Investment Objective of ICICI Prudential Large & Mid Cap Fund
ICICI Prudential Large & Mid Cap Fund seeks to generate long-term capital appreciation for its investors by predominantly investing in equities and equity related instruments of large cap and mid cap companies.
Investment Strategies of ICICI Prudential Large & Mid Cap Fund
- The fund allocates at least 35% of its portfolio in both large cap and mid cap companies.
- The fund’s manager has the discretion to deviate from the benchmarks, i.e. it follows a benchmark agnostic process, depending on its view of the market conditions.
- It seeks to build a portfolio based on the view around financial markets and also on the degree of exposure of companies towards the global or domestic economy.
- The fund manager can also take the tactical allocation to small cap stocks.
- The fund uses a counter-cyclical investment strategy by remaining underweight in those industries to which the larger market holds an elevated exposure.
- The fund uses a blend of both top-down and bottom-up approach for stock selection.
- Through its top-down approach, it seeks to generate alpha through active sectoral rotation.
- Through its bottom-up approach, it focuses on business and economic fundamentals to identify companies having reasonable profitability, scalability and sustainable competitive advantages.
Who Should Invest in ICICI Prudential Large & Mid Cap Fund?
ICICI Prudential Large & Mid Cap Fund is ideal for:
- Investors having investment horizon of at least 5 years and having a very high risk appetite
- Investors seeking exposure to both large and mid cap stocks through a single mutual fund scheme.
- Investors seeking the stability of large caps and higher capital appreciation offered by mid caps.
- Investors seeking exposure to both current market leaders as well the potential future market leaders through the same portfolio.