HDFC AMC grants 2,200 options and PSUs under 2025 scheme
HDFC AMC's NRC approved the grant of 1,400 stock options and 800 PSUs, totaling 2,200 equity shares. Options are priced at ₹2,685.30, and PSUs at ₹5. Vesting occurs over four years with specific exercise windows for each instrument type.

*this image is generated using AI for illustrative purposes only.
HDFC Asset Management Company Limited has announced that its Nomination & Remuneration Committee (NRC) approved the grant of stock options and performance-linked units to eligible employees. The approval was granted during a meeting held on May 21, 2026, under the Employees Stock Options and Performance-linked Stock Units Scheme – 2025. The committee sanctioned a total of 2,200 equity shares, comprising 1,400 Employees Stock Options (Options) and 800 Performance-linked Stock Units (PSUs).
The Options have been granted at a price of ₹2,685.30 per Option, which corresponds to the closing price of the company's equity shares on the National Stock Exchange of India Limited on May 20, 2026. The PSUs were granted at ₹5 per PSU, representing the face value of the equity shares. Each Option and PSU, upon exercise, will entitle the holder to one equity share of ₹5 each.
Vesting Schedule
The vesting of these instruments is subject to the fulfilment of conditions specified in the ESOP & PSU Scheme – 2025. The vesting period commences after the expiry of one year from the grant date and extends over four years. The schedule differs slightly between Options and PSUs.
| Year of Vesting | Options (% of vesting) | PSUs (% of vesting) |
|---|---|---|
| 1st Anniversary | 10 | 0 |
| 2nd Anniversary | 20 | 0 |
| 3rd Anniversary | 30 | 30 |
| 4th Anniversary | 40 | 70 |
Exercise Period
Eligible employees must exercise the vested instruments within specific timeframes. All vested Options must be exercised within four years from the date of respective vesting. In contrast, vested PSUs must be exercised within a period of one year from the date of respective vesting. The scheme is compliant with the SEBI (Share Based Employee Benefits and Sweat Equity) Regulations, 2021.
Historical Stock Returns for HDFC AMC
| 1 Day | 5 Days | 1 Month | 6 Months | 1 Year | 5 Years |
|---|---|---|---|---|---|
| +1.61% | +2.87% | -1.43% | +1.07% | +14.51% | +94.00% |
How might the back-weighted PSU vesting schedule (70% in Year 4) impact employee retention rates at HDFC AMC compared to industry peers offering more front-loaded compensation structures?
Given that HDFC AMC's stock price at grant is ₹2,685.30, what performance benchmarks or AUM growth targets are likely tied to the PSU vesting conditions under the ESOP & PSU Scheme – 2025?
Could the relatively modest grant size of 2,200 total units signal a selective, senior-level distribution strategy, and how might HDFC AMC scale this program in future NRC meetings?


































