Tarakki Times English August 2022

\"The information contained herein is solely for private circulation for reading/understanding of registered Mutual Fund Distributors and should not be circulated to investors/prospective investors.\" A COMPILATION OF ICICI PRUDENTIAL AMC MEDIA VIEWS MUMBAI | AUGUST 2022 | PAGES 22 Professional Views A promising future Pg. 2 Investing in the times of uncertainty Pg. 3 Rally looks bit stretched, but markets will head higher if FIIs keep buying Pg. 4 How S Naren’s value play makes this ICICI Prudential fund a winner in choppy markets Pg. 5 IPRU MF Value Discovery Fund turns Rs. 10 lakh into Rs. 2.5 crore in 18 years Pg. 6 Value investing works, will continue to work in the coming decades as well Pg. 7 We are positive on PSU space Nimesh Shah Mutual fund has emerged as one of the most transparent as valuations are attractive MD & CEO investment products in India ICICI Prudential Mutual Fund Pg. 8 ICICI Pru AMC's Anand Shah Business India | August 8-21, 2022 on investment strategy to Over the past few years, market adopt now and the change in regulator SEBI has revitalised alternative financial and physical achieved at a time when only market bias the mutual fund industry with modes of savings. It is heart- 3.36 crore individual PAN holders its comprehensive and credible ening to see that, as an asset invested in mutual funds against Pg.10 Floating rate bonds should be regulatory regime. These mea- class, mutual fund is maturing a total of 43.5 crore individual flying high. But nobody's sures have brought about abso- in India with increasing geo- PAN holders In the country. As buying them. Here's why. lute clarity on the role, rules and graphical spread and broad- awareness levels of mutual regulations of the various stake- based investor participation. funds as a viable long-term Pg.11 Add ‘consumption’ funds to holders in the mutual fund investment product among the portfolio if you can stomach landscape. As a result of all Over the last five years the masses have improved signi- a little risk these developments, mutual industry has created an edge in ficantly, there has been increa- fund has emerged as one of the retail personal finance space sed participation in mutual funds Pg.12 Analyst Views: Why we like the most transparent investment which is reflected in the form of a from the hinterland as sell. An these 3 funds from ICICI Pru products. robust SIP book and increased early sign of this is already visible retail participation. As a conse- in the form of assets from B30 Pg.13 ICICI Prudential Equity & Debt Fund At the same time, the regulatory quence, the industry's assets increasing from `5.56 lakh crore Perfect Balancer regime has paved the way for a under management (AUM) have in June 2021 to `6.12 lakh crore better distribution system, add- soared past the `35 lakh crore In June 2022, representing an Pg.14 ICICI Prudential Large & ressed issues related to investor mark. The AVM of the industry Increase of 10 percent. We Midcap Fund protection and awareness, en- has grown from `6.89 Iakh crore believe this is one trend which is hanced product accessibility as on 30 June, 2012 to `35.64 likely to continue wherein retail Tarakki Corner among the masses, etc, all of Iakh crore as on 30 June, 2022, investment into equities will which together has ensured that which is a more than five-fold increase considerably. Pg.15 Gurmeet Singh Chadha & the mutual fund industry has increase over the past decade. Kshitiz Mahajan emerged as one of the fastest While the road thus far has been Product Innovation growing and competitive seg- encouraging, the future looks The industry over the years has Mutual Fund Distributor ments of the financial system. equally bright. endeavoured to attract every type of investor ranging across Pg.16 Hari Ghanshyam Kamat With increasing investor aware- Given below are the reasons we conservative, moderate and agg- ness, mutual funds have been believe the mutual fund industry ressive, with its wide bouquet of Mutual Fund Distributor successful in attracting investors is poised for the next leg of offerings. We believe in the years given the professional manage- growth: ahead, there will be further Distributor Insights ment and potential to deliver innovation in terms of product better returns relative to tra- Changing Investor Landscape; offerings/features, to meet the Pg.17 The Importance Of Asset ditional investment avenues. retail participation is increasing requirement of investors at large. Allocation Today, investors may be certain Over the past five years, the Innovative features such as their money is in safe hands mutual fund industry has seen a Freedom SIP, Freedom SWP, Pg.18 Use the power of SIP & given the robust disclosure considerable shift In the sources Booster SIP and Booster STP SWP to retire rich requirements from AMCs, risk of investment capital. There has have been introduced. Owing to management frameworks set in been a significant rise in SIP increased awareness, investors Fund Review place, etc. So, it is no surprise inflows as a result of which DIIs today realise that both active and that retail investors have started could effectively counterbalance passive offerings have a place in Pg.19 List of ICICI Prudential to opt for mutual funds over the FII outflows seen over the one's portfolio. In India, there has Funds in Star Track last 10 months. This was been an increased interest in Mutual Fund Contd. on page 2 Pg.20 List of ICICI Prudential Funds in Mint ETW Funds 100 Pg.21 DSIJ Mutual Fund Awards Pg.22 ICICI Prudential Value Discovery Fund

\"The information contained herein is solely for private circulation for reading/understanding of registered Mutual Fund Distributors and should not be circulated to investors/prospective investors.\" 2 TARAKKI TIMES, AUGUST 2022 Interview Investing in the times of uncertainty Business Insider | August 12, 2022 Nimesh Shah divide your holdings among term value. The erratic economic automobiles, will benefit from MD & CEO different asset classes. If you climate has created numerous the strong tailwind the currency ICICI Prudential Mutual Fund want to increase your exposure value pockets in various sectors. currently offers. to debt and equity in this case, By investing in a value-oriented Over the past one year, several choose a dynamically managed scheme, an investor may profit Don’t ignore debt global factors, including geo- asset allocation strategy. A multi- from these. political unrest and spiralling asset category scheme is an With the RBI moving toward rate inflation across developed mar- option if you're looking for If you are a defensive investor normalization, the road for debt kets that led to sharp rate hikes allocation to equity, debt and looking to allocate funds to de- appears to be an interesting one. by global central banks, have had gold. Based on the shifting fensive themes, a dividend yield Investing in floating rate bond an impact on Indian equity market environment, the fund category or a fund focused on funds would be the best course market sentiment. manager will manage the allo- consumption can be considered. of action in such an environment cation in either of the funds so As value is being unlocked, from a short-term standpoint. In spite of this, it is undeniable that the investor can take advan- dividend yield as a strategy that the Indian economy is in a tage of the investment oppor- typically performs well during an This is due to the fact that it is better position fundamentally tunities offered by these asset economic or market recovery built to adjust to rising interest and is more likely to grow classes. phase. At the same time, an rates and coupons that accrue to steadily in the long run. However, economic recovery is underway, investors as the benchmark/ in the short term, global events Another strategy would be to which is causing earnings overall RBI rates rise. The much- may lead to more uncertainty. stagger your investments and growth for stocks with fair needed necessary cushion for Hence, investors need to mode- take advantage of market prices. This results in such the portfolio is provided by rate their return expectations and volatility by using features like stocks being rerated, which floating rate securities, which not invest in equities for short- Booster SIP and Booster STP. An ensures a win-win for dividend- have a positive correlation with term gains. We continue to have investor can use this feature yielding names. rising interest rates. a positive outlook on stocks for to deploy funds based on the medium to long term and the shifting market conditions. Purchasing a consumption- Dynamic bond funds can be expect both the economy and Therefore, if market valuation based fund is another way to play another worthwhile option for markets to deliver. increases, the amount of funds the defensive theme. An investor investors who are thinking about deployed would be minimal, and can consider investing in the making a long-term allocation to Given this mixed backdrop, as and when market valuation consumption theme at any stage debt or who are unsure of where investing in current market turns attractive, the amount of of the market cycle because it is to invest, given the evolving conditions can be challenging for funds deployed would increase. secular in nature. This theme macroeconomic conditions. By a retail investor. However, there The investor benefits from both includes a number of industries, managing duration dynamically, are some basic principles one cost and value averaging as a including automotive, pharma- a dynamic bond fund looks to should be mindful of when result of this feature. ceutical, FMCG, consumer profit from interest rate volatility. investing during such volatile durables, retail, and telecomm- The scheme can also invest in times. Value investing and investing in unications, to name a few. From corporate bonds and G-Secs defensive themes a medium to long term pers- based on the interest rate Investing across asset classes Now, if you are an investor pective, India's consumption scenario, and the fund manager Consider using asset allocation looking to allocate to an equity demand is likely to increase can manage durations of 1 to 10 schemes for lumpsum invest- fund, it would be best to choose steadily due to its expanding years in this case. ment opportunities that will a value-oriented scheme. Value population. Therefore, an invest- was out of favour until Sep- ment in the consumption theme In conclusion, the near future tember 2020, but after the will be a defensive play in the appears uncertain, but that does market recovered from the portfolio if you are an investor not mean investors should stay pandemic-induced correction, looking to stay invested over the on the side lines. Based on your value as a theme made a long term. risk profile and asset allocation powerful comeback. requirements, choose progra- The export theme is interesting mmes that will enable you to take Value themes often make for a from the tactical allocation point full advantage of any market good investment during uncer- of view, in light of the depre- situation. tain times because they focus on ciating Indian rupee. The major investing in sectors that are out exporter industries to the US-viz. of favour but have potential long- Indian IT, pharmaceuticals, and A promising future Contd. from page 1 passive offering since pandemic solution oriented products. management, lower costs and market will continue to grow at a times. New-age investors are improved efficiency and deliver healthy pace on account of the open to funds which are tailored Digitisation & Technology seamless customer experience expected growth of the Indian as per some set rules such as the The future lies in digital inno- without compromising on any of economy, rising consumerism Asset allocation funds, Fund of vation. As a means to reach a them. Technology in times ahead and increased urbanisation. This Funds, smart beta offerings, wider set of investors, the is likely to emerge as a key implies that there is enormous passive multi-asset offering, etc. industry is constantly innovating differentiator in the industry. We growth potential for investment With most investments going in digitalisation and technology. believe the industry in terms of pro-ducts such as mutual funds digital these days, investors are Technology can enable the transactions will move towards in India. increasingly getting comfortable industry to target the three being fully digital in the years with the idea of investing in key parameters such as risk ahead. The domestic financial

\"The information contained herein is solely for private circulation for reading/understanding of registered Mutual Fund Distributors and should not be circulated to investors/prospective investors.\" Interview 3TARAKKI TIMES, AUGUST 2022 Rally looks bit stretched, but markets will head higher if FIIs keep buying The Economic Times | August 22, 2022 There is higher margin of safety extreme greed, the risks are Some of the mid and small caps Sankaran Naren in large-cap stocks as compared higher, and we do not see are trading at premium valua- ED & CIO to mid- and small-caps, said S extreme fear. tions to large caps as there was Naren, chief investment officer no local redemption cycle. While ICICI Prudential Mutual Fund at ICICI Prudential Mutual Fund. You are known for your value FIIs sold, only the large caps In an interview, the fund manager picks. Where do you see value corrected, along with IT names What could happen to markets speaks on why he is bullish on now? from small- and mid-caps. So, if there is a global recession? public sector undertakings there is a larger margin of safety (PSUs) and fixed income. Edited PSUs are one area where in large caps and relatively lower We are of the view that India will excerpts: investors are disinterested. We margin of safety in mid- and not go through a recession. A believe there is value there. We small-cap as this space has not developed world recession will What is your assessment of the need government support in seen a meaningful redemption reduce some of the problems recent bounce in the market? ensuring value is realised there. cycle. that India has, like high oil prices The period just after the election and inflation will reduce subs- This rally was unexpected as the has scope for big reforms. Where should investors focus tantially. Our concerns on the sentiment was largely negative Hence, if one invests in PSUs in fixed income? current account deficit too will and there were too many short with a two-year timeframe (given ease. While equity markets may sellers globally, when the US Fed that elections are in 2024), the Debt has been an unpopular correct, we should not be too made the statement that they investment experience could be asset class for the last 18-20 worried about that as India re- had reached a neutral rate. We positive as these companies months. After October, we mains one of the most structural believe the market is not cheap have a fair amount of value. believe debt will be a much markets. Use this correction as at current levels, but if FIIs keep more interesting asset class, an opportunity to invest for the buying, markets will head higher. Which are the other areas especially after one more rate long term. This rally now looks a bit where money can be made? hike in September. We believe in stretched, but we can be wrong, that phase, the market is likely to Currently, in terms of valuations, if interest rates have reached We have been constructive on be volatile, while debt will Indian equity markets are not the peak. financials as we believe interest become relatively attractive cheap and if a global recession rates are headed higher. Unlike unlike the last two years. This is comes by it will be a good time Is it a bear market rally or has a the 2011-15 period, we do not because the yield to maturity will for people to move some money new bull market begun? have the non-performing loan go to a level where it becomes from debt to equity. (NPL) problem now. So, higher attractive for investors. We feel there will be rate hikes in credit growth is likely and this India and globally. There are could lead to higher lending We think most Indian corpora- periods of time when we can profits without the problem of tions will also start borrowing comfortably say that we are in NPL. The lenders today are in a locally in view of the higher extreme greed or extreme fear. much better position. We are interest rates in global markets. But, at the current juncture we positive on pharma, as it has Given the present market con- are in neither of them; we are done badly post Covid. dition, investors can consider the somewhere in between. At such floating rate fund and dyna- times we use asset allocation Are you comfortable with mid- mic bond or all seasons bond strategies. When we have caps and small-caps? category. We think most Indian corporations will also start borrowing locally in view of the higher interest rates in global markets. Given the present market condition, investors can consider the floating rate fund and dynamic bond or all seasons bond category.

\"The information contained herein is solely for private circulation for reading/understanding of registered Mutual Fund Distributors and should not be circulated to investors/prospective investors.\" 4 TARAKKI TIMES, AUGUST 2022 Interview How S Naren’s value play makes this ICICI Prudential fund a winner in choppy markets The Economic Times | August 25, 2022 Mahendraa Rao, a senior exe- back post 2020, which is here to heme. Naren is a classic but the value diggers were cutive at a renowned multi- stay. Their old clientele is more contrarian fund manager. He spotting great buys. The fund national company, has been a than happy to be invested in looks at investment manage- managers, too, were buying up mutual fund investor for over 25 the fund. ment as a process where greed using available cash in the fund. years. His portfolio consists of and fear form the two extremes. By the end of April 2020, Nifty three equity schemes, a hybrid Distributors admitted that a slew He takes cautious bets against regained 8,000 levels and has scheme, and gold ETF. And he of investors have remained the market as per his processes. since more than doubled to prefers to invest in them via invested in this scheme and He explained this framework to a 17,500-plus currently. systematic investment plans reaped benefits but not all have news channel where he said that (SIPs) as advised by his father. In been convinced to look at value if FIIs are selling aggressively and With work from home becoming fact, Rao's father, a retired as a category. domestic investors are buying the new normal after the government official, redeemed aggressively then there is nei- pandemic, sectors such as tech, his SIP during his son's wedding. \"We have been suggesting ICICI ther greed nor fear where he pharma, and FMCG came in the Rao believes in staying put all the Prudential Value Discovery Fund recommends asset allocation. limelight. This was evident from time, ignoring market hiccups, right from the early days of its However, if FIIs and locals are the scheme's portfolio. The and patience has paid him off. launch, but certain investors are selling, then there is extreme sector inclination during March sceptical as they do not under- fear, and hence, time to buy the 2020 remained towards soft- When asked whether he has stand when to invest in a growth market. ware stocks (18.49%), pharma- found the need to redeem his fund and when to look at value ceuticals (11.71%), power investments, he siad, I only funds,\" said a Pune-based distri- Over the past few months, Naren (7.88%) auto (7.84%), and auto redeem my investments during butor who did not wish to be was looking at stocks where FIIs ancillaries (4.94%) but it changed contingency. Otherwise, I am a named. were big sellers (large caps) and in March 2021 when the baton long-term investor in all my After the 2020 market crash, those where domestic investors was passed on to Naren again. schemes.\" value strategy has gained mo- bought aggressively (small He continued to keep software mentum, outperforming growth caps). So, his trade was simply to (16.63%) and pharmaceuticals One such scheme where Rao strategy. As on July 29, 2022, on buy what FIIs were selling. This (11.95%) as the top most has invested is ICICI Prudential a 3-year returns basis the MSCI included banking and Indian IT - a sectors, but also included stocks Value Discovery Fund. Rao India Value Index has delivered call that worked out. from banking (9.85%), auto started an SIP in the scheme around 18.5% CAGR returns (8.75%) and power sectors since the NFO in August 2004. In compared to 14.6% CAGR Take for example the IT sector. (7.73%). 18 years, his investments have returns given by the MSCI India Since January Infosys is down multiplied several times, how- Growth Index. 19%. From April 2020 to April In March 2020 and 2021, Sun ever he refrained from sharing 2022, the stock was up 220% but Pharmaceuticals, M&M, Infosys, any specific figure. The fund's top five picks com- is down 17% since then at Bharti Airtel, and ITC remained prise stocks such as ONGC with INR1,538. Naren feels there among the top 5 picks in the With value investing being suited 8.52% assets invested (the only could be little downside from scheme. for the long term, SIP emerges as stock in oil sector), followed by here for Indian IT but then FIIs are a good investment pathway. In Sun Pharmaceutical (8.04%), back into action, buying what There was a sector reshuffle in terms of ICICI Prudential Value Bharti Airtel (7.17%), NTPC they had sold. Naren, in general, March 2022 amid high interest Discovery Fund's SIP perfor- (6.18%) and Infosys (5.49%). is taking a macro call on most of rates, rising oil prices and a world mance, a back of the envelope Besides Infosys, the other three his top positions, especially in going through war. Essential calculation shows that a monthly are classic value stocks. In one the value discovery fund. Last industries like coal, energy investment of INR10,000 since year, NTPC is up 39% at INR158, year he took a call to get out of and metals suddenly became its inception would amount to a while Infosys is down 10% at commodities and get into the important. Industries, which total investment of INR21.6 lakh, INR1,542. commodity-user industry. He were once ignored, made a which would have grown to sold Tata Steel and bought Tata comeback. INR1.2 crore as of July 31, 2022, What worked for the fund motors. Such then selling those at a CAGR of 17.3%. The fund's AUM (asset under talks and again looking for Banking replaced software in management) has risen from bargains.\" March 2022 to become the About the fund INR500 crore to almost topmost sector with 12.79% At total assets of INR24,700 INR25,000 crore as of July 31, The Nifty 500 Value 50 index has exposure to bank stocks. This crore, ICICI Prudential Value 2022. Twice in 18 years the returned 175 percent since April was followed by pharma- Discovery Fund is the 14th scheme witnessed change of 2020 as compared to 155 for the ceuticals (11.33%), power largest equity fund in the Indian fund managers. Since inception value discovery fund. (8.12%), telecom (8.11%), and oil market. The fund has had a roller- (August 2004), the value (7.94%). coaster ride where 2020 turned discovery fund was managed by A timely portfolio rejig out to be a landmark year with S Naren, currently the executive The Covid-19-induced global Value vs. growth the fund returning 23% when the director and CIO, ICICI Prudential equity crash in March-April 2020 Over the last few years, value as Nifty 50 was up 14.17%. AMC. sent the Nifty tumbling to nearly a style has gone through a lot of half at 7,500+ levels from its change and many old-school The fund has been on an uptrend From February 2011 onwards, February 2020 highs of 14,500. value investors went for quality since, and distributors have Mrinal Singh managed the fund. The Bank Nifty had fallen by a stocks, where high-ROE com- convinced investors that the Singh quit in January 2021 and larger percentage. There was panies with high PE were consi- classic value-investment style is again Naren handled the sc- panic of further crash all around, dered as value.

\"The information contained herein is solely for private circulation for reading/understanding of registered Mutual Fund Distributors and should not be circulated to investors/prospective investors.\" Interview 5TARAKKI TIMES, AUGUST 2022 Naren feels value as a strategy of favour but as markets became turned around in April 2020 as “Currently, we have witnessed a may not work in all phases of a expensive value was back in value investing was back in valuation compression / correc- market cycle. He says, \"What focus and has since then deli- vogue in the uncertain market. A tion in many high PE growth investors need to remember is vered encouraging returns. The two-year-plus ride of the Nifty momentum stocks. Also, the that value investing will deliver gurus globally, like Benjamin from April 2020 till August 2022, demand and earnings in many over the long term for a patient Graham, Warren Buffett, Peter doubling in value is what value value stocks have been strong. investor. Global experience and Lynch, Joel Greenblatt, amongst pickers' dreams are made of. The All of this put together could the journey of ICICI Prudential others, have been advocating turnaround is quite evident from have led the underperformance Value Discovery Fund has taught value investing as the best way the scheme's returns. of the growth strategy and us first hand that the approach to build wealth.\" outperformance of the value tends to deliver sizeable returns Despite frothy markets, ICICI strategy in the recent times,\" in the long run. The Nifty 500 Value 50 Index has Prudential Value Discovery Fund said Rushabh Desai, founder, returned 175% since April 2020 has managed to deliver 17% Rupee with Rushabh Investment Furthermore, value investing at a as compared to 155% for the return over one-year period and Services. time when market is elevated value discovery fund. 25.32% over three years. Not tends to do well as value focuses Value as a style had come back only that, the fund has outper- \"But it is very important for on investing in sectors that are into power and the fund cap- formed its peers that, the fund investors to know that value and out of favour but offer long-term tured it in the best form. As of has outperformed its peers and growth will have their own potential.\" now there is no fund based on category benchmark across cycles (growth being little more the Nifty 500 Value 50 Index. timeframes by a huge margin. consistent),\" Desai added. He further adds, \"Up until Since inception, the scheme has September 2020, value was out The fortunes of the scheme fetched almost 20% returns. Nifty vs. ICICI Prudential Value Discovery Fund Top 10 holdings of ICICI Prudential Value Discovery Fund 180 160 Aug Dec Apr Aug Dec Apr Aug Stocks % to NAV Stocks % to NAV 140 2020 2020 2021 2021 2021 2022 2022 ONGC 8.52 ICICI Bank 5.46 120 Sun Pharma 8.04 Hindalco 3.06 100 Bharti Airtel 7.87 HDFC Bank 2.57 80 NTPC 6.18 Axis Bank 2.43 60 Infosys 5.49 HCL Technologies 2.26 40 20 0 Apr 2020 Value Discovery Nifty 50 Data as on July 31, 2022 Source: Fund Factsheet All figures in percent Source: AMFI India;NSE IPRU MF Value Discovery Fund turns Rs. 10 lakh into Rs. 2.5 crore in 18 years Mint | August 17, 2022 ICICI Prudential Value Discovery management (AUM) of `24,694 the good things we have noticed “Value as a strategy may not Fund, which recently completed crore, which accounts for nearly over the years is that value work in all phases of a market 18 years, has turned a lump sum 30% of the total AUM in the value investing has been gaining cycle. What investors need to investment of `10 lakh at the category. According to ICICI traction among Indian investors. remember is that value investing time of inception into `2.5 crore, Prudential mutual Fund, this Investors are increasingly be- will deliver over the long term for showing a compounded annual indicates significant investor coming aware of what cons- a patient investor. Global expe- growth rate (CAGR) of 19.7%. trust of value investors in the titutes value and why it is rience and the journey of ICICI scheme. important and needs to be Prudential Value Discovery Fund A similar investment in the Nifty followed diligently. Overseas, has taught us first hand that the 50 index would have yielded a In terms of systematic invest- value investing is an established approach tends to deliver size- CAGR of 15.6% at `1.3 crore. ment plan (SIP) performance, a and well-explored concept. With able returns in the long run. monthly investment of `10,000 Indians having a natural disposi- Furthermore, value investing at a ICICI Prudential Value Discovery via SIP since the inception, which tion to see value in everything time when market is elevated Fund, which was launched on 16 would amount to a total invest- one purchases, we believe value tends to do well as value focuses August 2004, invests in a ment of `21.6 lakh, would have investing will become more and on investing in sectors which are diversified portfolio of stocks grown to `1.2 crore as of 31 July more entrenched in our lives out of favour but offer long term that have attractive valuations 2022, a CAGR of 17.3%. sooner than later.\" potential,\" said S Naren, ED & but are quoting at a discount to CIO, ICICI Prudential AMC. their intrinsic value. Nimesh Shah, managing director Fund managers of the scheme & chief executive officer of ICICI are Dharmesh Kakkad and S The scheme has assets under Prudential AMC, said, “One of Naren.

\"The information contained herein is solely for private circulation for reading/understanding of registered Mutual Fund Distributors and should not be circulated to investors/prospective investors.\" 6 TARAKKI TIMES, AUGUST 2022 Interview Value investing works, will continue to work in the coming decades as well The Economic Times | September 01, 2022 ICICI Prudential Value Discovery Value investing was not so out of favour but offer long term Sankaran Naren Fund has completed 18 years. huge 18 years ago - what potential. ED & CIO The iconic value fund in the prompted the launch of the country has staged a remarkable scheme and what has been the The scheme made a spec- ICICI Prudential Mutual Fund comeback in the last two years experience over the years? tacular comeback in the last after facing trying times between two and half years. What was The scheme is investing more 2017 and 2019, when every Globally, value investing has your strategy? in energy, healthcare, commu- investing principle, including been huge all this while. Only nication vis-a-vis the category. value investing, was severely because of the perception that in From a fund perspective, there What's the thought process? tested in the market. a growth market value investing has been no change in strategy. It will not work, there was a is just that value investing based We have invested more in Shivani Bazaz of ETMutualFunds problem; otherwise it has always calls played out post the US Fed energy, healthcare and com- reached out to S Naren, ED & been huge. Our experience has embarked on quantitative tight- munication because the lessons CIO, ICICI Prudential AMC, to shown that value investing ening and interest rates globally learned from 2020 was pan- find out his thoughts. “ICICI works and will continue to work started to edge higher. demic showed the importance of Prudential Value Discovery Fund in the coming decades as well. health care, work from home has an AUM of Rs 24,694 crore Old value investing won’t work showed the importance of which accounts for nearly 30% In the meanwhile, investors have in the new world- one hear it communications and the recent of the total AUM in the value to be patient with their invest- often in mutual fund circles. Russia-Ukraine conflict showed category,” says Naren. “This ments as value investing may not What's your take on it? the importance of energy. So, it is indicates significant investor work well in all phases of the the events of the recent past and trust of value investors in the market. For those investors who If you look at the 18-year period undervaluation and the impor- scheme. With value investing are ready to stay invested with a of ICICI Prudential’s value tance of these sectors has being suited for long-term long-term view, the experience investing based offering, we see resulted in our investing more in investing, SIP emerges as a good can be very rewarding. that value investing does work these sectors. investment pathway.” Edited over the long-term. However, it is interview. Value theme was severely true that value may not work in Are you satisfied with how the tested in the last few years. shorter periods of time. fund has done over the last ICICI Prudential Value Even the Value Discovery Fund almost two decades? Are there Discovery Fund has completed went through a rough patch The scheme is closely identified any big misses you regret? 18 years. It must have been a between 2017-19. How do you with you - S Naren, the memorable journey. What are view the period now? contrarian and value investor - In our opinion, the regret has your thoughts? even though it was managed been that people sometimes Value theme has been tested at by another fund manager for a have associated value investing The 18-year journey of the fund various points in time. It was long period. How much your with buying junk. Such investors and its investor experience has tested from May 2006 to January investment style influenced the practised value investing by proven that even in a growth 2008, later it has been tested scheme? buying sectors which are funda- market value investing has a role between 2017 to 2019. A similar mentally weak and may never to a role to play and we are very trend will continue to play out Value investing is something we recover as well. happy about it. whenever there is extreme bull believe as a house and irres- market in any particular segment pective of the fund manager, Somehow people associate India is perceived as a growth of the market. value investing will deliver value investing with buying market and consequently, peo- returns in the long run for long cheap stocks, but it is actually ple believe that value inves- Example: Infrastructure in 2007, term investors. buying stocks cheaper than their ting does not have much of a role small and midcap in 2017. In the intrinsic value. Most investors in a growth market like India. US, technology sector had a big You always say investors missed this point when they We are of the view that value rally and that lasted longer should get into the scheme invested in fundamentally weak investing does not depend on period. So, globally, in America only if they understand value NBFCs, real estate names which whether it is a growth market or value investing had a tougher investing. Do you still maintain were trading below their intrinsic otherwise. period than in India. the stance? If you were to value. simplify it, who should invest in ICICI Prudential Value Discovery Furthermore, valuation wise value funds and who should Fund has an AUM of Rs 24,694 Indian equities is not cheap. Up stay away? crore which accounts for nearly until September 2020, value was 30% of the total AUM in the value out of favour but as markets We believe that it is not the category. This indicates signi- became expensive value was person who understands value ficant investor trust of value back in focus and has since then investing who has to get in; it is investors in the scheme. With delivered encouraging returns. the person who is willing to stay value investing being suited Value investing typically tends to invested for the long term that for long-term investing, SIP do well at a time when market is has to invest. This is because emerges as a good investment elevated, as value focuses on value investing works in the long pathway. investing in sectors which are run.

\"The information contained herein is solely for private circulation for reading/understanding of registered Mutual Fund Distributors and should not be circulated to investors/prospective investors.\" Interview 7TARAKKI TIMES, AUGUST 2022 We are positive on PSU space as valuations are attractive Business Standard | July 27, 2022 Anish Tawakley likely to pick-up and bank balance there other pockets that offer critical for four reasons. First, it Senior Fund Manager sheets are in good shape. So, value? provides employment to ICICI Prudential Mutual Fund from a medium to long term unskilled labour, second, as perspective, both, the economy There is value in selective more people have access to Valuations are not cheap and the and market are likely to deliver. pockets within the PSU universe. cheap urban housing, it lowers near-term outlook remains As a fund house we are positive the cost of labour for the uncertain for equities, says Between large, mid-and small- on this space because valuations manufacturing sector. Third, ANISH TAWAKLEY, head of caps, which offers better risk- here have been attractive for a once people have houses, it research and senior fund mana- reward? while now. In these stocks, there creates demand for manu- ger, ICICI Prudential Mutual is better margin of safety, most factured goods. And finally Fund. In an interview with We prefer large caps at this of these names offer better urbanisation makes it easier to Samie Modak, he spells out stage. Post the FPI sell-off, large dividend yield than broader deliver social services (education the investment themes that cap valuation has become markets and many of the sectors and healthcare) to people. So it investors can consider. Edited reasonable. in the PSU space are witnessing has huge social benefits as well. excerpts: a change in cycle due to In the coming years, urbanisation How does one play the market? economic activity picking-up or will lead manufacturing in the Do current valuations offer Is it a good time to deploy a dedicated focus due to geo- economy. In effect, cheap more comfort? Or changing large lump sum? political tension. housing will create demand for dynamics, especially on the manufactured goods and will interest rate front, call for Given the near-term uncertainty, What are the key themes that make available low-cost labour further de-rating? it is better to stagger invest- you see playing out over the for manufacturing to be com- ments through a systematic next 2-3 years? petitive. This has been the case Even though the market has investment plan (SIP) if an with China as well. The role of come off highs, Indian equity, investor is considering investing If the economy does well over urbanisation in China manu- valuation wise, is still not in the into equities. Another option for the next 2-3 years, domestic facturing is critical as over the cheap zone. Further, we believe lumpsum is to invest in a cyclicals are likely to do well. past 40 years, the urban popu- in the near term there will be dynamically-managed asset These would include deposit rich lation in China has gone up 4.5 uncertainty, largely owing to the allocation scheme. Such a banks (which can capitalise on times (from 200 million to 900 volatility in crude oil prices and scheme will deploy money in a credit growth), industrial, capital million) while the rural population geo-political developments. So, manner wherein the investor can goods and automobiles. has declined from 800 million to investors should moderate their take advantage of equity market 500 million. near-term return expectations volatility. Meanwhile, FMCG would be a and keep away from investing for space to avoid since these What's in store for banking short term gains. But, from a 3 to Was October 2021 or January companies operate at very high stocks? They have under- 5-year horizon, an investor can 2022 a good time to shed some margins and have the potential to performed despite the Street start to build positions. beta as valuations had reached mean revert. Also, some of the being bullish on this space. all-time high levels? unsecured consumer lending Since a bulk of clean-up in the space looks vulnerable given the We continue to remain positive economy has already occurred in The equity allocation in our asset strong growth seen over the last on deposit-rich banks with credit the form of correction in real allocation scheme (BAF) during few years. growth gathering space. In an estate prices to a point where we October 2021 and January 2022 environment where rates were believe genuine demand could was 35.3 per cent and 32.8 Is housing one such theme? low and the system was flush emerge, corporate capex cycle is per cent respectively. As equi- Which allied sectors will with liquidity, deposit franchises ties corrected in subsequent benefit? did not come into play. However, months, we have increased as liquidity tightens and rates equity exposure to 38.5 per cent It is imperative that urbanisation increase, the earnings power of as of June 2022. and housing deliver for the Indian strong deposit franchises will economy to do well. No country become evident. At the same Value as a theme has gained has grown its per capita from time, one should be mindful of traction. Is there more steam $1,500 to $5,000 without the potential negative develop- left? The value screener urbanising. The role of the ments in the consumer unse- invariably throws public sector urbanising housing sector is cured lending space. undertakings (PSU) stocks. Are Investors should moderate their near-term return expectations and keep away from investing for short term gains.

\"The information contained herein is solely for private circulation for reading/understanding of registered Mutual Fund Distributors and should not be circulated to investors/prospective investors.\" 8 TARAKKI TIMES, AUGUST 2022 Interview ICICI Pru AMC's Anand Shah on investment strategy to adopt now and the change in market bias The Economic Times | July 27, 2022 The earnings season that has gaining market share and getting But manufacturing, B2B busi- Anand Shah gone by so far, has been really the products right. But even nesses faced competition from Head - PMS & AIF Investments bad when it comes to IT. Now cyclically, as manufacturing China. China was exporting the conversation is around picks up and infrastructure deflation to the world and to that ICICI Prudential Mutual Fund whether IT will be replaced by demand picks up, we are seeing extent, from safety pins to banking as the numero uno quite a few resolutions. boilers, everything being manu- estic markets and that is the sector. What is your view? factured in this country faced change I am seeing. In the last few years, banks have Chinese competition and that It has been a tug-of-war between provided for NPAs in manufac- came with a lot of margin So would it be back to normal? macros and micros for a while. turing and infrastructure assets pressures and profit. My belief is that we will see more Macro has been challenging. ever since the asset quality earnings growth rate and impro- There has been FII selling. review in June of 2015-16. But Actually losses for many manu- vement in return on equities in Fighting the inflation battle, there more recently, we are seeing facturing industries was actually manufacturing, which should have been rate hikes in the US resolutions across banking and good news for B2C businesses. drive the multiples in that and everywhere else. infra that while they might not For B2C businesses, the raw segment also. recover the entire 100%, they material coming in from China But at the micro level, we are have provided 100% for this. was very cheap and helped the What is going on in the newly seeing quite a few surprises pricing power. So, by virtue of listed internet space? Zomato as far as earnings growth is Both structurally and cyclically, you owning the brand, you is now at Rs 40. We know what concerned. At some point of we believe the banks' earnings owned the consumer. is happening with the others time, macros will settle. The rate should do very well as they have and the pain point for investors hikes are going on. The price been doing very badly for the last That is shifting now and that is at large. Yes, most of them are movement in commodities over two years. where in times to come, we will seeing this big shake off the last one to two months see more balanced profit growth because that one-year lock-in already shows early signs of When we talk about the overall rate, not only in B2C companies period is ending for most inflation softening. So to that market, how is the construct? which will continue to do well, investors. How are you reading extent, we believe micro will take For two years, we saw albeit at a lower base, as they into what is going on here? over. We will have to look more everything delivering profits have input inflation which they bottom up at businesses, which and good news. But now do cannot pass on to the consumers There are both fundamental and have the tailwind of earnings and you think polarisation is back easily. technical reasons if you ask me. I where the valuations are more and only companies that show will come to fundamentals first comfortable. consistent growth, will In manufacturing, whatever has and then technical. Funda- continue to lead valuations? survived the last 10-15 years of mentally, as the interest rates We have been doing what we are brutal competition, is looking up move up, the cost of money goes best at, which is bottom up stock That has always been the case. now. Despite the extreme macro up. picking. That is working and that Companies which are able to difficulty of the last two years, should continue to work for a show profit growth rate have the earnings growth rate con- Previously, when we were living while. been doing well but that is where tinues to be very strong. in a zero interest rate environ- we have been looking at the ment, the profit maybe in the You folks are bullish on markets very differently. We So while many consumer facing second year from now and in the manufacturing, auto as well as believe there has been a shift businesses are struggling on 10th year from now they were metals. What about banks? change in the markets. margins now, many manu- facturing businesses are actually Banks are something we are very Prior to December of 2019, the expanding margins and ex- constructive on and should also businesses dealing with con- panding growth beyond India do well cyclically as well sumers - the B2C businesses also. These companies have structurally. We like private were the only ones which could done a lot of hard work to diver- sector banks which have been show consistent profits. sify their business beyond dom- My belief is that we will see more earnings growth rate and improvement in return on equities in manufacturing, which should drive the multiples in that segment also.

\"The information contained herein is solely for private circulation for reading/understanding of registered Mutual Fund Distributors and should not be circulated to investors/prospective investors.\" Interview 9TARAKKI TIMES, AUGUST 2022 not that different in the DCF reflects a dearth of capital for flows in the future growth Even now people are looking at (discounted cash flow) context. loss-making start-ups and that is prospects. alternatives to Europe because But when the interest rates start another technical reason. that has a huge energy cost and moving up and also the risk on For a retail investor, it makes it so to that extent, the manufacturing those cash flows move up, the Now there will be haves and have much more difficult, especially if in northern Europe, Russia, discounted cash flows become nots. The one which would need the business is loss making Ukraine are challenged. miniscule for those which are out equity to survive and the ones today and is expected to make five years, 10 years, 15 years. which do not need incremental profits in the future. That is We believe India has been more equity to survive and that is why where it becomes much riskier prepared this time around versus That has been a challenge for we are seeing very differential for retail investors. Otherwise last time around. We have all the growth companies, price movement among the loss- also, markets over time have already seen a lot of manu- especially the start-ups which making start-ups versus the become more efficient. facturing moving out of China are making losses today and are profitable start-ups. into Vietnam, southeast Asia, expected to make cash flows A good growth business, good into Bangladesh and Burma. only in the 10th or the 15th So that is the key difference. One ROE business is expensive. So it year. But then it is more brutal needs to be very careful with any is not going to get easier for retail India has not really benefited in than otherwise the growth business, which needs a lot of investors to evaluate individual the past but this time we are companies. growth. But the growth is stocks. Only with start-ups, it is ready. We are not ready only for challenged in at least the near much more difficult, given we do commodity manufacturing but So that is the fundamental term. The other one which needs not have a history of analysing even with PLI and other sche- aspect and that is reflected in equity, is also not easily available such businesses in the past. mes, we will be more than Nasdaq and globally in all the if one is a loss-making business ready for even value added industries which have negative today. How did you use the big manufacturing. cash flows today but are ex- corrections that we saw pected to have positive cash So should one avoid the space recently? We have been scanning markets flows into the future where the for now? and looking at businesses which rising interest rates is the pain We have been digging deeper. have been surviving the manu- point. That applies to all growth No, the key challenge here is if We got two quarters' results. We facturing competition. But now it companies including start-ups. you do not have a long history re-evaluated our businesses is the time to not only survive but with these companies, espe- further; we analysed the moats make the most of the cash flows The start-ups are hurt more cially for retail investors, it is of the businesses which is very and the equity available to grow because they would need equity. very difficult to value these important because tough times their business. That is the technical reason. For businesses. come when the moat as the companies which are getting sustainable competitive advan- Through this correction, we got capital at will at higher valuations I am not saying that we have tage of businesses becomes so further opportunity to evaluate given that they were able to large research teams and re- much more important. our businesses within the manu- demonstrate growth, that has search analysts dedicated to facturing space and add more to also changed now. The correc- understanding these busi- We continue to like the manu- our portfolios. tion in the global startup indus- nesses, evaluating these busi- facturing space and so China try in Nasdaq and others also nesses and analysing their cash plus one strategy.

\"The information contained herein is solely for private circulation for reading/understanding of registered Mutual Fund Distributors and should not be circulated to investors/prospective investors.\" 10 TARAKKI TIMES, AUGUST 2022 Fund Review Floating rate bonds should be flying high. But nobody's buying them. Here's why. The Economic Times | August 29, 2022 Over the course of three securities, including bonds, losing sight of growth. bonds and bought back short monetary policies, as the issued by the government. The maturity fixed rate bonds from Reserve Bank of India hiked returns are linked to the Floating rate bonds are looking the market. interest rates, mutual fund benchmark rate. very attractive right now because houses became gung-ho about the yield available on these \"There was large investor de- floating rate funds. When interest rates rise, the bonds is higher than long term mand for these bonds espe-cially returns on these investments bonds. from the banking side which The central bank started its rate also increase. Therefore, they started to wane off that is why hike cycle in May with a 40 bps are an effective way to beat Yields are expected to remain we are seeing some drawdown rate hike, followed by another 50 interest rate risk. elevated and floating rate sche- in the bond prices,\" he adds. bps hike in June. Even in August mes would help in limiting down- monetary policy, RBI hiked the How do floating rate bonds side in such a situation. Last year, the coupon on these repo rate to 5.4%, taking the work in the first place? bonds was closer to 4.85% to cumulative increase to 140 bps. Why are floating rate bonds 5% (where the T-bill itself was at What are floating rate bonds? trading down? 4% and not to forget the spread The fund industry has started Floating rate bonds are bonds over it). promoting floating rate funds that have a variable coupon, Floating rate bond funds are since in a rising interest rate equal to a money market refe- linked to six-month treasury bills. The current coupon on these regime floating rate bonds are rence rate, like MIBOR or T-bill, Six-month treasury bill interest bonds, given that six-month T- supposed to do very well, but plus a fixed quoted spread. rates are zooming. So logically, bills have gone up to 5.90%-6%, surprisingly they are not. These bonds aim to hedge these floating rate bonds should are trading at 7.35%. According against rising interest rate risk. also go up, instead these bonds to fund managers, 7.35% yield is It has been somewhat of a are trading down. higher than 10-year government shocker. These bonds offer a coupon tied securities that now trades at to a benchmark rate like MIBOR Manish Banthia, senior fund 7.30%. Typically, when interest rates go or T-Bill which resets periodically manager, ICICI Prudential Asset up, long duration funds see their to factor changes to the interest Management explains that when In the last one year, floating rate yields go up as their prices go rate. one looks at buying floating rate funds have given returns in the down to adjust to the new bonds they consider two para- range of 2.96%-4.36%. interest rates. Prices of typical fixed rate bonds meters - interest rate cycle and have an inverse relationship with what kind of spread one gets on Should investors still look at On the other hand, investors go changes in interest rates - as these bonds. floating rate funds? for short-term funds or floater interest rates rise, prices of funds with short duration where bonds fall and vice versa. \"In last September-October, a lot Fund managers recommend that they are held till maturity. of participants in the market floating rate bonds are cheap Normally, movement in interest Since floater bonds have a fixed started to buy floating rate bonds right now and so floating rate rates doesn't affect these funds reset period or floating com- very aggressively and bought it funds are the right product to the way it affects long-dated ponent, in a rising interest rate at a premium price. Suddenly, look at for investments. funds. rise it provides the necessary RBI announced a large switch of cushion to the portfolio. floating rate bonds in the market \"We are not in a scenario where Floating rate schemes are open- for about INR40,000- INR50,000 the long end of the curve is giving ended debt schemes predo- RBI is intensifying its battle crore. So, there was a sudden any excess return. The G-sec minantly investing in floating rate against high inflation without large supply at a very aggressive right now trades at 7.30%, why price,\" he says. would I get into that when a bank Performance of floating rate funds one-year CD (certificates of over five years Switch of floating rate bonds deposit) is available for 6.75%- means RBI issued floating rate 6.80% kind of levels. There is no 8.60 Illustration of a three-year floating rate bond 7.58 Timeline 6 month, T-bill Spread Effective coupon 6.92 6.86 yields (%) (%) rate (%) 5.49 Issue date 3.5 1.2 4.7 4.61 Y1H2 3.75 1.2 4.95 3.81 3.6 Y2H1 4 1.2 5.2 2.84 Y2H2 4.25 1.2 5.45 2.06 Y3H1 4.5 1.2 5.7 Y3H2 4.75 1.2 5.95 2018 2019 2020 2021 YTD Note: The above illustration considers a 3-year floating rate bond priced at 6 months treasury bill + Category Index 1.2% spread as coupon with a six-month reset frequency. The above representation is for illustration Values in percent purposes only and actual result may vary. The spread is a function of several factors including the Source: Morningstar credit spread of the issuer to the outlook on interest rates and demand and supply condition. Source: ICICI Prudential Mutual Fund

\"The information contained herein is solely for private circulation for reading/understanding of registered Mutual Fund Distributors and should not be circulated to investors/prospective investors.\" Fund Review 11TARAKKI TIMES, AUGUST 2022 value in buying a long duration among short-duration funds, According to most fund mana- reduction in interest rates any- asset,\" says a fund manager from floating rate funds are the best gers, India is at the expansion time soon. It's a great product to a private fund house. funds to go for at this point in side of the business cycle and be in. time as floating rate securities private sector investment is yet The fund manager also says that look most attractive. to kick in. Also, with another couple of rounds of rate hikes expected by So, the late cycle of the economy the end of FY22-FY23 across the is still at least two and a half world, the benchmark lending years from where we are today. rate is set to move higher. The managers say that at pre- sent, we are at a central point, As is by its nature, the bonds the RBI will hike more to address instruments in floating rate fund some of the late cycle issues like portfolios will also have their inflation and excess demand. attached interest rate reset in line with rising benchmark rates. Most industry experts believe that there will be a cycle where Thus, the returns on floating rate the economy will roll over into a mutual fund schemes are set slowdown, but all of that is pretty to move higher in the current far away. financial year or till the time RBI keeps raising the benchmark So, from that perspective, floa- rates. ting rate bonds are good as fund managers do not foresee any Add ‘consumption’ funds to portfolio if you can stomach a little risk The Economic Times | August 04, 2022 Investors with an appetite for economy opened up after Covid- prices to the end consumer. money to either save or spend, risk and looking to add a 19. \"Despite commodity prices which naturally leads to a growth thematic bet to their equity cooling off, we are seeing many in consumption. Over 500 million mutual fund portfolio can con- Rising inflation, a big worry for companies not passing on the people crossing the $2,000 per sider the consumption theme. consumption, is on the backseat benefit to end-consumers, which capita income mark is expected Lower future inflation, higher with commodities cooling off shows margins are on the rise,\" to drive a whole new cycle in dis- incomes paced by IT jobs, rapid and oil prices coming off their said Rupesh Bhansali, head- cretionary and non-discretionary urbanisation and premiumisation highs. Retail inflation stood at distribution at GEPL Capital. consumption in India,\" said S are likely to drive domestic 7.01% in June, down from Naren, chief investment officer consumption in the coming 7.04% in May and 7.79% in April. As per a report by the World at ICICI Prudential MF. years, presenting a good entry Economic Forum, India has a point to investors with a two-year \"A decline in inflation would give young population with a likely Naren believes investors can time frame. a boost to consumption. Lower median age of 30 even in 2030. consider this theme as it inflation will fuel discretionary That will compare with 37 for consists of relatively defensive In the past year, the Nifty India expenditure, help the volumes China, and 32 years for the rest of segments such as FMCG, Consumption Index has gained and will keep growth and the world. pharma & healthcare, telecom, 16.9%, as compared with the sentiments positive,\" said Sahil and auto and the risk is relatively Nifty50 gain of 7.49%. In the Kapoor, market strategist at DSP India will be among the few lower than individually investing same period, the price-to- Mutual Fund. countries expected to enjoy a in any of these sectors. earnings (PE) ratio fell from 78.64 higher working population and to 39.7, with companies repor- Corporate margins are on the lower dependent population for However, given that it is a ting better profitability as the rise, as many have not lowered the next three decades. The ratio thematic bet, investors should of India's dependent population restrict allocation. Savvy inves- to working-age population size is tors can use passive consump- set to fall further, implying rising tion ETFs, while others who want income households, an essential the fund manager to monitor a consumption driver. The share of portfolio can opt for actively women in the IT workforce is managed funds. \"Restrict on the rise, which would have exposure to 5-10% of your a double positive effect on portfolio,\" said Bhansali. He household income, discretionary recommends ICICI Prudential consumption and savings. Bharat Consumption Fund and SBI Consumption Fund. \"When disposable income incre- ases, households have more

\"The information contained herein is solely for private circulation for reading/understanding of registered Mutual Fund Distributors and should not be circulated to investors/prospective investors.\" 12 TARAKKI TIMES, AUGUST 2022 Fund Review Analyst Views: Why we like these 3 funds from ICICI Pru Morningstar | August 17, 2022 Our analysts Himanshu across timeframes by a huge mically manage the equity and This reduces dependency on Srivastava and Nehal Meshram margin. However, in frothy debt portion based on attrac- fund manager and promotes a share their views on what they markets, the valuation-driven tiveness and market views. team-based investment find appealing about these approach can result in relative Naren uses the counter cyclical approach. The focus is on funds. underperformance as the case in approach to pick sectors which achieving long-term sustai-nable 2017 and 2019. Also, such an have done badly but have a good and consistent perfor-mance ICICI Prudential Value approach may result in value- long-term outlook. rather than chasing short-term Discovery traps if stocks bought based on trends. attractive valuations continue its As a result, there is a notable Category: downward march. sectoral deviation relative to the The investment processes have Equity: Value benchmark. Stock-picking been sharpened. For instance, a ICICI Prudential Multi Asset process is through bottom-up security is added in the invest- Fund Manager: Fund approach. The team look for ment universe only after the In January last year, the erstwhile companies with above-average board’s approval. Also, the manager Mrinal Singh exited the Category: profitability supported by sus- investment process is largely fund house. The fund was taken Multi Asset Allocation tainable competitive advan- institutionalized, which makes it over by Sankaran Naren, one of tages. The fund is well diversified easier for a manager to execute the most experienced managers Fund Managers: across 48 stocks and the top 10 it. in the Indian mutual fund Because of the fund’s multi- stocks constitute 40% of the industry and an ardent prac- asset approach, different port- portfolio. This approach has helped the titioner of the value style of folio managers oversee different team to identify and avoid riskier investing. asset classes. Sankaran Naren The fund also takes exposure to credits even if they had high and Ihab Dalwai manage the covered calls for yield enhance- credit rating. Hence, it’s not Fund Strategy: fund's equity investments, which ment but to a limited extent. surprising that the fund emerged Despite the change in manager, accounts for the majority of the from the credit crises in the the investment strategy remains portfolio, with a gross equity ICICI Prudential Medium Term Indian debt markets largely consistent. Having said that, l e v e l o f 6 5 % . A n u j Ta g r a Bond Fund unscathed. Naren does bring in his own style manages the fixed income of investing. While Mrinal used investments. The other asset Category: Funds from this category can to construct a compact portfolio, classes are managed between Medium Duration have Macaulay Duration typically Naren prefers constructing a Gaurav Chikane and Sri Sharma. in the range of 3-4 years. In the large and diversified portfolio Lead manager Naren has been Performance: past, this fund used to have 65- with a long tail. Yet, he ensures associated with the fund from a The fund boasts a strong long- 70% of assets in AA segment. that his high conviction holdings very long time and is regarded as term track record as it features in Learning from what transpired in have sizeable representation in one of the highest caliber the category’s top performance 2019 and 2020, going ahead, the the fund. His investment style investment professionals in the quartile over 3 and 5 year time strategy will be more flexible also entails capitalising from Indian mutual fund industry. He is frames. It has also delivered with respect to AA exposure some short-term investment known for being a contrarian a superior risk-adjusted which would be managed in the opportunities in the tail portion of who has the ability to think performance. range of 40-70%, and that would the portfolio, an aspect which differently and also has a good depend on the liquidity and was completely missing in understanding of value stocks. Investment approach: spread outlook. Mrinal’s investment style. Naren He is backed by a strong and a There is no mandate governing is patient with his high conviction large equity team. the credit exposure of funds in Subsequently, the fund’s holdings (even when they under- this category. Hence, the cate- modified duration has largely perform) if they are funda- Portfolio: gory houses varied strategies, been maintained between 2 to mentally sound and meet his As the name suggest, the fund credit as well as non-credit, 3.5 years. selection criteria. But he will not invests in a combination of asset competing with one another. hesitate in paring or trimming classes with low correlation of The team’s preference for safety exposure in a stock if its valua- returns which helps to cushion Broadly, this is a conservatively over outsized return and its tion moves beyond his comfort the portfolio from downturn in a managed credit fund where the willingness to forgo high yielding level. particular asset class. Invest- strategy entails having a good investment opportunities, which ments across equity, fixed mix of AAA and AA rated could expose the fund to un- Market Cap: income and Gold ETF, are such securities. Hence, extensive warranted risk, points towards a Naren maintains a predominantly that each asset class has a credit bets are avoided. disciplined investment app- large-cap portfolio. However, he minimum 10% allocation at all roach. This makes it a good will not shy away from shifting times. The other asset classes This fund is governed by a clearly choice for investors, but only towards mid- and small-cap are more of a residual allocation defined and structured frame- those, who can withstand the stocks depending on their rela- to small tactical calls in commo- work. The team on the credit side risks associated with credit tive valuations. dity, REITs and preference has a well-organized structure. It strategies. shares. has different sub-teams, and Performance: each team is assigned a task, The fund has outperformed its Strategy: which is integral to credit- peers and category benchmark The portfolio managers dyna- oriented strategies.

\"The information contained herein is solely for private circulation for reading/understanding of registered Mutual Fund Distributors and should not be circulated to investors/prospective investors.\" Fund Review 13TARAKKI TIMES, AUGUST 2022 ICICI Prudential Equity & Debt Fund Perfect Balancer Outlook Money | August 2022 With volatility engulfing the equity markets, equivalents. The fund manager has increasing or decreasing investment in debt, and debt offering better returns, it is ideally balanced out the exposure to equity by which consists of high-rated sovereign, advisable to invest in a fund that derives AAA- and AA-rated papers, ensuring both benefit from both these asset classes. ICICI The fund maintains an credibility and safety. Prudential Equity & Debt Fund is one such equity portfolio of 65-70 fund that offers investors a blend of safety per cent with the balance Its long-term performance and ability to and capital appreciation. It combines a in debt, cash and cash contain volatility makes it a good investment portfolio of high-quality equity stocks, safer equivalents. option for those seeking advantage of both debt, and money-market instruments. debt and equity markets. Consistent performance makes it a worthy investment It maintains an equity portfolio of 65-70 per for your portfolio. cent with the rest in debt, cash, and cash

\"The information contained herein is solely for private circulation for reading/understanding of registered Mutual Fund Distributors and should not be circulated to investors/prospective investors.\" 14 TARAKKI TIMES, AUGUST 2022 Fund Review ICICI Prudential Large & Midcap Fund Telegraph | August 2022 Returns Fund Benchmark Rank 18.3 10.9 1/28 Equity: Large and Midcap 1-Year 32.2 30.3 1/27 2-Year 23.2 24.0 6/24 Investment Objective: The scheme seeks to generate long-term 3-Year 12.8 14.2 7/20 capital appreciation from a portfolio that is invested predominantly 5-Year in equity and equity related securities of large-cap and mid-cap Since companies. launch Aggregates 18.1 - - Portfolio Fund Benchmark Total Assets (Rs cr) 4,680 2,21,31,030 Top Sector Weights % of stocks Total Securities 72 250 Financial 30.5 Turnover ratio (%) 98 - Energy 9.9 Technology 9.4 Avg PE 17.59 23.82 Communication 7.9 Automobile 7.2 Performance Statistics Fund Benchmark Healthcare 5.5 21.92 20.81 Insurance 3.8 Portfolio 24.06 22.65 Services 3.5 Mean Mthly return 0.77 0.77 Consumer Staples 3.4 Std. Dev Materials 2.7 Sharpe Ratio Quarterly Fund Return (%) +/- Category AveragePerformance Fund Return +/- Category Average 2500 Top Holdings % Asset Category Baseline 2000 30 Growth of `1,000 1500 HDFC Bank 7.3 1000 Bharti Airtel 5.9 20 500 Growth of `1,000 ICICI Bank 5.6 0 State Bank of India 4.0 10 -500 Infosys 3.7 2021 2022 NTPC 3.0 0 HCL Technologies 3.0 Oil & Natural Gas Corp. 3.0 -10 The Federal Bank 3.0 TVS Motor Company 2.8 -20 Information -30 2018 2019 2020 http://www.icicipruamc.com 2017 NAV: `559.63 (25/08) Portfolio Managers Entry Load: Nil Exit load: 1% for redemption within 30 Priyanka Khandelwal is fund manager since June 2017. Khandelwal is a chartered days accountant and company secretary. She has been working with ICICI Prudential Expense Ratio: 2.23% Mutual Fund since October 2017. Plan: Growth, IDCW Ihab Dalwai is fund manager - foreign securities since June 2022. Dalwai is a Launch: July 1998 chartered accountant. He is associated with ICICI Prudential AMC since April 2011. Benchmark: Nifty Large Midcap 250 Total Return Index Source: Value Research (www.valueresearchonline.com)

\"The information contained herein is solely for private circulation for reading/understanding of registered Mutual Fund Distributors and should not be circulated to investors/prospective investors.\" Tarakki Corner 15TARAKKI TIMES, AUGUST 2022 Your YTouar TraarakkkikCoirnCer orner TARAKKI SUCCESS STORY Gurmeet Singh Chadha & Kshitiz Mahajan Mutual Fund Distributor Gurmeet Chadha, 41, a Delhi-based MF distributor and co-founder of Complete Circle Capital manages an asset base of ` 1,350 crore in mutual fund. His solid financial background and motto of 'Client First' and a strong desire to create wealth for all stakeholders helped him grow as a successful MF distributor. As an MBA graduate, Gurmeet began his career with a cement firm in 2002. Soon he switched to a private bank in 2004 and then joined a mutual fund company before jumping back to a foreign bank in 2012. Exposure to the financial industry made Gurmeet well versed in financial products. During the early phase of this journey, he met Kshitiz Mahajan. An engineer with diverse experience across industries, Mahajan became his business partner. \"Both of us were cement guys before shifting to the financial sector,\" chuckles Gurmeet. It was in 2015, Gurmeet and Kshitiz started their own firm. It was a challenge for both of them as, after nearly one-and-a-half decades as employed professionals; they were stepping into entrepreneurship. \"We had a bit of a nervous start. There was a feeling were we taking the right call? A break from a normal office routine made us a bit uneasy. Our salary stopped, and we were continuously burning cash,\" recalls Gurmeet. He adds it was more of a mental battle. But they were clear that MF distribution needs to be done differently. This is where Mahajan's decade long experience in asset management industry came in handy. They decided that a strong content and research driven approach is the way to go. This resulted in them heavily investing in technology from day one. In the first 8 months of setting office, they spent around ` 25-30 lakh. \"We ran out of our pockets during the first few months. We were nervous but very confident of scaling up the business. We broke even in May 2016 and since then there was no looking back. We learned that this business has an element of the waiting game,\" explains Gurmeet. Since both were from the financial sector background, access to clients was easy. People had seen and interacted with them over the last decade. \"We were extremely relationship-driven and less of revenue-driven. We knew that scale will take care of the revenues,\" says Gurmeet. The hard work paid out. The AUM stood ` 50 crore in FY16 which jumped to ` 225 crore in FY17. Before the Covid pandemic hit, they already touched an asset size of ` 900 crore in Fy20. Three things that worked in the duo's favour were their product background, relationship-building skills, and their close interaction with the fund industry's fund managers, which helped them identify early trends. Research and good content have always been their strong point. \"I think our industry background, experience across the sectors and connect with clients helped us scale up faster,\" says Gurmeet. Leveraging technology for a better experience for clients worked well. The duo made sure they should have visibility on social media platforms which helped in inward traffic of clients. Nearly 70-80% of their retail clients are because of the use of technology. \"We have strong referral relationships. If I did investments for 10 clients, the number turned 100 in no time. Access to clients is not a problem, we need to build on it,\" adds Gurmeet. He proudly says that there is not more than 0.1% attrition in his client base. A firm believer in India's growth story, Gurmeet believes mutual funds are the most beautiful under-rated instrument for wealth creation. It is for all age groups and all segments of investors. In the future, Gurmeet and Kshitiz aim to reach an asset size of ` 5,000 crore by 2025 and aspire to list the company. They aim to have an asset management arm as well. While doing so, they agree to the mantra of sticking to investment basics. A strong asset allocation strategy helps us to navigate our clients during troubled times, says Gurmeet who treats himself more like a risk manager for investors' assets. \"What is good for the client is eventually good for us,\" says Gurmeet summing up his success journey.

\"The information contained herein is solely for private circulation for reading/understanding of registered Mutual Fund Distributors and should not be circulated to investors/prospective investors.\" 16 TARAKKI TIMES, AUGUST 2022 Tarakki Corner Your YTouar TraarakkkikCoirnCer orner TARAKKI SUCCESS STORY Hari Ghanshyam Kamat Mutual Fund Distributor Hari Ghanshyam Kamat, 62, a Panaji-based mutual fund distributor; manages ` 890 crore of investors' assets. Even though Kamat has been in the financial distribution business since 1983, he switched to mutual funds in 2002 and is proud to make 280 of his clients 'Crorepati. His firm HGK Investment Avenue caters to 5,600 clients and has a monthly SIP book of ` 1.85 crore. Kamat's firm belief and conviction that MFs are the best tool for generating wealth helped him become a successful MF distributor. A commerce graduate, Kamat was clear from day one that he will make financial distribution his profession. Back in early 80s, a profession in financial distribution was at its infancy, but that did not dither Kamat from pursuing it as a career. Initially, he was into selling traditional investment products like insurance, postal deposits, and provident funds. By late 90s, he got a hang of mutual funds which to him was a new investment product. He shares that he never shied away from embracing new ideas which could prove beneficial for his clients. \"I felt people were not creating wealth by opting for traditional investments. At the same time, I was aware of families which made serious wealth by investing in equities. Over years, I could see at close quarters how equities were aiding in wealth generation,\" Kamat recalls. So, after two decades of starting his distribution career, Kamat moved to mutual funds. The point of attraction towards mutual fund for me then was SIP, a provision to invest small sums regularly, which over time had the potential to create wealth for investors, he adds. It convinced him that equities could deliver growth and, as a result, started his own investments through SIP by 2003. Despite his two decade long experience in dealing with investors, MF distribution posed its own unique challenges, at least in the initial phase. \"People were reluctant to invest in mutual fund those days. In my initial years, I hardly got any mutual fund clients, but I stayed put. Even though there was no lack of efforts, the new business showed no signs of growth,\" he laughs. He fondly remembers a time when he used to fill forms and collect an entire investor's cheque book before the ECS mandate came into effect. By 2006-07, there was increased traction for mutual funds among investors. \"Then there was a boom followed by a deep fall of 2008-09,\" he reminisces. It was a new learning for him. Being a person of positive disposition, Kamat saw every challenge as an opportunity. He ensured SIP always remained the preferred mode of investment for his clients. By 2015-16, his AUM size touched ` 400 crores. Devoting time to investors is a must for him. There are no short-cuts when it comes to servicing clients. \"There is not a single black spot in my entire distribution journey where an investor, whether old or new, got orphaned. Never.\" Kamat says proudly. As he gained experience, Kamat capitalised on technology for ease and better investor experience. Today, he has proprietary software, runs a website and has a mobile application through which his investors can track their wealth creation journey. To him, Safety, Support and Relations are the three key aspects of this business. \"My client trusts me, so I consider it my foremost duty to make sure his money is safe with me. I always endeavour to constant follow up with clients, which aids in creating a long-lasting relationship as well. Most of my young clients now are 3rd generation investors - that's a legacy I have created,\" Kamat outlines his mantra. He considers MF distribution as social work. \"Nobody could visualise that MF industry could create so much wealth for investors. Even I and the clients themselves did not expect they could be crorepatis just by investing,” chuckles Kamat. According to him, there is no retirement in this profession. So, a new distributor should work hard and focus on improving his/her knowledge and work towards earning the trust and confidence of their investors. This will ensure growth of all parties involved. He adds that \"When your investors' experiences are good, you feel good. If they make money, so will you.\" Kamat sums up.

\"The information contained herein is solely for private circulation for reading/understanding of registered Mutual Fund Distributors and should not be circulated to investors/prospective investors.\" Channel Partners 17TARAKKI TIMES, AUGUST 2022 Distributor Insights The Importance Of Asset Allocation DSIJ | August 2022 Arun Kumar ficantly to your overall profits, Asset Allocation Strategies only equity and debt, opt for a even more so than your choice of dynamically managed asset Director individual stocks. The proportion In addition to investor-specific allocation scheme or balanced Wizr Wealth Pvt Ltd of allocation towards various variables, a few external factors advantage category of scheme. asset classes varies from person like market fluctuations, interest What is asset allocation? Asset to person as financial goals and rate changes, etc. may also call In case you wish to add gold to allocation is an investment their timeframes of achievement for some amount of portfolio the mix, you can opt for an asset strategy that seeks to strike a are unique to each individual. adjustment. As a result, asset allocation scheme available in balance between risk and reward allocation is not a one-time the fund of fund structure or a by allocating a portfolio’s assets Therefore, no two persons can exercise. multi-asset scheme. A multi- according to a person’s objec- have the same asset allocation asset mutual fund is the one tives, risk tolerance and invest- pattern. When deciding on asset At each life stage, there may a wherein the portfolio will be ment horizon. Equities, debt, allocation, take into account need to change the asset diversified across at least three gold and real estate are among each of your short, medium and allocation plan as a means to or more asset classes. In such a the basic asset classes. Each of long-term goals, risk tolerance reflect the changing life reality. scheme, apart from exposure these asset classes offer a varied levels, age and the period for Broadly, asset allocation stra- equity, debt and gold, funds can level of risk and return and react which you are ready to stay tegies can be divided into two even invest in real estate invest- differently to any economic invested. types – first being static asset ment trusts and infrastructure event. Through diversification allocation and the second being investment trusts. across asset classes, asset allo- Relevance of Various Asset dynamic asset allocation. As the cation helps reduce an investor’s Classes name suggests, in a static asset Before investing, do check the overall portfolio risk. allocation, once the asset class asset classes the multi-asset Each asset class in a portfolio mix and their proportion is fund of your choice invests in. To Importance of Asset Allocation has a unique role to play. Equity decided, the allocation con- conclude, in a wealth-creation brings in the growth element to tinues without any change, irres- journey, asset allocation dis- Asset allocation is a crucial the portfolio while debt helps in pective of the external market cipline emerges as the single component in terms of long-term protecting the overall portfolio conditions. most important factor to be wealth creation. When building a from a sharp decline through its mindful of. Remember, getting portfolio, adhering to one’s asset predictable returns. But when it comes to dynamic done with asset allocation is not allocation is a non-negotiable asset allocation, here the allo- a one-time act. requirement. It contributes signi- On the other hand, an asset class cation to various asset classes is like gold will act as a hedge a constant state of flux to take Whenever there is any major against inflation. For example, advantage of shifting market development in one’s life, asset during the pandemic, while conditions. In most of the cases, allocation may call for a change. equity markets corrected shar- dynamic asset allocation largely So, remember to review it once ply, debt held steady and gold is model-driven. in a while. Seek the advice of a rallied. financial advisor or invest in an Taking the First Step asset allocation scheme if you If you had a portfolio comprising are not sure how to go about each of these three asset If you are unsure how to go about investing across various asset classes, then the net impact of with asset allocation, you can classes. the portfolio could have been rely on mutual fund schemes contained. In effect, asset which take care of asset allo- allocation helps minimise cation requirements. In case if volatility and maximise profits. your allocation requirement is At each life stage, there may a need to change the asset allocation plan as a means to reflect the changing life reality.

\"The information contained herein is solely for private circulation for reading/understanding of registered Mutual Fund Distributors and should not be circulated to investors/prospective investors.\" 18 TARAKKI TIMES, AUGUST 2022 Channel Partners Distributor Insights Use the power of SIP & SWP to retire rich A combination of investment tools like Systematic Investment Plan (SIP) and Systematic Withdrawal Plan (SWP) can comfortably yield the desired result for a comfortable retirement Outlook Money | July 2022 Kapil Jain Start Early and Invest for Long- Ta k i n g t h e l o n g- t e r m p a s t you would likely have a com- Term: First and foremost, start average return of 15%, the value fortable corpus. At that stage, Director, early. That’s the first mantra to of this investment would stand at stop SIP and opt for SWP. This Enrichwise Financial Services generate a sizeable retirement Rs 5.64 crore. In the case of a will ensure that you do not have Pvt Ltd corpus. One must understand 10% yearly top-up, the value of to redeem your investment in that time spent in the market is of the investment would be Rs one go. To meet your monthly Retirement planning is one of the utmost importance. The more 12.65 crore on a total investment expenses, SWP will ensure you most important financial goals the investment tenure, the larger of Rs 1.97 crore. get a fixed amount in your but is often neglected. And by the wealth creation probability. account by selling the required the time realisation sets in for This is possible because SIP number of units. Meanwhile, the financial security post-retire- Prefer Equity: If investing from allows investors to accumulate rest of your investment will ment, it becomes too late. At that an early age, age is on your side units across all market phases, continue to grow. stage, corrective actions often which allows risktaking capacity. thereby averaging the holding turn out to be less effective, and Invest predominantly in equity cost. Add to this the com- Let’s assume, the value of your the corpus, thus collected, through diversified equity mutual pounding effect, and the wealth accumulated corpus is, say, Rs becomes inadequate. funds which will help generate created can be much more than 10 crore which is invested in an better risk-adjusted returns in the desired. asset allocation scheme. You This is where instruments such long run. wish to have a monthly income as mutual funds can play an Protect your investment: As of say Rs 1 lakh per month with a important role. By investing Invest through SIP: Systematic you turn 50 years of age, it is top -up of 10% every year. regularly over the years, mutual Investment Plan or SIP is an advisable to reduce your ex- Assuming a return of 8%, by the funds offer efficient solutions to established and trustworthy way posure to equities. At this stage, time you are 80, you would have retire comfortably. The various to generate long-term wealth. In it is important to protect the withdrawn nearly Rs 7 crore investment tools available within SIP, you invest a fixed amount wealth from market risks. Basis through SWP and would still the mutual fund universe can every month for a tenure of your your risk appetite, you may have a balance of roughly Rs 34 address not only your monthly choice. Remember to top up the allocate 50% of the portfolio to crore. cash flow requirement but also SIP amount every year as your debt and the remaining across aid you in accumulating a sizable salary increases. For instance, equity and gold. In case you are To conclude, the combination of corpus to meet any emergencies you can put a top-up of 10% or unsure how to go about this, SIP during the investment phase which may occur. A combination 20% which will ensure that every shift your corpus to dynamically and SWP during the retirement of investment tools like Syste- year your SIP investment amount managed asset allocation sche- phase is a powerful combination matic Investment Plan (SIP) and increases accordingly. mes. Such schemes allocate to ease your financial life. Systematic Withdrawal Plan money across debt and equity (SWP) can comfortably yield the The powerful impact of SIP can basis the market conditions and Kapil Jain is a gold medallist from desired result for a comfortable easily be gauged from the fact help mitigate risk to an extent. At IIM Indore and has experience of retirement, and at times much that if an investor had started a the same time, keep the SIP into over two decades in the financial more than you expected. monthly investment of Rs 10,000 equities going as it will help markets and advisory. Views are without any top-up, say in a generate wealth. his personal and are not part of Here is a simple guide to retiring diversified equity fund for 30 the Outlook Money editorial rich by investing through mutual years, he/she would have Withdraw through SWP: By the feature. funds. invested a total of Rs 36 lakh. time you reach retirement age, Systematic Investment Plans (SIPs) can help you accumulate adequate retirement corpus, while Systematic Withdrawal Plans (SWPs) can provide regular income post retirement.

\"The information contained herein is solely for private circulation for reading/understanding of registered Mutual Fund Distributors and should not be circulated to investors/prospective investors.\" Fund Review 19TARAKKI TIMES, AUGUST 2022 List of ICICI Prudential Funds in Star Track Mutual Fund HBL | August 2022 Scheme Name BL Rating 1 Year CAGR Trailling Returns (%) 10 Year CAGR 9.7 3 Year CAGR 5 Year CAGR 15.0 ICICI Prudential Bluechip Fund 19.3 15.0 ICICI Prudential Large & Mid Cap Fund 8.3 18.3 12.2 15.4 ICICI Prudential Multicap Fund 10.3 22.8 12.9 18.5 ICICI Prudential Midcap Fund 15.9 18.4 12.2 17.0 ICICI Prudential Smallcap Fund 9.5 23.7 12.5 13.9 ICICI Prudential Focused Equity Fund 17.4 31.6 15.3 17.7 ICICI Prudential Value Discovery Fund 21.3 13.0 ICICI Prudential Long Term Equity Fund 6.2 24.4 14.1 15.6 (Tax Saving) 19.0 13.1 - 14.3 ICICI Prudential Dividend Yield Equity Fund 15.9 22.7 11.0 13.8 ICICI Prudential FMCG Fund 16.7 ICICI Prudential Infrastructure Fund 21.9 17.0 12.7 21.5 ICICI Prudential Banking & Financial Services 16.7 ICICI Prudential Technology Fund 26.8 24.8 13.0 12.8 ICICI Prudential Equity & Debt Fund 10.3 ICICI Prudential Balanced Advantage Fund 4.5 12.0 7.6 15.5 ICICI Prudential Regular Savings Fund ICICI Prudential Nifty Next 50 Index Fund -10.3 31.0 27.4 - ICICI Prudential Nifty Private Bank ETF Fund - ICICI Prudential Midcap Select ETF Fund 18.8 22.1 14.0 - ICICI Prudential Nifty 100 Low Vol 30 ETF Fund - ICICI Prudential Alpha Low Vol 30 ETF Fund 9.1 13.4 10.1 - ICICI Prudential Silver ETF Fund - ICICI Prudential Global Stable Equity Fund (FOF) 6.9 9.7 8.2 15.6 ICICI Prudential US Bluechip Equity Fund 13.3 ICICI Prudential Child Care Fund (Gift Plan) 8.3 18.3 9.1 1 Year CAGR 3.8 ICICI Prudential Liquid Fund 9.7 8.4 - 3.3 ICICI Prudential Equity-Arbitrage Fund 5 Year CAGR 6.9 21.1 9.0 6.1 ICICI Prudential Ultra Short Term Fund 6.5 ICICI Prudential Savings Fund 4.1 17.4 13.2 6.1 ICICI Prudential Money Market Fund 6.6 ICICI Prudential Short Term Fund 0.1 - - 6.6 ICICI Prudential Medium Term Bond Fund -- - 6.2 ICICI Prudential Bond Fund 5.7 ICICI Prudential Long Term Bond Fund -0.4 10.0 9.4 6.7 ICICI Prudential All Seasons Bond Fund 6.8 ICICI Prudential Corporate Bond Fund -1.5 17.9 17.2 7.3 ICICI Prudential Credit Risk Fund 6.3 ICICI Prudential Banking & PSU Debt Fund 6.6 13.3 9.9 7.3 ICICI Prudential Constant Maturity Gilt Fund 1 Month Absolute 3 Month Absolute 6 Month Absolute 6.4 ICICI Prudential Gilt Fund 6.3 ICICI Prudential Floating Interest Fund 5.3 4.8 4.2 3.4 2.8 2.8 1 Year CAGR 2 Year CAGR 3 Year CAGR 3.8 4.2 5.3 3.2 4.4 5.7 3.8 3.9 4.9 3.7 4.9 6.6 3.9 6.2 7.3 2.6 4.0 6.1 1.4 2.2 4.1 3.8 5.4 7.0 3.7 4.8 6.5 4.9 6.7 7.6 3.8 4.9 6.1 0.9 3.5 5.7 3.3 4.7 6.4 2.5 4.6 6.0 Source: NAV India; NAV for the growth option as on 26-08-2022. Past performance may or may not sustain in the future.

\"The information contained herein is solely for private circulation for reading/understanding of registered Mutual Fund Distributors and should not be circulated to investors/prospective investors.\" 20 TARAKKI TIMES, AUGUST 2022 Fund Review mint List of ICICI Prudential Funds in Mint 20BEST FUNDS Mint | August 2022 HYBRID 3-year return (%) 5-year return (%) Corpus (Rs cr) BALANCED ADVANTAGE ICICI Prudential Balanced Advantage Fund 13.85 10.13 41,742 DEBT Corpus (Rs cr) DCREBEDT-IOTRRIIESNKTED 1-year return (%) 3-year return (%) ICICI Prudential Credit Risk Fund 4.97 7.62 7,943 ETW Funds 100 List of ICICI Prudential Funds in the Economic Times Wealth ET Wealth | August 2022 FUND Value Research Returns (%) Fund Rating 6-month 1-year EQUITY: LARGE CAP ICICI Prudential Bluechip Fund 3-month 3-year 5-year 12.28 9.91 8.17 9.60 19.01 9.13 6.50 18.05 - ICICI Prudential S&P BSE Sensex Index Fund 10.07 13.96 HYBRID: AGGRESSIVE (EQUITY ORIENTED) 7.45 8.38 18.42 22.38 8.19 ICICI Prudential Equity & Debt Fund 3.88 6.12 HYBRID: CONSERVATIVE (DEBT ORIENTED) 2.21 4.18 6.7 9.77 6.61 ICICI Prudential Regular Savings Fund 2.20 6.57 DEBT: MEDIUM- TO LONG-TERM 1.85 1.23 2.43 6.02 6.71 ICICI Prudential Bond Fund 2.31 6.78 DEBT: MEDIUM-TERM 1.56 1.76 3.80 7.27 ICICI Prudential Medium Term Bond Fund DEBT: SHORT-TERM 2.10 3.65 6.55 ICICI Prudential Short Term Fund DEBT: DYNAMIC BOND 1.97 3.63 7.02 ICICI Prudential All Seasons Bond Fund DEBT: CORPORATE BOND 1.88 3.61 6.50 ICICI Prudential Corporate Bond Fund

\"The information contained herein is solely for private circulation for reading/understanding of registered Mutual Fund Distributors and should not be circulated to investors/prospective investors.\" Awards 21TARAKKI TIMES, AUGUST 2022

\"The information contained herein is solely for private circulation for reading/understanding of registered Mutual Fund Distributors and should not be circulated to investors/prospective investors.\" 22 TARAKKI TIMES, AUGUST 2022 Fund Review It is requested to note that in accordance with SEBI Circular No. SEBI/HO/IMD/DF3/CIR/P/2017/114 dated October 06, 2017 and SEBI/HO/IMD/DF3/CIR/P/2017/126 dated December 04, 2017, certain Schemes of ICICI Prudential Mutual Fund are undergoing Fundamental Attribute change and mergers, as applicable. These changes will be effective from May 28, 2018. For further information please refer to notices and addendums available on our website in this regard. The portfolio of the scheme is subject to changes with in the provisions of the Scheme Information Document (SID) of the respective schemes. Please refer to the SID for investment pattern, strategy and risk factors. Tarakki Times is compilation of articles published in various newspapers/magazines. Due credit is given by disclosing the source for such articles/publication. The articles covered are excerpts of publication by an independent agency and is circulated to the empanelled Advisors/Distributors of ICICI Prudential Asset Management Company Limited (the AMC). ICICI Prudential Mutual Fund (the Fund) does not warrant the accuracy, reasonableness and/or completeness of any information. All data/information used in the preparation of this material is specific to a time and may or may not be relevant in future post issuance of this material. The AMC takes no responsibility of updating any data/information in this material from time to time. The AMC (including its affiliates), the Mutual Fund, The Trust and any of its officers, directors, personnel and employees, shall not liable for any loss, damage of any nature, including but not limited to direct, indirect, punitive, special, exemplary, consequential, as also any loss of profit in any way arising from the use of this material in any manner. The sector(s)/stock(s) mentioned in this communication do not constitute any recommendation of the same and ICICI Prudential Mutual Fund may or may not have any future position in these sector(s)/stock(s). The recipient alone shall be fully responsible/are liable for any decision taken on this material. Mutual Fund investments are subject to market risks, read all scheme related documents carefully.