My investment in HDFC Bank has completed eight years now. While it does seem long to me but when I see more than 40% of my investment coming in last two years I realise it’s still young.
Did I beat the Nifty 50 Index? For the first 6 years I did. Since last two years, I have been underperforming Nifty 50 Index.
Will I continue investing in HDFC Bank? Yes, at least for next one year.
How is my dividend yield at cost? At 1.6% I would say decent enough.
Investment through the years
Returns
The dividend yield at cost mentioned in the chart above, is yield at the date at which I received the dividends. Another way to look at dividend yield is to calculate it for the fiscal year.
| Fiscal year | Dividend yield at cost |
| 2015-16 | 0.16% |
| 2016-17 | 0.95% |
| 2017-18 | 0.74% |
| 2018-19 | 1.00% |
| 2019-20 | 0.88% |
| 2020-21 | 0.00% |
| 2021-22 | 0.48% |
| 2022-23 | 0.90% |
| 2023-24 * | 1.43% |
To calculate the dividend yield at cost in the above table I use the below formula.
(Total amount of dividends received in a fiscal year ÷ Total amount invested at the end of fiscal year) × 100
Profit
XIRR
