Investment Policy
ICICI Prudential Value Discovery Fund follows a value investment style based on asset appreciation. This means that stocks whose market price is below the eligible intrinsic value are considered for investment. ICICI Prudential Value Discovery Fund prepares a diversified portfolio of these types of stocks from different sectors.
“Value investing is one of the best ways to build savings over the long term. Value investing is becoming increasingly important in this era where investors are rapidly gaining awareness of what factors create value and why such an investment style should be followed closely. But the point of caution is that value can test one’s patience many times over. So one has to be patient and wait for a long time to get the best results,” ICICI Prudential AMC said in a statement.
Meanwhile, it is preferable to invest for long term in Systematic Investment Plan or SIP style. Especially if past returns have been good. On the other hand, if past returns are low, it is better to invest Lump Sum, ICICI Prudential AMC, ED & CIO, S Narain.
Income from Fund
According to a statement released by ICICI Prudential AMC, since the launch of the Discovery Value Fund (August 16, 2004), SIP investments have grown to Rs 1.59 crore as on July 31, 2023, starting at Rs 10,000 per month. That is, the compound annual growth rate (CAGR) is 17.87 percent. If the same amount had been invested in the Nifty-50 Total Return Index, the compounded annual growth rate would have been just 13.22 percent.
Whereas 19 years ago, a lump sum investment of Rs 10 lakh in ICICI Prudential Value Discovery Fund would have increased its investment value to Rs 3.1 crore by July 2023. This resulted in a compounded annual growth rate of 20 percent.
Fund Manager
Currently ICICI Prudential Value Discovery Fund Managers are Sankaran Narain and Dharmesh Kakkad. Both of them will be managing this fund from January 2021.
The underlying index
The index underlying ICICI Prudential Value Discovery Fund has been shifted from Nifty 500 Value Total Return Index to Nifty 500 Total Return Index. This has been implemented from January 01, 2022.
(Notice: The above information is provided for educational purpose. This article is based on data from a report provided by ICICI Prudential AMC. Mutual fund investment is subject to market fluctuations. You can seek the services of qualified financial experts before investing.)
