ICICI Prudential Focused Bluechip Equity Fund is an open-ended growth investment plan which was launched on 5th February 2005. The investment objective of this scheme is to offer long-term capital appreciation by primarily investing in equity and equity related instruments of companies which are either listed in New York Stock Exchange (NYSE) or NASDAQ.
Benchmark of ICICI Pru Bluechip Fund
S&P 500 includes 500 leading companies and industries of the U.S. and is the best single gauge for U.S equities market. Since it focuses on the large cap segment of the market, the performance of ICICI Bluechip Fund is benchmarked against S&P 500.
- Asset Size: As of December 2016, the asset size of this scheme is Rs. 9635.47 crores.
- Load Details:
- According to the SEBI circular issued in 2009, entry load is not applicable for this scheme, with effect from 1st August, 2009.
- Exit load is charged according to the following regulations:
- If one opts for redemption or switch out within first 3 months of allotment including the last day of the month, 3% of the applicable NAV will be charged as exit load.
- If one opts for redemption or switch out after 3 months but before 12 months (1 year) from the date of allotment of units, 1% of the applicable NAV will be charged as exit load.
- No exit load will be charged if one opts for redemption or switch out of units after a year.
- Minimum Investment:
- A minimum of Rs. 5000 is required to start an investment in ICICI Prudential Focused Bluechip Equity Fund and in multiples of Rs.1 thereafter for Retail (Growth & Dividend option).
- For institutional option, the minimum application amount starts from Rs. 10 lakhs and in multiples of Rs. 1 thereafter.
- For any additional purchase, Rs. 1000 is the minimum requirement for Retail (Growth & Dividend option) and in multiples of Rs.1 thereafter.
- For institutional option, the minimum additional purchase amount starts from Rs.10,000 and in multiples of Rs. 1 thereafter.
- Fund Manager: Mr. Manish Gunwani
About the Fund Manager: He is the Deputy Chief Investment Officer of equity at the ICICI Prudential AMC since June 2010. He has been managing some of the flagship portfolios since then and the schemes handled by him have shown significant returns.
- AMC: ICICI Prudential Asset Management Company Ltd
- Ranking: ICICI Prudential Focused Bluechip Equity Fund has been ranked 2nd in the large cap category. The rank has remained unchanged since the last quarter which ended on December 2016.
- NAV Disclosure: The Net Asset Value (NAV) of the scheme is calculated and disclosed at the end of every business day and the details of the portfolio will be disclosed by the AMC at least once in every six months. The updates about the NAV are both published on the daily newspaper and updated on the official website of the AMC. Also, the updated info about NAV can be obtained from any of the Customer Service Centers of the ICICI Prudential Asset Management Company.
- Asset Allocation: Under normal circumstances the following would be the usual limits for investments-
- 70% – 100% assets would be invested in equity and equity related securities.
- 0% – 30% assets would be invested in debt and money market related instruments.
- It includes securitized debt of up to 50% of debt portfolio.
- These limits are indicative and may change according to market conditions and profit considerations.
- Equity and equity related securities have a high risk profile while debt and money market instruments have a low to medium risk profile.
- Investment options: The corpus of the scheme is usually invested in the following securities-
- Debt issuances from the Government of India, statutory bodies, state or central government. It may or may not include coupon bearing bonds, treasury bills or zero coupon bonds.
- CDs(Certificate of deposits)
- Indian Securitized Debt
- Non-convertible share of convertible securities
- CPs (Commercial Papers)
- Debt instruments carrying a guarantee issued by Government of India or State Government
- Debt instruments issued by public or private sector undertakings or any corporate entity
*(Statutory bodies may or may not have guarantee from the state or central government)
- SEBI regulations allow investments in the following foreign securities subject to certain prescribed limits:
- ADRs( American Depository Receipts) or GDRs ( Global Depository Receipts) issued by Indian companies
- In the equities of any foreign company which has been listed on the recognized stock exchanges.
- Public offerings at the initial or follow on stage for listing at stock exchanges overseas
- Debt instruments (short term or long term) which has got rating not below investment grade by any registered or accredited credit rating agency.
- The investment options in foreign securities may include but not limited to the above mentioned options.
- Investment Strategies:
- This scheme aims to create long term capital appreciation by investing in equity and equity related securities of about 20 companies. If the total assets under management go beyond Rs. 1000 crores, then the fund manager has the liberty to increase the number of companies to more than 20.
- The scheme tries to seize the best available market opportunities without any sector bias
- The scheme will follow disciplined yet flexible bottom up approach to determine bargain stocks
- Visits and research would be conducted to determine the intrinsic value of the company before pooling funds
- The scheme will majorly focus on large and established companies whose stocks would come with promising potential of long term growth.
- The scheme may also invest in other mutual funds or other schemes from the same Asset Management Company provided that it follows the prevailing regulations and is in conformation with the investment objectives of the scheme. According to the regulations, no investment management fees can be charged for such investments.
- The scheme may also invest in ADRs, GDRs, preference shares and warrants and into debt securities that can be converted into common shares.
- Prior approval from the trustee or the board of AMC is required before entering into any underwriting agreement or obligation.