Mumbai: Diversified funding, conservative risk appetite and years of experience has helped HDFC come through a challenging period in the last fiscal year, chairman Deepak Parekh said in his annual letter to the company's shareholders. He was referring to the liquidity challenges faced by NBFCs and housing finance companies in the second half of the last fiscal.
“We held our ground by consciously staying away from funding what we perceived were riskier assets. Unsurprisingly, in the second half of the year, we were asked what we did differently that enabled us to stay resilient and be the preferred choice in the flight to safety. Perhaps a combination of experience and adhering to our risk appetite held us in good stead,” Parekh told the companys shareholders in his annual letter.
Parekh said that though the company did make a few wrong calls and underestimated some risks HDFC has tried to err on the side of caution particularly in the non-individual lending business.
Parekh expressed optimism that the IndRead More – Source