fast Retailing

Ebay Dell
Mitsubishi
GE Consumer HP Consumer Discretionary JAPAN
Discretionary Information Sony
Nike IBM
Technolgy
Procter & Gamble Microsoft Toyota
Tesla Oracle Adidas Consumer Discretionary
Coca-Cola Salesforce
Bayer Healthcare
Pespico Consumer GERMANY
Staples SAP
Target
Information Technolgy
Walmart Siemens

Source : The Most Innovative Companies 2021. The serial Innovation Imperative study, Boston Consulting Group. Selected among over 2500 companies
Refer disclaimers on page 26 08
Why Invest
Beyond Domestic
Frontiers?

09
Reasons to go global

Geo diversify Benefit from Low Correlation Hedge against Exclusive

across economies global growth across markets Currency Global themes
and markets opportunities to manage risk Depreciation

10
GDP Growth of countries forming part of MSCI
World Index
MSCI World Index Countries GDP (USD Tn)

70 64.3
60
50 47.3
40.8
40
30 25.6

20 17.8
8.3
10
0
1980 1990 2000 2010 2020 E 2026 E
MSCI World Index Countries GDP (USD Tn)

Source : IMF . Data as on July 30, 2021.

Refer disclaimers on page 26 11
MSCI World Index :
Low Correlation with Domestic Markets
0.42
NIFTY50 TRI
3 Years

0.00 0.10 0.20 0.30 0.40 0.50 0.60 0.70 0.80 0.90 1.00

NIFTY50 TRI 0.40

5 Years

0.00 0.10 0.20 0.30 0.40 0.50 0.60 0.70 0.80 0.90 1.00

NIFTY50 TRI
10 Years 0.40

0.00 0.10 0.20 0.30 0.40 0.50 0.60 0.70 0.80 0.90 1.00

NIFTY50 TRI 0.38

20 Years

0.00 0.10 0.20 0.30 0.40 0.50 0.60 0.70 0.80 0.90 1.00

Source : Morningstar, Based on Daily Rolling Net Returns of MSCI World Index USD and NIFTY50 TRI INR. Data as on July 30, 2021.
Refer disclaimers on page 26
12
Current Valuations
01 02
Price to Earning Price to Earning - Fwd
MSCI USA Index 29.14 MSCI USA Index 22.35

27.01 22.4
NIFTY50 Index NIFTY50 Index^

26.96 19.79
MSCI World Index MSCI World Index

18 20 22 24 26 28 30 18 20 22 24 26 28 30

03 04
@
Price to Book Value ROE
MSCI USA Index 4.9 MSCI USA Index 17.15

NIFTY50 Index 4.12 NIFTY50 Index 13.39

MSCI World Index 3.28 MSCI World Index 13.55

0 1 2 3 4 5 0 5 10 15 20

Source : www.msci.com., ^Kotak Institutional Equities estimates FY 22, NSE, Bloomberg. Data as on July 30, 2021. Price to Earning are based on 12 months trailing
@
ROE as on 31st August, 2021.
Refer disclaimers on page 26
13
Hedge against Currency Depreciation with
Global Exposure

6.0%
5.4%
5.0% 4.8%
4.4%
CAGR Returns %

3.9% 3.7%
4.0% 3.5%
3.5% 3.3% 3.3% 3.3% 3.4%
3.2%
2.8% 3.0%
3.0% 2.6%
2.1% 2.3% 2.2%
2.0% 1.7%
0.9%
1.0%

0.0%
USD (68%) Euro (10%) Yen (7%) GBP (4%) Canadian
Dollars (3%)

3 Year 5 Years 10 Years 20 Years

Note : 5 currencies shown above forms ~ 92% of total exposure in MSCI world Index
Source : Bloomberg(INR Prices). Data as on July 30, 2021.

Refer disclaimers on page 26

14
 Calendar Year MSCI World NR USD NIFTY50 TRI USD

2001 -16.8 -17.8

2002 -19.9 5.9

Calendar Year 2003

2004
33.1
14.7
85.6
18.6

Returns : MSCI World

2005 9.5 33.9
2006 20.1 44.3

Index and NIFTY50

2007 9.0 76.1
2008 -40.7 -60.6
2009 30.0 85.9

Index 2010
2011
11.8
-5.5
24.1
-35.8
2012 15.8 25.5
2013 26.7 -4.3
2014 4.9 30.2
2015 -0.9 -7.5
2016 7.5 1.8
2017 22.4 38.5
2018 -8.7 -4.3
2019 27.7 11.0
2020 15.9 13.5
2021 YTD 15.1 11.7
Source : Morningstar, YTD Returns as on July 30,2021.
NR - Net Returns adjusted to withholding taxes.
Refer disclaimers on page 26
15
 Annualised
CAGR Returns Risk Adjusted Returns
Standard Deviation
Period
MSCI World NIFTY50 MSCI World NIFTY50 MSCI World NIFTY50
NR USD TRI USD NR USD TRI USD NR USD TRI USD

1 Year 35.1% 45.0% 12.8% 18.4% 2.75 2.45

MSCI World Index 3 Years 14.5% 9.9% 19.2% 24.7% 0.76 0.40

Vs NIFTY 50 TRI : 5 Years 14.3% 11.8% 15.7% 20.8% 0.91 0.57

Performance &
7 Years 10.7% 8.8% 15.1% 20.1% 0.71 0.44

10 Years 11.0% 6.8% 15.1% 21.2% 0.73 0.32

Risk Metrics 15 Years 7.9% 9.2% 17.5% 26.1% 0.45 0.35

20 Years 7.4% 13.4% 16.7% 25.5% 0.45 0.53

MSCI World Index (NR USD)

has lower volatility than Source : Morningstar, Data as on July 30,2021. Risk Adjusted Returns = Returns/Annualised Volatility

NIFTY 50 (TRI USD) across

times frames.

Refer disclaimers on page 26

16
MSCI World Index - Rolling Returns Analysis ^

Particulars 1 Year 3 Years 5 Years* 10 Years

Average Returns % 10.5% 10.3% 10.1% 10.3%

Median Returns % 11.9% 12.1% 10.4% 10.1%

Minimum Returns % -36.2% -13.1% -4.1% 1.9%

Standard Deviation 15.8% 8.7% 6.3% 3.5%

Number of observations 5110 4587 4065 2760

Positive Observations 4138 3806 3954 2760

Percentage of Positive Returns 81% 83% 97% 100%

Based on daily Rolling Returns of MSCI World Index NR-INR for the period Jan 01, 2001 to July 30, 2021. For the period considered there
are 5110 1 year returns periods , similarly the number of observations has been obtained for other investment horizons
^Net Returns adjusted to withholding taxes. * * The negative returns instances for 5 years period was on account of Global Financial crisis

Source : Morningstar, HDFC AMC internal calculation.

Refer disclaimers on page 26

17
19
Presenting
HDFC Developed
World Indexes
Fund of Funds

18
HDFC Developed World Indexes Fund of Funds –
Fund Structure
HDFC Developed World Indexes Fund of Funds
Investment in Credit Suisse Index Funds and ETFs

CSIF (IE) MSCI CSIF (Lux)

CSIF (Lux) CSIF (Lux) CSIF (Lux)
USA Blue Equity Pacific
^ Equity Europe^ Equity Japan^ Equity Canada^
UCITS ETF Ex Japan^

67.6% 19.1% 6.6% 3.3% 3.3%

Exchange Index Funds
Traded Fund

For the US, the Irish ETF route is preferable as Irish ETFs benefit from a halved tax rate for US
withholding tax on income.
Source : MSCI World Index (USD) | msci.com. Data as on July 30, 2021
^ The funds described herein are indexed to an MSCI Index

Refer disclaimers on page 26

19
3T Framework - Optimal Fund Structure to
Access Developed Markets

Timing : Fund Taxation : Withholding Transaction Cost :

structured to manage tax efficiency with relief CS Index Funds / ETF
tracking error, arising at source and reclaims endeavor to minimise
due different time based on double transaction cost with
zones across regions taxation treaties (DTT) region wise rebalancing

Further CS Index Funds endeavor for value added replication – chasing every basis point
of performance through corporate actions, index changes and tax efficiencies

Refer disclaimers on page 26

20
Investment Universe of Investing Funds

No. of Index Market

Scheme Benchmark
constituents Cap (in bn $)

CSIF IE MSCI USA Blue

MSCI USA Index 625 39,847
UCITS ETF

CSIF (Lux) Equity Europe MSCI Europe Index 432 11,139

CSIF (Lux) Equity Japan MSCI Japan Index 272 3,879

CSIF (Lux) Equity Pacific

MSCI Pacific ex Japan Index 127 1,963
ex Japan

CSIF (Lux) Equity Canada MSCI Canada Index 91 1,927

Exposure to 1500+ constituents that cover ~ 85% of the free float

–adjusted Market Cap of the respective geography

Source : MSCI World Index (USD) | msci.com. Data as on July 30, 2021
Refer disclaimers on page 26
21
About - Credit Suisse Asset Management
510 ~440 ~2,370 ~1,371
AuM in USD bn investment funds mandates employees

5 Investment hubs around the globe – New York, Zurich, Milan, Hong Kong & Singapore

Global assets under management (AuM) by business Index Solutions - Assets under management

65.7 33.3 APAC and other America’s Businesses, 10% Precious metals
4.1 Investments and Partnerships
7%
6.3 53.6
Equities
r Equities
he 9%
Ot Fixed Income USD
icas

69.2 Balanced Solutions 181.6 bn Fixed Income

USD 54.5
Am e r

Index Solutions Balanced Mandates

509.6 bn 74%
Real Estate

41.3 CH & EMEA

Credit Investment Group

Commodities

Insurance Linked Strategies Key fact

181.6
More than 25 years of experience 42 investment professionals

CH- Switzerland, . EMEA - Europe , Middle East and Africa

Data as of June 30, 2021. CHF to USD rate as of 30th June 2021 is 1.08
Source: Credit Suisse
22
Recap - HDFC Developed World
Indexes Fund of Funds
Through its underlying schemes, it will:

Access 5 Regions and 23 countries

Diversify to mitigate single country risk

Participate in the Developed Markets growth

Invest in 1500+ global heavy weights

Capture 50% of global market cap and 56% of Global GDP

Hedge against Currency depreciation

Happy Investing!
23
Fund Facts
An open ended Fund of Funds scheme investing in units/shares of overseas Index Funds and/or ETFs which will in aggregate
Type of Scheme
track the MSCI World Index

To provide long-term capital appreciation by passively investing in units/shares of overseas Index Funds and/or ETFs which
Investment Objective will in aggregate closely correspond to the MSCI World Index, subject to tracking errors. There is no assurance that the
investment objective of the scheme will be achieved.

Fund Manager Mr Krishan Kumar Daga

Direct Plan
Plans
Regular Plan

Options Under Each Plan: Growth Option Only

During NFO - Purchase: Rs 5,000 and any amount thereafter

Minimum Application
Amount (Under Each Plan/
Option)
During continuous offer period (after scheme re-opens for repurchase and sale):
Purchase: Rs. 5,000/- and any amount thereafter
Additional Purchase: Rs 1,000 and any amount thereafter

Entry Load Not Applicable.

Exit Load of 1.00% is payable if units are redeemed / switched out within 30 days from the date of
allotment.
Load Structure Exit Load
No Exit Load is payable if units are redeemed / switched out after 30 days from the date of allotment.

In case of Systematic Transactions such as SIP, GSIP, STP, Flex STP, Flex SIP, Swing STP, Exit Load, if any,
prevailing on the date of registration / enrolment shall be levied.

Benchmark Index MSCI World Index (Due to time zone difference, benchmark performance will be calculated with a day’s lag)

Note: Investors in the Scheme shall bear the recurring expenses of the Scheme in addition to the expenses of other schemes in which Fund of Funds scheme makes investment
(subject to regulatory limits). 24
Asset Allocation
Under normal circumstance, the asset allocation of the scheme’s portfolio will be as follows

Minimum Allocation Maximum Allocation

Type of Instruments Risk Profile
(% of Total Assets) (% of Total Assets)

Units/Shares of Overseas
Index Funds and/ or Exchange 95 100 High
Traded Funds (ETFs) #

Debt Schemes*, Debt and

Money Market Instruments,
including Tri Party Repo^, 0 5 Low to Medium
Government Securities
and Cash

* Domestic Debt Schemes including Liquid & Overnight Schemes

^ or similar instruments as may be permitted by RBI/SEBI
# The scheme will invest in Units/Shares of Index Funds and/or ETFs such that in aggregate they endeavour to track the MSCI World Index
( The Benchmark Index).
Currently, the proposed Underlying Schemes viz. Overseas Index Funds/ETFs will be CSIF (IE) MSCI USA Blue UCITS ETF, CSIF (Lux) Equity Europe,
CSIF (Lux) Equity Japan, CSIF (Lux) Equity Pacific ex Japan, CSIF (Lux) Equity Canada
Investors may refer to the prospectus of the underlying schemes for more details on them.
For complete details, please refer to Scheme Information Document

Refer disclaimers on page 26

25
Disclaimer & Risk Factors
This presentation dated 6th September, 2021 has been prepared by HDFC Asset Management Company Limited (HDFC AMC) based on internal data, publicly available information and other
sources believed to be reliable. Any calculations made are approximations, meant as guidelines only, which you must confirm before relying on them. The information contained in this
document is for general purposes only and not an investment advice. The document is given in summary form and does not purport to be complete. The document does not have regard to
specific investment objectives, financial situation and the particular needs of any specific person who may receive this document. The information/ data herein alone are not sufficient and
should not be used for the development or implementation of an investment strategy. The statements contained herein are based on our current views and involve known and unknown risks
and uncertainties that could cause actual results, performance or events to differ materially from those expressed or implied in such statements. The information herein is based on the
assumption that disruption due to Covid-19, if any, will be limited in FY22. However, if impact of Covid-19 is significant in FY22 also, various scenarios presented in this slide may not hold good.
Past performance may or may not be sustained in future. Stocks/Sectors referred in the presentation are illustrative and should not be construed as an investment advice or a research report
or a recommended by HDFC Mutual Fund / AMC. The Fund may or may not have any present or future positions in these sectors. HDFC Mutual Fund/AMC is not guaranteeing / offering /
communicating any indicative yield on investments made in the scheme(s). The data/statistics are given to explain general market trends in the securities market, it should not be construed
as any research report/research recommendation. Neither HDFC AMC and HDFC Mutual Fund nor any person connected with them, accepts any liability arising from the use of this document.
The recipient(s) before acting on any information herein should make his/her/their own investigation and seek appropriate professional advice and shall alone be fully responsible / liable for
any decision taken on the basis of information contained herein. In view of individual nature of tax consequences, each investor is advised to consult his / her own professional tax advisor.

MSCI Disclaimer
The Fund is not sponsored, endorsed, sold or promoted by MSCI. All MSCI indexes are owned by MSCI and provided as-is without any warranties. MSCI assumes no liability for or in connection
with the MSCI indexes. Please see complete MSCI disclaimer in https://www.hdfcfund.com/our-products/hdfc-developed-world-indexes-fund-funds

HDFC Developed World Indexes Fund of Funds (An open ended Fund of Funds scheme investing in units/ Riskometer #
shares of Overseas Index Funds and/or ETFs which will in aggregate track the MSCI World Index) is suitable for
investors who are seeking*

• Returns that closely correspond to the performance of the MSCI World Index, subject to tracking error, over long term
• Investment in Units/Shares of Overseas equity Index Funds and/or ETFs.
Investors understand that their principal will be at
*Investors should consult their financial advisers, if in doubt about whether the product is suitable for them. very high risk

# The product labelling assigned during the NFO is based on internal assessment of the scheme characteristics or model portfolio and the same may vary post NFO
when the actual investments are made.
 
For latest Riskometer, investors may refer to the Monthly Portfolios disclosed on the website of the Fund viz. www.hdfcfund.com

MUTUAL FUND INVESTMENTS ARE SUBJECT TO MARKET RISKS, READ ALL SCHEME RELATED DOCUMENTS CAREFULLY. 26
Annexure I
Criteria Developed Markets

Economic Development

Country GNI per capita 25% above the World Bank

Sustainibility of economic development
high income threshold* for 3 consecutive years
Size and Liquidity Requirements
Company size (full market cap)** USD 4,685 mm
Security size (float market cap)** USD 2,343 mm
Security liquidity 20% ATVR
Market Accessibility Criteria
Openness to foreign ownership Very High
Ease of capital inflows/outflows Very High
Efficiency of operational framework Very High
Availibility of investment instrument Unrestricted
Stability of intitutional framework Very High

*High Income threshold : 2019 GNI per capita of USD 12,536 ( World Bank, Atlas Method)
** Minimum in use for the May 2021 Semi-Annual Index Review, updated on a semi-annual basis
ATVR – Annual Traded Value Ratio
Source : msci.com. Data as on July 30, 2021

27