Investment Objective
ICICI Prudential Value Fund, formerly known as ICICI Prudential Value Discovery Fund, seeks to provide capital appreciation or income by investing in equity and equity related securities, including derivatives and debt and money market instruments.
Investment Strategy
- The fund follows a value investment style and seeks to offer a diversified portfolio of stocks having high growth potential but trading at a discount to their fair/intrinsic value.
- It retains the flexibility to invest across market capitalizations to exploit attractive investment opportunities.
- The fund follows a benchmark agnostic sector allocation approach.
- The scheme also uses the following parameters for stock selection:-
- Financial strength of the company
- Durability of the business model
- Management behavior of the company
- The investment decisions of the scheme are conviction-driven, with substantial positions in high-conviction ideas.
- The portfolio aims to generate returns over the long term by value unlocking.
- When markets show a secular uptrends, the scheme would follow bottom-up approach while maintaining cash call of up to 10%.
- During secular downtrends or range-bound markets, the fund would follow bottom-up approach for selecting quality stocks available at low valuations.
Who Should Invest
- Investors having an investment horizon of 5 years and above with an aim to benefit from a full investment cycle.
- Those seeking long-term wealth creation by investing in fundamentally strong companies, which are undervalued compared to their intrinsic worth and have the potential to grow with the revival in economic growth.
- Those looking to invest in a diversified portfolio and have a higher risk appetite.