Tarakki Times English July 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 | JULY 2022 | PAGES 15 Professional Views Why are ICICI Prudential Mutual Fund schemes topping return charts? Pg. 2 ICICI Prudential MF schemes delivered solid return to investors in 1 year; here's how Business Today | July 11, 2022 Pg. 3 Wondering if you should keep buying stocks? Readings from S Naren’s valuation model can help The Economic Times | June 29, 2022 Market neither in greed nor fear Sankaran Naren Mutual fund advisors believe that the fund house is zone as valuations have moderated ED & CIO enjoying its spot under the sun because it managed to but still not attractive ICICI Prudential Mutual Fund stick to its investment strategy with consistency in a challenging market environment. CNBE TV-18 | June 28, 2022 The Economic Times | July 08, 2022 Pg. 4 Market volatility to continue, stick to largecaps MintGenie | June 12, 2022 S Naren, ED & CIO Pg. 5 Use floating rate funds to rake in the hikes The Economic Times | June 20, 2022 Pg. 6 If you are a diligent investor, you its commitment to the value delivering robust portfolio would have noticed that ICICI principles of the fund house and performance,” explains S Naren, Enough opportunities in mid and Prudential Mutual Fund schemes its conviction to stick to the ED & CIO, ICICI Prudential AMC. smallcap from a long-term are topping in the return charts strategy even in ever-changing perspective these days. Mutual fund advisors market conditions. Mutual fund advisors also point believe that the fund house is out an important strategy with all The Economic Times | June 13, 2022 enjoying its spot under the sun “Broadly, the outperformance in the ICICI Prudential schemes: because it managed to stick to our funds can be attributed to the the downside protection. Also, Pg. 7 its investment strategy with diligent adherence in following a value strategy has worked in the consistency in a challenging stable investment process and fund house’s favour in the last Volatility brings opportunities market environment. framework as a team. We largely one year. kept away from names which The Economic Times | June 22, 2022 Look at the data. In the large cap were market favourites as “Apart from sticking to the value category, there are three funds guided by our intrinsic value approach, use of derivatives in Pg. 8 managed by ICICI Prudential framework. Our macro call on the equity and hybrid funds has Mutual Fund among the top 5 anticipating Fed tightening helped the fund house protect Combine limited exposure with long funds in the last one year. played out well for our portfolios. the downside in their schemes. horizon in small caps In the interim we were over- ICICI Prudential as a fund house ICICI Prudential Bharat 22 FOF, weight on value names from has always positioned itself for Business Standard | July 10, 2022 ICICI Prudential Bluechip Fund power and energy space. These the down market, they worry and ICICI Prudential Nifty50 were companies which had good more about downside than the Pg. 9 Value 20 are among the top 5 intrinsic value and were available uptick. This strategy has worked large cap funds in the last one at attractive valuations. Our for them in bad market phases. ICICI Pruential Balance Advantage Fund year. ICICI Prudential Large & Mid sector selection calls; being Also, we should note that every Cap Fund is topping the return underweight on FMCG, reducing strategy has its advantages and Good bet for volatile times chart with 12.39% in the large & metals exposure at the right disadvantages. But the fund mid cap category. time, not getting carried away at house has to stick to their Hindu BusinessLine | June 11, 2022 the top in the IT sector aided in strategy even in times of bad ICICI Pru Retirement Pure Equity Tarakki Corner Fund is the topper in the flexi cap Our sector selection calls; Pg. 10 Bipin Bihari Sinha category with ICICI Prudential being underweight on India Equity FOF being on the 5th FMCG, reducing metals Mutual Fund Distributor spot in the same category. exposure at the right time. Similarly, ICICI Prudential Small Pg. 11 Deepesh Mehta Cap Fund is the second topper in its category with 12% returns in Mutual Fund Distributor one year. The list is long, have a look: Distributor Insights Many market and mutual fund Pg. 12 analysts attribute the success to A simple guide to financial planning for early retirement Outlook Money | June 2022 Pg. 13 SIP: The perfect answer for investment doubts Outlook Money | June 2022 Fund Review Pg. 14 List of ICICI Prudential Funds in Star Track Mutual Fund Pg. 15 List of ICICI Prudential Funds in Mint ETW Funds 100

\"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, JULY 2022 Interview market phases, which makes the Management, a financial consistency and love for value their portfolios to tide over ICICI Prudential schemes stand planning firm, based in Chennai. investing. In recent times, he has volatility. “While India remains out,” says P Chokkalingam, been recommending schemes one of the most structural Fo u n d e r, Pr a k a l a We a l t h S Naren, is known for his with the flexibility to maneuver markets in the world, the near- term outlook looks uncertain and Scheme name Rank in the category Returns in 1-year volatile due to global headwinds ICICI Prudential Large & Mid Cap Fund 1 12.39% and geo-political uncertainty. Our ICICI Prudential Retirement Pure Eqt Fund 1 20.79% medium to long term outlook on ICICI Prudential Value Discovery Fund 2 11.18% equities continues to remain ICICI Prudential Equity & Debt Fund 2 14.82% positive and we recommend ICICI Prudential Multi Asset Fund 1 15.58% staggered (SIP+STP) mode of ICICI Prudential FMCG Fund 1 21.1% investment. We continue to ICICI Prudential Technology Fund 3 1.76% recommend schemes which ICICI Prudential Long Term Equity Fund 7 4.52% have the flexibility to maneuver ICICI Prudential Asset Allocator (FOF) 4 6.87% across different asset classes, market cap and themes to Source: Value Research mitigate expected volatility in the near term. We remain positive on sectors which are closely linked to the economy like auto, banks, capital goods, Infrastructure, etc,” says S Naren. ICICI Prudential MF schemes delivered solid return to investors in 1 year; here's how Business Today | July 11, 2022 At least seven mutual fund Fund gained 17.69 per cent, from power and energy space. cent) and ICICI Prudential Multi schemes managed by ICICI 17.11 per cent and 11.57 per These companies had good Asset Fund (up 17.69 per cent) Prudential Mutual Fund have cent, respectively. intrinsic value and were available also stood as top gainers in their managed to top the chart in their at attractive valuations. Our respective categories during the respective categories during the The last one year stood highly sector selection calls; being past one year. past 12 months. For instance, volatile for the domestic equity underweight on FMCG, reducing ICICI Prudential Large & Midcap market due to rising uncertainty metals exposure at the right Sharing his advice with inves- delivered 14.44 per cent returns over inflation, sustained outf- time, not getting carried away at tors, Naren said, “While India to investors in the past one year lows by foreign institutional the top in the IT sector aided in remains one of the most till July 8, 2022 in the large investors and war between delivering robust portfolio structural markets in the world, and midcap category, according Russia and Ukraine. As a result, performance,” he added. the near-term outlook looks to the data available with the benchmark BSE Sensex uncertain and volatile due to valueresearchonline.com. advanced just 3.64 per cent to Among the Thematic-MNC global headwinds and Likewise, in the flexi cap seg- 54,481.84 on July 8, 2022 against funds, ICICI Prudential MNC geopolitical uncertainty.” ment, ICICI Prudential Retire- 52,568.94 on the same day in rallied the most 9.46 per cent ment Fund delivered a 22.74 per 2021. in the past one year. Other “Our medium to long-term cent return during the same schemes including UTI MNC and outlook on equities continues to period. Commenting on the investment SBI Magnum Global gained 5.67 remain positive and we strategy and superior perfor- per cent and 1.68 per cent. On recommend a staggered (SIP+ On an average, large and midcap mance of ICICI funds, Sankaran the other hand, ABSL MNC STP) mode of investment. We as a category advanced 2.56 per Naren, ED and CIO, ICICI declined 4.26 per cent during the continue to recommend sche- cent while the flexi cap segment Prudential AMC said, “Broadly, same period. mes which have the flexibility to gained 1.86 per cent. Data the outperformance in our funds manoeuvre across different further highlighted that the ICICI can be attributed to the diligent With a gain of 14.70 per cent, asset classes, market cap and Prudential FMCG fund also adherence in following a stable ICICI Prudential Dividend Yield themes to mitigate expected emerged as the top gainer investment process and frame- Equity Fund also emerged as the volatility in the near term. We among thematic funds. The net work as a team. We largely kept top gainer in the thematic- remain positive on sectors which asset value of the fund advanced away from names which were dividend yield category. HDFC are closely linked to the economy 21.80 per cent in the past one market favourites as guided by Dividend Yield and Templeton like auto, banks, capital goods year. Other thematic funds our intrinsic value framework.” India Equity Income Fund gained and infrastructure.” including UTI Transportation and 11.95 per cent and 11.23 per Logistics, ICICI Prudential India “Our macro call on anticipating cent, respectively. Opportunities Fund and ICICI Fed tightening played out well for Prudential Exports and Services our portfolios. In the interim, we ICICI Prudential Bharat were overweight on value names Consumption Fund (up 19.52 per

\"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, JULY 2022 Wondering if you should keep buying stocks? Readings from S Naren’s valuation model can help The Economic Times | June 29, 2022 With valuations in the domestic increasing equity exposures on the valuation model,” said Sankaran Naren stock market looking much more when markets have fallen and Naren, who has an impressive ED & CIO reasonable during the ongoing vice-versa. track record of three decades on corrective phase, which many Dalal Street. ICICI Prudential Mutual Fund experts describe as signs of an In the last one-year period, impending bear market, India’s Sensex and Nifty have gained As on 31 May, the allocation to rate hike cycle (driven by global top value investor S Naren is marginally with several stocks equity, debt and gold stood at 33 central banks) which could lead busy buying stocks. with robust fundamentals hitting per cent, 56 per cent and 11 per to lower global economic growth 52-week lows despite a strong cent, respectively. and as such equity markets are Based on an in-house valuation FY22 in terms of earnings. expected to remain volatile,” the model at ICICI Prudential Mutual “As a part of the asset allocation money manager said, adding Fund, where he is the chief With assets under management process and based on our in- that the near term outlook looks investment officer, the fund of nearly ` 16,000 crore, ICICI house equity valuation model, uncertain and volatile because of manager has hiked allocation to Prudential Asset Allocator Fund we are steadily increasing our the US rate tightening. equity in his popular Asset (FoF) has consistently managed equity allocation across our Allocator Fund. to outperform the index in one- asset allocation schemes,” he Manufacturing is one sector year, two-year and five-year said. where Naren is bullish on for the “The Equity Valuation Index timeframes. In the short run, Fears of recession and interest next decade. “Domestic cycli- indicates that overall market the mutual fund has managed rate hikes are giving sleepless cals like banks, auto, infra, valuations have moderated from to protect the downside as nights to traders. Although the cement, capital goods could lead their recent peak amidst rising compared to Nifty. Nifty has bounced back by the next rally in our view. Rupee global uncertainty. In line with around 5 per cent after hitting a depreciation will also support our asset allocation model, we “The allocation/rebalancing 52-week low of 15,183.40 on export oriented sectors like IT have increased equity exposure among equity and debt mutual June 17, the outlook doesn’t and pharma,” he said. in our asset allocator fund to 33 fund schemes is based on an in- seem bullish at this stage. per cent as on 31st May 2022 as house valuation model. Apart compared to 19.8 per cent on 31 from the model, we also “The bull market we had seen Jan 2022,” Naren told ETMarkets consider opportunities that are over the last two years was in an interview. available in the debt market. largely due to the monetary Here, the scheme has the policy measures initiated by The valuation model exhibits the flexibility to allocate 0-100 per global central banks. Currently, principles of buy low, sell high by cent to equity or debt depending we are in the midst of an interest Market neither in greed nor fear zone as valuations have moderated but still not attractive CNBE TV-18 | June 28, 2022 Markets globally are on a scenario and said that the Indian “Now with IT valuations have ment, companies and the correction path after running up market after the corrections been corrected, they are rea- shareholders. “We have been in the early part of the year due to is neither in greed nor in a sonable, but is the IT sector still believers in upstream oil as a factors rising crude prices, high fear zone. This is because dirt cheap? The answer is no, it is sector and when we look at inflation, rate hikes and geo- valuations have moderated from still a semi-growth industry. .. shareholding patterns on political tensions due to the their recent peak but it is still to Without the IT industry, India upstream oil, what we find is Russia-Ukraine war. get attractive. Therefore, the would be in much bigger eco- people believe that we do not mutual fund says that this is a nomic trouble. It is USD 10-12 require oil to run our cars. Buts ICICI Prudential AMC believes compelling case for investing in billion of IT exports per month, it’s a sector which trades at a 4-5 that this is a passing phase and floating interest rate bonds and which is actually helping India at PE multiple (price to earnings) its long-term market outlook funds. this point,” he said. and the fact is that that is a continues to be positive. contrarian theme, which I find As far as sectors are concerned, Naren suggests that the govern- that no one is willing to look at S Naren, the ED and CIO at ICICI IT valuations are reasonable now, ment can ask upstream oil because finally at the end of the Prudential AMC spoke to CNBC- according to Naren but the companies to declare high divi- day, we are not ‘oil mukt’ – that’s TV18 to throw more light on how sector will become attractive dends as this will lead to a win- the reality,” he explained. to navigate the current market after some more correction. win situation for the govern-

\"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, JULY 2022 Interview Market volatility to continue, stick to largecaps MintGenie | June 12, 2022 Sankaran Naren done with tightening. However, structural markets in the world. but the depreciation of the ED & CIO this does not rule out the Hence it will be incorrect to say rupee will eventually help the ICICI Prudential Mutual Fund possibility of periodic relief that FPIs have lost faith in the RBI as it increases the value of rallies in the interim. Indian market. The challenges forex reserve. Do you see the In an interview with MintGenie, today are coming out of the fact rupee beyond the 80 per dollar S Naren, ED & CIO, ICICI As and when the Fed moves to that the US is increasing interest mark by the next year? Prudential AMC said he believes an easing framework, the market rates which is linked to the Fed the markets will continue to be is likely to recover and there is a fighting inflation. In fact, it is Thus far, the Reserve Bank of volatile in the near term. So possibility of meaningful rallies totally unconnected to the Indian India’s handling of the policy in investors should focus on at that point in time. It remains to market. Currently, FPIs are a bit 2020 has helped the economy largecaps and stick to mid and be seen when the central banks more positive on commodity- significantly. Going forward, we smallcap investing via SIPs only. will end tightening and start oriented markets, which benefit believe that the rupee should be easing. from higher commodity prices allowed to depreciate along with Edited excerpts: than commodity-using markets other emerging market curren- What is your view on the like India. cies since rupee appreciation What is your medium-term trajectory of rate hikes? How against emerging market outlook for the market? As could RBI balance growth and What are the sectors that currencies weakens Indian most negatives are already inflation? investors should focus on at exports. there in front of us, should we this juncture? Believing that expect the market will take We are believers that there are the market may see volatility Q4 earnings were mixed. What headwinds in stride and move rate hikes in the anvil over the for some more time, would you sectors met your expecta- ahead? next few policies. After that, it recommend sticking to the tions and what all were dis- will be dependent on data and largecaps and avoiding mid appointing? The equity market is likely to be how the monsoon, Ukraine- and smallcaps? volatile till the time global central Russia conflict and global We believe Q4 earnings were banks, especially the Fed, are developments, etc. plays out. We believe markets will continue reasonable and it was in line with to be volatile in the near term. So our view that some of the Foreign investors have been investors should focus on commodity sectors and banks taking money out of the Indian largecaps and stick to mid and would be reasonable and some market since October 2021. smallcap investing via SIPs only. sectors where commodities Why have FPIs lost faith in the were input would get hurt. So we Indian market? For how long Please help us understand how were comfortable with what we this trend may continue? you see the trajectory of the witnessed. rupee in the next one year. RBI India remains one of the most has tools to support the rupee FPIs are a bit more positive on commodity-oriented markets, which benefit from higher commodity prices than commodity-using markets like India.

\"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, JULY 2022 Use floating rate funds to rake in the hikes The Economic Times | June 20, 2022 The debt market has seen a sea at the past return to judge what locking rates when they are Manish Banthia change over the past few the future opportunities and the relatively lower. In a floating rate Senior Fund Manager - months. While investing in this return potential will be. bond, an inverse of this plays out asset class was largely ignored as the investor here is investing Fixed Income over the last year, the period One of the strategies which and not borrowing. ICICI Prudential Mutual Fund ahead looks extremely inter- present a compelling case for esting from an investment investment is the floating rate The current valuation of floating bond has not traded above 9% in standpoint. fund. This is because of its rate instruments issued by the last 20 years barring a few inherent nature to adjust to rising the Government of India is days in 2008 and 2013. The next two to three months will interest rates and coupons \"historically\" attractive. A simple largely be an interest rate adjust- which accrue to investors as the method to measure this is to Considering the prevailing retail ment phase as the Reserve Bank benchmark/overall RBI rates compare floating rate bonds fixed deposit rates and the of India will continue with hiking move higher. Since floating rate against similar maturity fixed- highest yields of 8% available on rates. Once this phase is done securities have a positive rate bonds. Swaps help to hedge AAA-rated corporate bonds, with, we believe, fixed income correlation with rising interest floating rate bonds to fixed and these bonds issued by the will be in a sweet spot when rates, it provides the much- vice versa. If floating rate bonds Government of India carrying a compared with several other required necessary cushion to are hedged and converted into sovereign rating profile give one asset classes. the portfolio. fixed, one can do an apple-to- of the best fixed-income oppor- apple comparison. For simplicity tunities in 20 years which are This assertion is based on the In floating rate bonds, the let us call a hedged floating rate \"historical\" and a true deep value fact that as an asset class, fixed coupon is not static but moves bond a synthetic fixed-rate bond. investment opportunity for all income tends to be cyclical in up as interest rates head higher. The table indicates yields on asset categories in India today. nature. Over the last two years, So, the income from coupons fixed-rate government bonds RBI had reduced interest rates keeps rising and since the and synthetic fixed-rate govern- (The author is senior fund due to which yield-to-maturity coupon keeps adjusting, the ment bonds. manager at ICICI Prudential (YTM) of most of the debt funds capital value does not reduce. AMC) had come down to 4-5%. Now So, the overall returns move The correct measure of expected with the rate hike cycle beginn- higher for floating rate security in returns on a floating rate bond is ing, volatility is a given over the a rising interest rate market. the yield of the synthetic fixed- next two-three months' post rate bond. Therefore the expec- which the YTM is likely to For example, when a person is ted return on the 12-year govern- become attractive in the range of buying a house, she prefers to ment floating rate bond over its 7-8%. take a floating rate loan when maturity period is 8.9% and the interest rates are expected to expected return on a six-year So, now is the time to begin reduce in the future. On the other government floating rate bond is investing in fixed income. hand, if rates were expected to 8.2%. To put the numbers in Investors should not be looking rise, the investor would prefer context, a 10-year government Expected Returns 10-12 Year GSec Fixed Rate Synthetic Fixed Bonds Rate Bonds 5-6 Year GSec 8.9 3-Year Fixed AAA 7.55-7.65 8.2 NBFC Corp Bond 7.35 8.8 7.9 As on June 17, 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.\" 6 TARAKKI TIMES, JULY 2022 Interview Enough opportunities in mid and smallcap from a long-term perspective The Economic Times | June 13, 2022 Prakash Gaurav Goel What is your view on small & scenario as well as rise in interest rate on demand coupled Senior Fund Manager midcap space which you track inflation? with the impact of spike in input ICICI Prudential Mutual Fund very closely. Do you think that prices on profitability. the broader market is in a value There are specific sectors that From a medium-to-long-term zone? benefit from a reasonable uptick The near-term earnings volatility perspective, what augurs well is in inflation. For example, asset looks inevitable in the context of the shift of global manufacturing While mid and small-cap owners like hotels, and malls high commodity prices and market share to India and robust investing has always been about gain as the replacement cost supply chain issues. So, we recovery seen in domestic stock picking, we see enough goes up. General insurance is prefer to focus on business economy on account of reform investment opportunities from a another beneficiary as the ticket strength and look over earnings measures undertaken in past 5-6 long-term perspective as a size increases because of volatility which could play out years,” says Prakash Gaurav section of the market in mid and inflation. over the next couple of quarters. Goel, Senior Fund Manager at small-cap has been in the value ICICI Prudential Asset zone for a while. Banking too stands to gain in the We believe a weak market Management Company Limited. initial phase of an interest rate provides attractive investment Post the recent correction, rise. At the same time, a very opportunities for long-term In an interview with ETMarkets, several opportunities have sharp rise in interest rate can hurt investing as prices tend to be Goel who has over a decade of emerged in a few other pockets growth. reasonable in such market experience said: “We see as well. conditions. enough investment oppor- What is your take on FII tunities from a long-term pers- There are talks about slow- outflows? How should one position their pective as a section of the down in the global economy portfolio in terms of equity and market in mid and small-cap has and in India too. Should FII outflows is a result of multiple debt part? Is it time to go been in value zone for a while,” investors be worried? factors such as sharp relative slightly underweight on Edited excerpts: outperformance of India com- equities or neutral? It would be unfair to assume a pared to other markets and rise June is turning out to be a marginal drop in GDP growth in interest rate globally leading To begin with, an investor needs volatile month for Indian estimate as a precursor to a to money being shifting out to have an asset allocation plan in markets. Which are the recession. In recent times, global of equities. place. Given the correction is immediate threats that one supply chain issues have led to seen over the past few months should watch out for? very high inflation that impacted Similar is the case even in several and valuations becoming consumer demand globally. other emerging markets. Going attractive as compared to the It is very likely that the equity forward, what could likely start of the year, investors can market will be volatile in the near Experts in the US are fearing a reverse the trend is interest rate consider increasing their term due to factors such as short period of recession. peaking out globally and soften- allocation to equities if the asset global supply chain disruption, However, when it comes to the ing of global central bankers’ allocation plan permits. rising interest across the globe Indian economy, we see the rate stance. and in India, and uncertainty limited impact of these develop- Our in-house equity valuation around the impact of inflation on ments as crude oil prices are What are you factoring in for index currently is indicating demand across sectors to name likely to correct on account of the other forthcoming quarters in higher allocation to equities a few. slowdown in the developed terms of earnings? which was not the case six world. This will help in controlling months back. The crucial factor from an Indian inflation back home. The earnings outlook will depend market context in the meantime largely on the impact of rising will be inflation, crude oil price, How do you see consumption and interest rate. as a theme in the medium to We see enough investment long term? opportunities from a long- From a medium-to-long-term term perspective as a perspective, what augurs well is Consumer staples have been section of the market in mid the shift of global manufacturing trading at a rich valuation given and small-cap has been in market share to India and the their earnings predictability. But value zone for a while. robust recovery seen in the with rising inflation, there will be domestic economy on account an impact on margins both in of reform measures undertaken terms of raw material cost and in the past 5-6 years. premiums. So, this is one pocket we have been cautious about. Within consumption, we like retail and discretionary space as they tend to have higher growth longevity. Sectors that could relatively be safe bets in rising interest rate

\"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, JULY 2022 Volatility brings opportunities The Economic Times | June 22, 2022 Mutual fund investors, especially meeting but the road ahead will slowdown which will impact Mittul Kalawadia the new ones, are extremely be data dependent as the RBI certain sectors more than others. Senior Fund Manager nervous about the current indicated. ICICI Prudential Mutual Fund market. They can make little Huge volatility is making sense of topics like historically Globally too, central banks have everyone, especially new year as there will be several higher inflation, steep rates, indicated that they will rely on investors, extremely nervous. opportunities given the market among other things. data to change their stance so Do you think investors should volatility. rate hikes may continue till they be prepared for more volatility Sure, everyone remembers their see moderation in data. in the coming days? Where can investors invest high school lessons, but how today? these factors will play out in the Would you please explain For an investor committing to market is something investors for our new readers how equity investing, he/she should When investing, investors are keen to know. Shivani Bazaz higher inflation and interest understand that markets are should always be cognizant of of ETMutualFunds spoke to rates would impact their never going to be linear in nature; one’s risk profile and investment Mittul Kalawadia, senior fund investments? volatility is a part and parcel of horizon. Given the market manager, ICICI Prudential Mutual equity investing. The thing to volatility, investors (especially Fund, to understand the impli- The impact of inflation varies remember is volatility brings those with low / moderate risk or cations of these factors in the depending on where we are in opportunities. lacking time / knowledge to do lives of regular investors. Edited the economic cycle. In the initial asset allocation) can consider interview. phase of inflation, equities tend So, one should not get unduly investing in hybrid schemes or to do well. But as inflation spirals worried about it. The focus asset allocation schemes where- Everyone is talking about out of control, central banks should be on adhering to asset in the investment is spread inflation and steep rate hikes initiate policy measures to rein in allocation and building a robust across multiple asset classes. these days. What are your inflation. This brings nervous- portfolio with fundamentally views on inflation and rates, ness to equity markets making it strong companies. Post this step For those looking at equity both on the domestic and volatile. one has to be patient to reap the schemes can consider flexicap global front? long term benefits of equity category schemes as it has the At the same time, higher interest investing. flexibility to invest across market The worst in terms of inflation rates lead to a demand slow- capitalization. Dividend yield and seems to be behind us in the down which impacts listed The near-term view is that the exports & services is another Indian context. While inflation is stock's valuations. In this phase, market is likely to be volatile category of schemes one can a worry there are several indi- investors tend to worry about given the evolving geopolitical consider. Continue with ongoing cators suggesting that some part potential recession also, which and macro development both in SIPs and if an investor is ready of goods inflation is close to affects general market senti- India and at a global level. If the to stay invested for more peaking out as commodities ment. This is how relatively market corrects and valuations than decade, one can consider have corrected. Crude and few higher inflation tends to impact turn comfortable, investors investing in mid and smallcap agri commodity prices are ele- investments. should not shy away from upping schemes. vated but are expected to correct their quantum of investment but over time. When it comes to increasing the same should be done in a New investors are likely to face interest rates, the adverse staggered manner. a challenging year. What would On the other hand, in the US, impact of these will be felt by you tell them? wage and services-related high leverage companies. So, Will RBI hike interest rates inflation remains strong, which is investors should stay away from sharply? How can investors Stick to an investment process where the US central bank highly levered companies prepare themselves for higher and do not use leverage to invest policies will play an important because their borrowing costs interest rates? A higher interest into equities. Maintaining invest- role. In terms of rate hike, there is will go up, impacting company’s rate would hit the profitability ment discipline is of utmost an element of risk in terms of a earnings. Also, rising interest of companies. Does that mean importance during volatile times. higher hike in the upcoming rates could induce a demand investors should lower their Refrain from speculating and return expectations in 2022? investing short term funds into For those looking at equity equities. Invest into equities only schemes can consider There is a general consensus with a long- term horizon and flexicap category schemes that RBI will hike rate over the your patience will be rewarded as it has the flexibility next couple of policies. Post the with encouraging risk adjusted to invest across market steep Fed rate hike, the like- returns. capitalization. lihood of a similar rate hike in India is much higher which is in line with what the guidance has been and so no surprises here. On a year-to-date basis, the market has seen over a 10% correction already. From here on, valuations appear to be better than what it was six months back. From an investor pers- pective, the aim should be to systematically invest in a stag- gered manner over the next one

\"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, JULY 2022 Fund Review Combine limited exposure with long horizon in small caps Business Standard | July 10, 2022 Diversify across growth and value style funds for a smoother ride The small-cap segment of the equity market During the market downturn of2008-09, the Understand the reason for a fund's has been hit hard in the ongoing downturn. Nifty 100 TRI (large-cap) fell 61.1 per cent underperformance before you exit. Each The Nifty Smallcap 250 Total Return Index from peak to bottom. The Nifty Small-cap fund has its own fund management style, (TRI) is down 14.9 per cent year-to-date 250 TRI fell 75.6 per cent. Luthria says only which works in certain market conditions (YTD). Small-cap mutual funds have, on ultra-high net worth individuals are likely to and doesn't in others. \"Over the past 12 average, declined 9.6 per cent over the same have the financial strength to live through months, value-style funds have done better period. Among stocks belonging to the Nifty that kind of a downturn (with a higher than growth-style funds. Instead of Small-cap 250 Index, while the median allocation to small caps) without selling at migrating from a growth- to a value-style performer has declined 33.8 per cent, the the bottom. Retail investors must also have fund, diversify across styles,\" says Dhawan. worst performer has lost 85.9 per cent from a long horizon. \"If the investment horizon for its 52-week peak. investing in other equity segments is 10 Direct investors: Check quality of holdings years, it should be 15 years for small-cap A volatile category investing,\" says Dhawan. Investors with a During a bull run, small-cap stocks run up low risk appetite may avoid this category more than their mid- and large-cap peers. Small-cap stocks, by their very nature, are Retail investors, especially the new entrants, volatile. Since their free float market cap Limit your exposure tend to pour more money into these stocks. tends to be low, small inflows and outflows result in large price changes. Small-cap During bull runs, the small-cap segment Investors who took exposure to small-cap companies are also less resilient than their does much better than others. Going purely stocks without analysing them should do a large-cap peers. “Within the small cap by past performance, retail investors, thorough appraisal of their portfolios, or get segment, you have small but healthy especially the less experienced ones, take an expert to do so. Says Bodke: \"Check companies, and also those struggling to exposure to the three-four best-performing whether the underlying business has a survive. During an economic slowdown, the funds, all of which turn out to be small-cap. sustainable competitive advantage, strong latter are more likely to go bankrupt” says \"Exposure to the small-cap category should brand, robust distribution capabilities, Avinash Luthria, a Sebi-registered be limited to one or two funds,\" says strong return ratios, free cash flow, and a investment advisor and founder, Fiduciaries. Dhawan. If you are unable to handle the low debt-equity ratio.\" volatility in small-cap funds, exit the Analyst coverage tends to be much lower in category. If that's not the case, stay put. Pare Stocks that pass muster on these counts small-cap stocks than in large- and midcap the number of funds to two over time. may be retained. Those that don't should be stocks. \"Lack of analyst coverage means the Continue with your systematic investment purged, even at a loss. Poor-quality holdings market price of these stocks tends to plans in the funds you intend to hold over the may never bounce back to their previous deviate more from their intrinsic value,\" says long term. highs. Ajay Bodke, an independent market analyst. Within the category, disparity in fund In the future, investors should buy a small- Invest if you can stand the volatility performance has been high during this cap stock only after doing the due diligence c o r r e c t i o n . Ye a r- t o - d a t e , t h e w o r s t on business fundamentals, valuations, and Retail investors should ideally take limited performer has declined 20.7 percent while management quality. According to Bodke, in exposure to small-cap stocks and funds. the best performer has fallen only 1.7 per the small-cap space especially, most retail \"There is no harm in allocating some money cent. Investors may be tempted to migrate investors will be better off handing over their to a well-chosen basket of small-cap stocks, from the worst to the best performers. That money to an able fund manager. each of which has the ability to survive and may not always be a good idea. \"Don't exit a grow into a mid- and then large-cap stock fund based on six months' performance. See over time,\" says Vishal Dhawan, chief how it has done over a longer horizon of financial planner, Plan Ahead Wealth seven or 10 years,\" says Dhawan. Advisors. Before allocating money to this segment, however, retail investors must BEST-PERFORMING SMALL-CAP FUNDS OVER prepare themselves for its higher volatility. In FIVE YEARS fact, they need to alter their perspective on Returns (%) volatility. \"Investors in a small-cap fund need to appreciate that volatility, especially that Fund YTD 1-Year 2-Years 3-Years 5-Years caused by liquidity, isn't risk. Risk, to us, is Quant Small Cap -9.9 0.4 69.6 40.4 19.7 the chance of permanent loss of capital,\" Axis Small Cap Fund -7.5 8.2 42.5 27.6 18.9 says Harish Bihani, fund manager, ICICI SBI Small Cap Fund -5.3 6.9 41.6 26.8 18.3 Prudential Small Cap Fund. Kotak Small Cap -8.9 6.8 53.2 31.3 17.1 Nippon India Small Cap -7.0 10.2 51.8 29.3 17.0 According to Bihani, the best way to beat the ICICI Pru Smallcap -1.7 11.2 51.8 27.3 15.3 higher risk in small caps is to have a longer Union Small Cap -7.1 4.8 46.4 29.0 13.8 investment horizon. \"As time horizon Average -9.6 4.4 45.9 26.3 13.4 increases, the chance of a permanent loss of capital in a small-cap fund decreases,\" he Returns are for direct, growth funds says. The Nifty Smallcap 250 Index makes Source: Morningstar AWS up around 6.7 per cent of the Nifty 500 Index. Says Luthria: \"Small-cap funds should not comprise more than 6.7 per cent of the equity portfolios of retail investors.\" According to him, only ultra-high net worth individuals should take a higher allocation.

\"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 9TARAKKI TIMES, JULY 2022 ICICI Pruential Balance Advantage Fund Good bet for volatile times Hindu BusinessLine | June 11, 2022 Relatively moderate returns but with lower risk If you are worried about rising market Performance volatility, ICICI Pru Balanced Advantage (ICICI Pru BAF) is a fund that can be your go- In terms of historical point-to-point to choice given its established track record performance, ICICI Pru BAF is among the of deftly juggling equity and debt in line with very few that has comprehensively beaten changing market conditions. the category average across all short-term periods such as one month, six months and Retail investors with a three-five year one year, as well as longer periods such as investment horizon can take exposure to this three years, five years and 10 years. Thus, it 15-plus year-old hybrid fund, which uses a is a rare top quartile performer across price-to-book based model (since March various time periods, which serves as a 2010) to deliver hassle-free asset allocation validation for the fund's consistency and that results in reduced short-term volatility in asset allocation strategies. returns. During over a dozen flattish phases, of at ICICI Pru BAF is also tax-efficient as equity- least one year duration, when Indian debt reallocations at the fund level have no markets have given zero returns, ICICI Pru tax implications compared to the potential BAF has given 8-10 per cent returns in the capital gains taxes if you undertake the same same periods. exercise on your own. During market fall years of FY12, FY16, Strategy FY20, the fund has capped downside and this is also seen its low three-year downside The strategy of ICICI Pru BAF is said to have capture ratio of 48 per cent. In comparison evolved as a result of the investor to Nifty 50 TRI that has 100 per cent equity experience faced between 2007 and 2009. allocation, the hybrid fund (between April Investors chose to invest in 2007, stayed 2010 and April 2022), on an average, has away in 2008, and this led to them missing added an alpha of 0.021 on a daily basis with the ensuing rally in 2009. a beta of only 0.52. ICICI Pru BAF follows a counter-cyclical This is also brought out by the fact that in approach to investing, which is achieved both three- and five-year rolling return through its in-house model that is periods, ICICI Pru BAF has shown 6 per cent predominantly based on price-to-book with and 3 per cent negative observations other select factors. This model has been in compared to Nifty's 15 per cent and 5 per use for more than a decade now. The fund- cent respectively. house believes that a momentum-based strategy would not necessarily provide a In a nut-shell, the fund generally gives rewarding experience for investors over the relatively moderate returns but with lower long term. risk (standard deviation), compared to riskier pure equity fund categories. When market valuations are at a high, the fund usually hedges a part of its equity GAME PLAN exposure and also ups its debt holdings, thereby limiting the impact of a market fall. When valuations are at a high, the fund usually In the same vein, the fund does not hesitate hedges a part of equity exposure and also ups to invest aggressively in equities when debt holdings, thereby limiting the impact of a market valuations are at a low. The fund uses market fall. a blend of large- and mid-cap stocks, with net equity levels at 35 per cent as on April 30, 2022. The net equity level has historically been in a range of 30-80 per cent. The fund takes derivative exposure for hedging/portfolio rebalancing purposes. In debt, it puts money largely in shorter-tenure papers, maturing in less than a year or one-three years, which caps interest rate risk but doesn’t shy away from investing in below AAA-rated papers, bringing in some risk.

\"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, JULY 2022 Tarakki Corner Your YTouar TraarakkkikCoirnCer orner TARAKKI SUCCESS STORY Bipin Bihari Sinha Mutual Fund Distributor Bipin Sinha, 50, a Jodhpur-based mutual fund distributor, has investors' assets worth ` 270 crore and services nearly 6,000 clients of the Indian Army. Founder of SSS Distributors Private Ltd, Sinha has been in MF distribution for about 17 years and has a strong monthly SIP book of ` 3 crore. He quit his job early as a Mining Engineer and joined the financial sector, which had always excited him. He considers MF distribution business as a social service towards building the nation. When in his mid-20s, Sinha had to donate one of his kidneys in 1995 to his ailing father, who was an Air Force personnel. \"It was then that I left the job as a Mining Engineer and entered the financial sector. In my early days, I worked at different financial companies and gained invaluable experience,\" says Sinha, who had once aspired to be an economist. It was in 2005 that he got his ARN and began the MF distribution journey. \"Mis- selling of financial products, especially insurance product was very rampant then. My aim was to help people develop a robust financial plan so that they can generate a passive income,\" recalls Sinha. Right from the start, he focused on handholding clients through understanding the financial system rather than selling a product. This helped clients successfully understand the difference between functioning of products such as mutual funds, insurance, etc. \"This approach has been very successful because of which there is no dearth of referrals,\" adds Sinha. While believing in the cost averaging theory, he has constantly used the SIP and STP model to help clients with their financial requirements. Even lump sum investment was divided into several smaller amounts so that clients can average their cost of investment. \"Because of this strategy, I could fairly escape from the 2008 global financial crisis. It would be unfair to say that my clients did not panic during the market crash, but I explained to them that markets don't grow linearly. Rather, one should use such dips to buy more units. It was a time when I had to prepare them mentally, and that's where continuous education and engagement with clients helped,\" explains Sinha. Sinha believes one needs to be strict with investors. According to him, a distributor's work is not only to manage investors' funds but also their behaviour. \"I told them if you want to punish yourself, you may withdraw,\" he laughs. When interacting with new investors, one question which Sinha poses to every client is whether they are prepared to see the value of their money going into negative territory. “If they say no, I straight forward tell them you have come to a wrong place,\" he pinpoints. He categorically mentions that he never believed in convincing customers but in filtering customers. And probably it is this model of working which has helped him sustain and grow successfully. Sinha witnessed several regulatory changes starting from the entry load ban in 2009, curbs on upfront, direct investment and many more. Owing to these changes, while there were some tough times in between, he has sailed through them all. \"Regulatory changes are not in your hands, so why worry about it. Every regulatory change was for the betterment of the industry and all stakeholders,\" he explains. Using technology, he believes, has enabled him in servicing clients in a better manner. His two sons, both computer engineers, have joined the MF distribution business as they believe MF distribution is a rewarding business. The only caveat being that one needs to work hard consistently and incremental growth and income will come your way gradually. Summing up his success mantra, Sinha points out,\" An MF distributor has to first think of his client's well-being. If you do the opposite, you are thinking neither of your benefit nor investors'.\"

\"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 11TARAKKI TIMES, JULY 2022 Your YTouar TraarakkkikCoirnCer orner TARAKKI SUCCESS STORY Deepesh Mehta Mutual Fund Distributor Deepesh Mehta, 36, a Bangalore-based Mutual Fund Distributor, manages investors' assets worth ` 185 crore in his mutual fund distribution business over the last 14 years. Serving over 360 clients/families, Mehta's one-and-a-half-decade professional journey has not been a smooth sail. His persistence, passion and the desire to do well for his clients have helped him cross several tough times. It all began in 2006. Mehta, a fresh graduate searching for jobs, landed up with a financial firm to distribute financial products. Barely a year later, he founded his own firm, Grow Wealth, in 2007 and started a full-fledged distribution of mutual funds. He recalls, \"I wasn't very specific about where I should be going. Those days, markets were booming and everybody was talking about stocks and mutual funds. I thought; why not explore opportunities in the financial distribution market!\" Mehta's journey began on a simple note. He did all the operational work - filling, collecting and submitting forms, along with continuous client meetings. This helped him understand the nuances of distribution business well. To begin with, he worked on references. However, within one year of starting his venture, the 2008 global financial crisis hit the market. It was a big jolt to a budding distributor like Mehta. \"Times were tough. Nearly 60-65% of the money got wiped out during the 2008 financial crisis. It was difficult to convince investors to invest. What saved me was the fact that most of my clients' money was invested through SIP mode and luckily I did not have many investors then. I understood handholding of investors at such times was a must,\" says Mehta. When the 2008 crisis was unfolding, a ray of guidance came to Mehta from an old gentleman who was nearing 60. Mehta calls it a 'fortunate' moment in crisis. \"He advised me not to give up and added that the financial distribution business has a bright future and should be pursued as a career option for the next 3-4 decades. I was just 23 then and his words affected me. I never looked back since then,\" he adds. Mehta kept honing his skills to manage clients and maintained a continuous thrust on SIP. And it worked. Through the meltdown, his clients had been accumulating units at lower levels, and the corpus eventually started adding up. He capitalised on technology to reach out to clients, removing geographical barriers. As he progressed and gained experience, his investors started seeing the impact of compounding on their investments, which made them take mutual funds more seriously. Otherwise, he reminisces, \"Earlier, no one took me seriously as I was too young, and most of the investors did not see mutual funds as a serious investment product. I am happy I could change that perception.\" Mehta, author of the book 'Power Your Child's Financial Future', recently converted his firm into Happy Investor Finserv, a limited liability partnership (LLP) firm along with his wife. His firm belief that mutual funds provide solutions to every financial goal has kept on propelling him ahead. Despite all the hurdles and tightening regulatory changes, Mehta did not give up and took every challenge as an opportunity. \"If the client is on your side, nothing can derail you. Investors need an entity who can guide them about their investments and that's where I make myself useful,\" says Mehta. His mantra is investors are supreme. Think and talk about their benefits, and client trust will follow. He signs off by succinctly summing up his journey, \"A combination of trust, service, knowledge and competency has helped me grow as a successful mutual fund distributor.\"

\"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, JULY 2022 Channel Partners Distributor Insights A simple guide to financial planning for early retirement Financial planning for early retirement involves identifying ways to maximise savings and investments Outlook Money | June 2022 help generate exponential predetermined frequency. You So, keep saving and step up the wealth. One of the easiest ways can schedule your SIP date at SIP amount at every instance to take exposure to equity is your convenience. For most possible. To conclude, planning through the mutual fund route. investors, this is the end of the is of great essence when it You can regularly invest in mutual investing story. What they forget comes to achieving early retire- funds through a Systematic is that investments should rise in ment. At the same time, it is no Investment Plan (SIP) or make tandem with the one’s salary to rocket science. Any and every lump sum investments as and make the dream of an early individual should start investing when possible. retirement a reality. By increasing from an early age to reap the the amount every year, you get to benefits of compounding, at The minimum amount to invest turbocharge your savings rate least when it comes to investing in a mutual fund is Rs 100. Start and potential reward over long into equities. If required, seek with an amount you are term. In the early years of one’s guidance but above all save comfortable with and gradually investment, the impact of these regularly and invest wisely. increase the amount as your actions may not be visible. But, Vikram Lachhiramka earnings increase. Let us as one typically crosses the understand the importance of seven-year threshold, the num- Director starting an investment early with bers may surprise you positively. Ayushmann Capital an example. Person A began to invest Rs 5,000 every month at Person A Person B Planning for early retirement is the age of 25, while Person B 10,000 one of the best ways to get started investing Rs 10,000 per SIP Amount (Rs) 5,000 freedom from your day job. month at the age of 35. They 35 However, to make this a reality continued this investment till the Started investing at the 25 you have to start early to build a age of 45. By that time, Person A age (years) 10 big corpus. Often, investors think had accumulated a corpus of Rs 12,00,000 this is an unsurmountable task. 49 lakh while Person B could only Years invested 20 But with guidance and the right generate Rs 23 lakh. The only 12% mutual fund selection, this can difference between A and B is Total invested amount (Rs) 12,00,000 23,00,387 become a reality. the time they stayed invested and therein lies the power of Assumed rate of return 12% Why Start Early? compounding. Capital accumulated (Rs) 49,46,277 The aim is to start early to When you start investing early, accumulate a significant corpus the number of years for com- When you start investing for retirement. Financial planning pounding to work in your favour early, compounding can for early retirement involves increases. Compounding means work for you for more identifying ways to maximise that money earns interest not years. As a result, this is your savings and investments only on the initial investment but one of the easiest ways to and ensure that your money lasts also on the interest earned. As a maximise your wealth. long after the golden years. The result, this is one of the easiest earlier you start, the more time ways to maximise your wealth. your money has to grow. Start This concept is often illustrated with whatever you can afford in the form of a snowball rolling now and increase it gradually. It down a hill. It starts small, but as is never too early to start saving it gains speed, the size increases for retirement. as it rolls further. In this journey, equity has an Step Up The SIP Game active role to play. This is because over the long term, An SIP is an automatic way to equity is one asset class that can invest a specific amount in a mutual fund of one’s choice at a

\"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 13TARAKKI TIMES, JULY 2022 Distributor Insights SIP: The perfect answer for investment doubts SIP investments allow an investor to be disciplined as a fixed sum is put in every month irrespective of the market condition Outlook Money | June 2022 Amit Marwaha What is SIP? Benefits of SIP Market Monitoring and Learning: MD It is a systematic way of inves- Inculcates Financial discipline: Apart from being disciplined in Marwaha Holdings Pvt. Ltd. ting. Here, you can invest a fixed Emotions play a critical role in our savings, an investor gets to see amount in a mutual fund scheme investment decisions. When the and learn how markets are The last few months have been of your choice periodically, and market is at a low or hitting new affected by various develop- very volatile for Indian and global the amount would automatically highs, many investors are either ments which could be domestic equity markets. Benchmark be debited from your bank too wary and exit the market or or international in nature. As a indices such as the Nifty 50 and account and be invested. rejoice and invest more in a result, over time, you will learn to NASDAQ Composite are down booming market. By investing make better investing decisions close to 7 per cent and 25 per The amount can be as small as through an SIP, an investor is in terms of new funds to cent, respectively, in the current Rs 100. If you have a lump sum disciplined by investing a fixed invest in. calendar year (as on May 10). The amount, then the optimal sum every month irrespective of situation was opposite just a few approach would be to break the the market condition. So, SIP Flexibility in Investing: months back when the market amount into smaller fragments negates the role of emotion in As seen through Priya’s example was scaling new highs every and then invest. investing. earlier, an SIP provides flexibility other day, after the initial shock in terms of investment amount of the pandemic waned. For example, say, Priya receives Facilitates Rupee Cost and tenure. You don’t need to an annual bonus of Rs 5 lakh. Averaging: wait till you accumulate a big The sharp change in market Since she has no immediate An investor gets to buy units at amount to start. behaviour has led to anxiety need for the money, she decides varying prices in an SIP. When the among investors, especially new to allocate it towards her long- investment is made in a falling To conclude, no matter what your investors. Now, such investors term financial goals and opts for market, the cost gets averaged income is, invest through an SIP are deliberating if it is time to sit an equity mutual fund. But given to a lower point and the number with a long-term view. You are out and wait for the correction to the volatile market conditions, of units allotted increases. In a likely to be surprised by the be over before deploying fresh she is worried about capital rising market, the cost gets positive result in the medium money. However, there were a erosion. averaged to a higher point and to long term. If you don’t have set of investors who, during the the units allotted decreases. This an SIP yet, consider starting market rally, believed that the bull In such a situation, she can is why it is important to stay one, today. run seemed too good to be true consider investing Rs 50,000 invested across a complete and that the market could each month through SIP over the market cycle. reverse any day. next 10 months so that there is no adverse impact on the invest- In effect, investing via SIPs leads So, they decided to wait out the ment even if the market corrects to an averaging effect on your last leg of the rally seen before during this period. overall investment cost. the turbulence began. It is quite likely you may be an investor who An SIP provides flexibility in has gone through at least one of terms of investment amount the two scenarios. So, what and tenure. You don’t need to should you do in such situations? wait till you accumulate a big The answer lies in Systematic amount to start. Investment Plans or SIPs.

\"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, JULY 2022 Fund Review List of ICICI Prudential Funds in Star Track Mutual Fund HBL | June 2022 Scheme Name BL Rating Trailling Returns (%) 10 Year CAGR 1 Year CAGR 3 Year CAGR 5 Year CAGR 14.3 14.1 ICICI Prudential Bluechip Fund 7.4 13.8 11.4 14.7 ICICI Prudential Large & Mid Cap Fund 13.5 17.3 11.6 17.4 ICICI Prudential Multicap Fund 4.3 13.1 10.4 16.6 ICICI Prudential Midcap Fund 2.5 18.1 10.9 13.3 ICICI Prudential Smallcap Fund 10.1 25.6 13.9 17.1 ICICI Prudential Focused Equity Fund 7.0 16.6 11.8 ICICI Prudential Value Discovery Fund 13.1 19.6 12.7 14.9 ICICI Prudential Long Term Equity Fund 5.8 13.9 11.5 - (Tax Saving) 12.4 15.8 ICICI Prudential Dividend Yield Equity Fund 13.2 17.1 8.7 16.1 ICICI Prudential Infrastructure Fund 12.6 ICICI Prudential Banking & Financial Services 15.9 16.2 10.4 10.1 ICICI Prudential Equity & Debt Fund 13.9 ICICI Prudential Balanced Advantage Fund -3.5 5.4 6.6 ICICI Prudential Regular Savings Fund - ICICI Prudential Nifty Next 50 Index Fund 16.5 17.5 12.8 - ICICI Prudential Nifty Private Bank ETF Fund - ICICI Prudential Midcap Select ETF Fund 6.9 11.4 9.7 - ICICI Prudential Nifty 100 Low Vol 30 ETF Fund - ICICI Prudential Alpha Low Vol 30 ETF Fund 6.2 8.7 7.9 - ICICI Prudential Silver ETF Fund 15.4 ICICI Prudential Global Stable Equity Fund (FOF) -1.0 12.5 7.3 12.4 ICICI Prudential US Bluechip Equity Fund 1 Year CAGR ICICI Prudential Child Care Fund (Gift Plan) -4.4 - - 3.6 3.4 ICICI Prudential Liquid Fund 0.2 14.0 7.8 5 Year CAGR ICICI Prudential Equity-Arbitrage Fund 6.2 2.9 15.0 12.5 6.4 ICICI Prudential Ultra Short Term Fund 6.1 ICICI Prudential Savings Fund -0.1 - - 6.6 ICICI Prudential Money Market Fund 6.6 ICICI Prudential Short Term Fund --- 6.1 ICICI Prudential Medium Term Bond Fund 5.4 ICICI Prudential Bond Fund -0.8 10.1 9.0 6.6 ICICI Prudential Long Term Bond Fund 6.8 ICICI Prudential All Seasons Bond Fund -8.5 15.3 14.8 7.3 ICICI Prudential Corporate Bond Fund 6.3 ICICI Prudential Credit Risk Fund 5.2 9.6 8.3 7.0 ICICI Prudential Banking & PSU Debt Fund 6.2 ICICI Prudential Constant Maturity Gilt Fund 1 Month Absolute 3 Month Absolute 6 Month Absolute 6.2 ICICI Prudential Gilt Fund ICICI Prudential Floating Interest Fund 4.8 4.0 3.8 3.6 3.8 3.3 1 Year CAGR 2 Year CAGR 3 Year CAGR 3.7 4.3 5.5 2.7 4.0 5.7 3.7 3.8 5.1 3.2 4.3 6.6 3.5 5.7 7.2 1.5 2.8 6.1 -0.9 0.3 3.7 2.7 4.2 6.8 3.3 4.2 6.6 4.6 6.5 7.6 3.4 4.2 6.1 -0.1 1.7 5.6 2.2 2.6 6.1 2.0 4.1 5.8 Source: NAV India; NAV for the growth option as on 08-07-2022. 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.\" Fund Review 15TARAKKI TIMES, JULY 2022 mint List of ICICI Prudential Funds in Mint 20BEST FUNDS Mint | June 2022 HYBRID 3-year return (%) 5-year return (%) Corpus (Rs cr) BALANCED ADVANTAGE ICICI Prudential Balanced Advantage Fund 10.42 9.54 40,146 DEBT Corpus (Rs cr) DCREBEDT-IOTRRIIESNKTED 1-year return (%) 3-year return (%) ICICI Prudential Credit Risk Fund 4.63 7.66 8,022 ETW Funds 100 List of ICICI Prudential Funds in the Economic Times Wealth ET Wealth | June 2022 FUND Value Research Returns (%) Fund Rating 6-month 1-year EQUITY: LARGE CAP ICICI Prudential Bluechip Fund 3-month 3-year 5-year 11.04 -8.64 -8.12 4.96 12.26 -9.27 2.44 11.68 - ICICI Prudential S&P BSE Sensex Index Fund -9.33 12.48 HYBRID: AGGRESSIVE (EQUITY ORIENTED) -7.83 -2.93 14.21 16.22 7.79 ICICI Prudential Equity & Debt Fund -1.38 6.14 HYBRID: CONSERVATIVE (DEBT ORIENTED) 0.07 -0.40 5.79 8.51 6.63 ICICI Prudential Regular Savings Fund 0.35 6.61 DEBT: MEDIUM- TO LONG-TERM 0.55 0.20 2.21 6.30 6.66 ICICI Prudential Bond Fund 0.20 6.81 DEBT: MEDIUM-TERM 0.39 1.22 3.79 7.33 ICICI Prudential Medium Term Bond Fund DEBT: SHORT-TERM 1.30 3.43 6.69 ICICI Prudential Short Term Fund DEBT: DYNAMIC BOND 0.86 3.11 6.95 ICICI Prudential All Seasons Bond Fund DEBT: CORPORATE BOND 1.16 3.36 6.66 ICICI Prudential Corporate Bond Fund 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.