Tarakki Times English July 2023

\"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 2023 | PAGES 15 Professional Views The three pillars of successful wealth generation Pg. 2 Vivek Law Money Paathshaala Nimesh Shah Hybrid strategies can Founder MD & CEO help deliver better Money Paathshaala July 03, 2023 risk-adjusted returns ICICI Prudential Mutual Fund Financial Express | July 06, 2023 In every generation, there are a worrying or panicking every few opportunities during market few individuals who achieve months, then one will get to downturns, as history has shown Sankaran Naren significant wealth. Contrary to see wealth creation. This is that economic recoveries follow common assumptions, these the first pillar, i.e. investing such periods. Hence, EI helps ED & CIO individuals are not necessarily systematically. create the base for the second exceptionally brilliant. Instead, pillar, i.e. asset allocation. Pg. 3 the attribute that led to them Therefore, wealth creation is not becoming wealthy was common about IQ but relies on common Now, we understand that not Mid and small cap sense, emotional intelligence sense and emotional intelli- all investors can live through stocks frothy, (EQ), and a prudent invest- gence. Using common sense the volatility. For this reason, large cap valuations ment strategy - investing syste- and emotional intelligence dynamic asset allocation funds comforting mically, focusing on asset alloca- enables an individual to make (DAAF) offers a solution for tion, contrarian behaviour and wise decisions, capitalise on investors concerned about mar- Forbes India | July 05, 2023 discipline. opportunities, and successfully ket volatility. It involves shifting navigate market volatility. investments between equity and Anish Tawakley Throwing light on these aspects debt based on market condi- and more, Nimesh Shah, MD & Pillar 2: Emotional Intelligence tions. When markets are high, Deputy CIO Equity & Head of Research CEO of ICICI Prudential AMC, & Asset Allocation the allocation to equity is redu- one of the biggest mutual fund ced; when the market valuation Pg. 5 house in the country, in a free- Similarly, emotional intelligence is low, the allocation to equity wheeling conversation with (EI) helps investors stay calm and increases. This approach allows ICICI Pru AMC's Alternative fund Vivek Law, Founder, Money rational during market ups and investors to capitalise on market to tap ultra rich for up to Paathshaala shares three pillars downs, preventing impulsive opportunities while managing Rs. 4k cr for wealth creation that every decisions driven by fear or greed. risk efficiently. individual can easily adhere to. Understanding that market fluc- The Economic Times | July 11, 2023 tuations are inevitable and long- Pillar 3: Focusing on Goals Pillar 1: Investing regularly term investments can weather Pg. 6 short-term volatility is the corner- Many investors may want lower Balanced portfolio with reasonable A simple way to explain this stone of successful wealth- complications in their life in returns would be to look at a salaried building. terms of financial decision- Hindu Businessline | July 07, 2023 person. The person gets a salary making. To address this require- on a fixed date every month. All Throughout history, markets ment at ICICI Prudential AMC, we Pg. 7-9 one has to do is to save a certain have witnessed cycles of booms came up with the 'Freedom SIP' percentage of the salary and and busts. Investors need to feature. Simply put, this feature OUTLOOK MONEY invest the same in a mutual fund. understand that markets will combines systematic invest- India’s Best Funds 2023 To ensure this is implemented inevitably experience both ment plans (SIPs) and systematic Outlook Money | July 2023 seamlessly, there is a feature periods of growth and decline. withdrawal plans (SWPs). In this called as the Systematic Inves- How they behave during these feature, we allow investors to Distributor Insights tment Plan (SIP). If a person extremes determine their invest regularly for a fixed period, follows this strategy continually wealth-building potential. Astute followed by a systematic Pg.10 for 10 years or more without investors take advantage of withdrawal plan to receive a Why SIPs are a perfect tool to create long-term wealth Outlook Money | July 2023 Pg.11 Mutual fund investments should match your risk profile and goals Outlook Money | July 2023 Tarakki Corner Pg.12 Gaurav Kshirsagar & Rajesh Patidar Indore, Mutual Fund Distributor Pg.13 Gowri Shankar Hyderabad, Mutual Fund Distributor 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 Contd. on page 2

\"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 2023 Interview steady cash flow after the for successful wealth creation. investors and providing them thinking during market extremes, investment period. This app- Investors should identify specific with the necessary tools and dynamic asset allocation, goal- roach is ideal for individuals financial goals and tailor their knowledge is essential for fos- based investing, and innovative seeking financial freedom dur- investment strategies accor- tering financial awareness. It is features like Freedom SIP helps ing retirement. Thus, forming dingly. Each goal may require a crucial to emphasise the power in securing one's financial future. the third pillar, i.e. extreme different investment approach, of compounding and the long- Remember, wealth creation discipline. risk tolerance, and time horizon. term benefits of starting early. journey requires patience, disci- pline, and usage of various It is a human tendency to main- Today, technology and digital To conclude, building substantial features available in the right tain discipline only when the goal platforms make investing acce- wealth through investing invol- manner. is clear. For this reason, we ssible and user-friendly, catering ves common sense, emotional encourage investors to aim for a to the younger generation's intelligence, and a long-term goal-based investing approach preferences. Encouraging young investment strategy. Contrarian Hybrid strategies can help deliver better risk-adjusted returns Financial Express July 06, 2023 Sankaran Naren term wealth. At the same time, attractive times. Be it Warren decade is that we have not seen ED & CIO the industry has done a good job Buffett or Howard Marks, all any major correction. At the ICICI Prudential Mutual Fund in popularising SIPs, systematic investment gurus say that if you same time, Europe, Japan, transfer plans and hybrid cate- invest in undervalued asset China, and the US saw significant Hybrid strategies help deliver gories like the balanced advan- classes, you actually make corrections. The absence of a big better risk-adjusted returns as tage and multi asset. money. That is something hybrid fall and the responsibility to they have cash and can identify funds are able to do because manage other people’s money is undervalued assets to invest in, Despite many of the large cap they always have cash. They are a fantastic combination. This is says S Naren, ED and CIO of ICICI funds underperforming the able to identify an undervalued one of the reasons we strongly Prudential AMC. In an interview benchmark, what has made asset class when it is cheap. believe in asset allocation, to Siddhant Mishra, he says bulk investors stick to Mfs? Hence, hybrid strategies can systematic investing, systematic of the money coming through deliver better risk-adjusted transfer plans and defensive the SIP route shows investors There is a role for active manage- returns. At this point, investors investing. As long as investors have been extremely disciplined ment in investing, especially in can consider categories like have a good investment expe- in how they use mutual funds India. Five years back, the multi-asset, balanced advan- rience, the industry will grow. On to create long-term wealth. regulator introduced scheme tage, equity and debt or equity the other hand, if investors lose Excerpts: categorisation, which defined saving, all of which are very money, the industry will see a the mandate for each category, interesting categories both in a slowdown. With indices hitting an all-time thereby bringing all offerings in a booming or a correcting market. high, how should be the category on a level-playing field. With fixed deposit rates getting investor behaviour at this As long as the market movement Data shows that passive funds attractive, but indexation point? is not narrow, there will always sector tracking the Nifty have benefit taken away, is there be scope for large cap investing crossed Rs 4 trillion in AUM. still a case for fixed income Last year, when the markets through active strategies. Since Are investors preferring instruments? were lower, the mutual fund (MF) the scheme categorisation, there passive strategies? industry received huge inflows. have been funds that have We think debt is an interesting Today, when the markets are outperformed the benchmark. The gush of inflows seen in the asset class and can be best touching all-time high, inflows Nifty index fund is primarily played through hybrid categories have moderated. What has made you a strong thanks to the efforts of the gover- like equity savings, equity and proponent of the hybrid nment by making the Employee debt, multi asset and balanced Bulk of the money is coming category? Provident Fund Organisation advantage. through the SIP route - the (EPFO) invest in passive stra- optimal way to invest for the long The best way to invest for the tegies. So, to understand the Debt MFs have very good term. It shows investors have long term is via hybrid. During actual inflows from investors governance, compliance and been extremely disciplined in the March 2020, when the markets towards passive strategy, one liquidity architecture. This com- way they use MFs to create long- tanked, we had the opportunity needs to look at the amount, net bination will ensure investors to deploy sizeable amount of of EPFO investments. continue to invest. Investors will money into equities across most continue to invest in debt for the hybrid schemes. Similarly, in What are the factors that could short term, particularly liquid, May 2020, when credit was spur the journey to becoming a liquid plans and other debt attractive, we got the chance to Rs 100-trillion industry? What schemes for the short term. We invest in credit. In a hybrid are the likely challenges? recommend investors to invest product, we are in a position to in hybrid categories like equity invest in attractive products at One major benefit over the last savings, balanced advantage Contd. on page 3

\"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 2023 and multi-asset categories for can never make money in holders the most. Whenever we with poor governance did not do the long term. equities. Similarly, without good have invested in companies with well. In our opinion, ESG is a very social norms, a country will not good corporate governance, we good indicator of a company ESG as a concept has not taken p r o s p e r. O v e r t h e c o m i n g have always benefited. For looking after the interests of off in India. Even in the US, it is decades, global warming and example, in 2007, people who minority shareholders. a divided house. How do you related issues will become invested in companies with bad view it? prominent. Historically, com- governance saw their holding panies that follow good ESG value come down to zero over Without good governance, one norms tend to benefit share- time. Similarly, stocks of NBFCs Be it Warren Buffett or Howard Marks, all investment gurus say that if you invest in undervalued asset classes, you actually make money. That is something hybrid funds are able to do because they always have cash. Mid and small cap stocks frothy, large cap valuations comforting Forbes India July 05, 2023 Anish Tawakley reasonably positive. We should which means if the economy reasonable. So, instead of taking Deputy CIO Equity & Head of see a healthy recovery in cyc- does well, markets should a view on PE expansion, I would Research licals. I think a good cycle of deliver reasonable returns. rather take a view on earnings. ICICI Prudential Mutual Fund house building is taking place backed by development of urban We are more comfortable with Q. Both December and March The deputy CIO equity & head of infrastructure. large cap valuations. We do think quarter earnings were lop- research says from an economic froth has built up in the small and sided, and most heavy lifting outlook perspective, things are So that gives me a reasonable, mid cap space. People are was done by two sectors-BFSI looking reasonably positive, the positive view about the eco- getting very optimistic in the and auto. Is this trend healthy earnings outlook is healthy, and nomy. Also, I think the monetary small and mid cap space around as earnings recovery is not that the probability of recession policy is taking a very good some relatively weak business broad-based? in the US looks low. approach of saying, ‘Inflation models. does not have to hit 4 percent When an economy recovers, it is Q. After a long time, markets immediately, but as long as it Q. Are you optimistic about the the domestic cyclicals that do have hit record highs and remains sub-6 percent, inflation rally now? Do you think it will better than staples. It is a normal surprisingly, even the smaller is reasonable’. I think this continue? pattern that in a recovering eco- stocks have been participating approach supports growth. nomy, cyclical sectors see bigger in the rally. Does it feel different That's my view on the economy. For a longer-term perspective, earnings upside. I have, for a than the last time the markets multiples, at current levels, are while, held the view that in some hit a record high in December? Now coming to valuations, our reasonable. Going forward, of the sectors like FMCG, the equity valuation model is sugg- market returns should follow problem is not the economy, but Before we go to the markets, esting that the markets are in a earnings. Given that the view on that these companies’ margins the economic outlook matters. neutral zone. They are neither economy is positive, I think the are too high, and their growth is From an economic outlook cheap nor expensive. When earnings outlook is also rea- slow because their margins are perspective, things are looking markets are cheap, it does not sonably healthy. too high. They are not investing really matter how the economy enough in new product develop- does. On the other hand, when Earnings follow the economy, ment, marketing and generating markets are expensive, it means and then the market returns consumer demand. that even if the economy does come from either multiple well, you will not get great expansion or from earnings Demand does not come on its returns. Currently, market valua- growth. There is no third source. own. At the end of the day, the tions are in the neutral zone, We think price-to-earnings (PE) is company has to invest. Some- Contd. on page 4

\"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 2023 Interview body has to tell people, brushing and unemployment is at multi- the IPO (initial public offering) appropriately. two times a day is important. So, decade lows. I expect the US market overheated. There is a when you switch on YouTube economy to get stronger be- disconnect in new-age com- The bluechip fund that you videos at night, there should be cause it is healthy despite their panies with lots of them going manage has completed 15 an ad saying, ‘Have you and your house building activity right now public with no profits or big years. In these 15 years, children brushed twice?’ If you being low. Going ahead, house losses. The market view was markets have seen multiple take up margins too high, then building is likely to pick up. So, that these companies need to cycles of highs and lows. As a obviously you don't have the the US economy is not weak- scale up to become profitable. fund manager, what has been money to invest in that kind of ening, and the probability of Whereas when I looked at the your investing strategy? demand stimulation. So, my recession looks very low. numbers, I felt they needed to view on FMCG is that the shrink to become profitable The bluechip fund follows a problem is not the economy, but Q. What is your stance on because they were already serv- bottom-up stock picking app- margins for these companies are Indian IT companies? ing customers who were unlikely roach. The fund does not take above where they are required to be profitable customers. They very big sector skews, but within for them to be making the IT demand is just normalising, had grown fast because the sectors, it picks stocks with the investments in growth. after abnormally high demand market was rewarding growth most promising outlook. It has a post Covid. Those who had got without concern for the eco- bar-bell approach to investing. Q. There is a wide divergence in too excited and extrapolated one nomics. When the market does This means we will buy cheap urban and rural consumption year of very strong demand are that, then obviously the mana- value stocks that are available at demand. Your entire bet is on being disappointed. There is no gers will spend. Due to this, I a discount to their intrinsic value economic recovery which is reason to panic, frankly. stayed away from a lot of IPOs, which, over time, will mean dependent on consumption. which was not a difficult decision revert. That’s playing for mean Does it worry you with a Just a year later, India is getting to make. I don't think that's reversion. delayed and erratic monsoon? into election mode, which brings changed. a lot of uncertainties in terms of Or at the other extreme, we buy No, I don't fully agree with that. policies and an overall business Q. How are you picking stocks companies that are about growth During Covid, when people environment. Is it going to shake as a fund manager? What are and quality. Such a company has migrated from urban to rural a bit of the confidence that you doing for due diligence? to satisfy three conditions: Have areas, I think some of that was a investors have in the markets? a demonstrated track record of boost to rural consumption. How are you going to approach That is why there is a role for profitability, be a market leader People came back and the the markets? active fund management. If and present compounding po- people who migrate are the everything was clean, there tential. What I will exclude is stuff earning members of the eco- I will focus on policies. Fiscal and would be no need for active fund which goes by the name of nomy. So, to some extent I think monetary policy should be managers. There are challenges growth at a reasonable price. rural weakness is explained by countercyclical, which means when it comes to smaller the earning members moving that when the economy is weak, companies. Generally, people go My view is if I am paying for a back to cities. The impact of the government should spend. out looking for multi-baggers in company, I want it to be a market monsoon remains to be seen. When the economy gains these pockets. What they do not leader as market leaders have But if the rest of the investment strength, the government spen- realise is that there is a lot of inherent advantages. Such a cycle sustains, like home build- ding should taper. Because when alpha to be created just by company will typically be large, ing activity sustains, some of private sector is spending, then avoiding extremely difficult have a robust balance sheet, has the cyclical sectors could do the public sector needs to spend situations. This does not mean the advantage of scale eco- well. The excuse of weak rural less. My focus will be on policies. never taking any risks… but nomics etc. This approach has demand is being overhyped by If I find that the policies are fine avoiding what can be avoided. aided in avoiding a lot of mid- companies that are under- and people are needlessly size, smaller banks that were investing. worried about elections, then it Q. What kind of due diligence? once in vogue. We have steadily will be a chance to scale up the avoided buying the next big aspi- Q. What about global eco- investment. If I find that fiscal Actually, a lot of stuff is evident. rational company-with business nomy-focussed companies or policy is not appropriate for how Look at the balance sheet, pro- models that were work in export-oriented companies like the economy is positioned, I will moter leverage, consider the risk process. Instead, we opted for IT in context of fear of recession adopt a different approach. both at the company and pro- leaders with strong competitive in Europe and in the US? moter level, and act accordingly. positions. Q. Your views on primary If you are worried about some- A: I do not believe there will be a markets which have slowed thing, you might take a smaller recession in the US. Data shows down considerably? position. A lot of it is risk mana- that the US economy is very gement, both by deciding to strong, labour market is booming Almost two years back, I found avoid or by sizing the position Economic outlook perspective, things are looking reasonably positive, the earnings outlook is healthy, and that the probability of recession in the US looks low.

\"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 2023 ICICI Pru AMC's Alternative fund to tap ultra rich for up to Rs. 4k cr The Economic Times July 11, 2023 Private Placement's first close likely in Sept; focus in power, logistics, textiles and pharma ICICI Prudential Asset Mana- \"As a strategy, we want to PITCH BOOK gement Company's alternative diversify the portfolio. We are investment fund (AIF) is planning keeping a cap of 20% in each TARGET SIZE to raise up to `4,000 crore sector and the ideal preference is through a private placement, to have 12-15 transactions in the `1,500 cr with the firm largely looking to fund, so on a weighted average deploy the funds in sectors such basis, you will have 7-8% GREENSHOE OPTION as power, logistics, textiles and allocation,\" Daga said. pharmaceuticals. `2,500 cr The term of the scheme is four \"This is primarily for ultra-HNIs years and six months from the TERM (high net worth individuals), date of the first closing and family offices and institutions. includes provisions for two 4 years, 6 months Our transactions underlying are extensions of one year each three-to-four years. The average with the prior approval of contri- COMMITMENT PERIOD hold is three years,\" said Shekhar butors. The commitment period Daga, head-private capital at for the fresh AIF series is 36 36 months ICICI Prudential AMC told ET. months from the date of the first closing unless terminated SECTORS AIMED AT Following the close of ICICI sooner or extended by the invest- Prudential Corporate Credit ment manager. The period may Power, textiles, roads, Opportunities Fund AIF-1, which be extended by up to 12 months pharma, hospitality, raised `1,600 crore, ICICI by the investment manager. Prudential Alternative Invest- supply chain, logistics ments will now launch the With taxation changes for mutual closed-ended AIF-II series. The funds and products like market- series falls under the ICICI linked debentures levelling out Prudential Debt Fund - Category the playing field for entities like II AIF. HNIs, a greater shift towards the alternative investment space has The target size is `1,500 crore been observed, Daga said, with a greenshoe option of adding that traditional sources of `2,500 crore. capital had shrunk following turmoil in credit markets. \"The sectors where we have invested or are exploring invest- \"Today, as we speak, more than ments include power, textiles, 45% of HNIs have alternate roads, pharma, hospitality, allocations. Ultra-HNIs in India supply chain and logistics. We are moving more towards alter- are looking at similar sectors for natives as far as asset allocation the new fund - old economy, is concerned,\" he said. asset-heavy businesses. We are looking at September as the first close,\" said Daga. The scheme will not look at The fund will take capital commitments distressed or companies with to deploy funds mainly in debt securities special situations, he said. of the investee entities. The new fund will take capital commitments to deploy funds mainly in debt securities of the investee entities either through primary or secondary market purchases.

\"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 2023 Fund Review Balanced portfolio with reasonable returns Hindu Businessline July 07, 2023 By VENKATASUBRAMANIAN K FUND CALL. ICICI Pru Regular Savings is a good option for investors with a modest risk appetite For financial goals that are less WHY 3-year rolling returns over June 2013 to June 2023 than five years away or to help reasonably protect and grow • Significantly invested in ICICI Pru Regular Savings Fund(G) - Direct Plan (%) existing capital, the conservative AA-rated securities hybrid fund category can be 20 considered by investors who • Equity allocation to well have a moderate or low risk below 25 per cent 15 appetite. Even as a portfolio diversifier, the category can be a • Helps beat inflation with 10 useful investment. Market regu- a low-risk portfolio lator SEBI has mandated that 5 conservative hybrid funds must 5.9 per cent over three-year invest 10-25 per cent of their rolling periods. ICICI Prudential Max Min Median Mean 0 portfolio in equity and equity- Regular Savings has delivered related instruments, while 75-90 more than 10 per cent over three- Asset allocation (%) per cent must be parked in debt year rolling periods over 62 per securities. cent of the times in the last 10 Others Equity years. On five-year rolling returns 2.2% shares The recent tax changes - removal over June 2013 to June 2023, 23.5% of both indexation benefit as well again, the fund has delivered a Debt as the distinction of long and robust 10.44 per cent on an holdings Source: ACE MF short terms - may have taken average. All gains from conser- 74.4% some sheen off debt funds and vative hybrid funds are added to even conservative hybrid sche- investors’ income and taxed at The stocks are usually from the cent exposure to 07.93 per cent mes. Nonetheless, conservative the applicable slab. But if returns Nifty 50 basket and are therefore GOI Floater 2034. The average hybrid funds can help beat are healthy at 10 per cent levels, only bluechips for most part. maturity of the debt portfolio in inflation with a low-risk portfolio as managed by this fund, the the last one year has been in and serve as a suitable vehicle post-tax returns would still be On the debt portion, there is a excess of five years, suggesting for saving towards medium-term healthy enough to beat inflation mix of certificates of deposits, that the fund prefers securities in goals. In this regard, ICICI for even those in the 30-per cent government securities, corpo- the medium-term maturity. The Prudential Regular Savings can slab. rate securities and commercial modified duration in its latest be considered by conservative papers. The fund invests signi- portfolio is 1.66 years, which is investors with a three- five-year Blend of debt and equity ficantly in AA-rated securities as reasonable in terms of interest time horizon. It has delivered well for better yields. But the rate sensitivity. The yield to above-average returns consis- Given that equities can account exposure here is to fairly stable maturity is a healthy 8.16 per tently and has been among the for only a quarter of the portfolio large corporates such as Tata cent, nearly a percentage point best in its category. Investment in conservative hybrid funds, Housing Development Com- more than last year’s figures. via lump-sums is suitable for they serve the purpose of provi- pany, Bharti Telecom, ONGC conservative hybrid funds, ding a kicker to otherwise debt- Petro Additions, Muthoot ICICI Prudential Regular Savings though SIPs (systematic invest- like returns. Finance, Manappuram Finance is thus a balanced portfolio with ment plans), too, would not be and the like. So, credit risks are reasonable returns for investors totally out of place for asset allo- ICICI Prudential Regular Savings quite low. In keeping with the with a modest risk appetite cation as part of long-term goals. keeps the proportion of equities higher interest rate scenario, the looking to preserve capital and to well below 25 per cent of the fund also invests in floating rate beat inflation convincingly. Consistent show portfolio. In fact, net equity bonds. It has almost 12.3 per accounted for well below 20 per ICICI Prudential Regular Savings cent of the total pie over the past has been among the top few few years, but has been funds in its category. When increased to nearly 23.5 per cent, three-year rolling returns over as per its May 2023 fact-sheet. the 10-year period from June 2013 to 2023 are taken, the fund has delivered an average of nearly 10.8 per cent. This return places it above peers such as HDFC Hybrid Debt, Canara Robeco Conservative Hybrid, Axis Regular Saver and UTI Regular Savings. A key aspect to note is that in any three-year rolling period over the last 10 years, the fund has not given negative returns. The minimum itself is an impressive

\"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 7TARAKKI TIMES, JULY 2023 OUTLOOK India’s Best Funds 2023 MONEY Outlook Money July 2023 5-STAR FUNDS EQUITY Large-and-Mid-Cap Value ICICI Pru Large & Mid Cap ICICI Pru Value Discovery Large Cap ICICI Pru Bluechip HYBRID Equity-Oriented Hybrid ICICI Pru Equity & Debt Balanced Advantage ICICI Pru Balanced Advantage `` ` ` `

\"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 2023 Fund Review `` ` ` ` ` ` ` ` `

\"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 2023 :` ` ` ` ` :` ` ` ` `

\"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 2023 Channel Partners Distributor Insights Why SIPs are a perfect tool to create long-term wealth Outlook Money July 2023 Systematic investment plans (SIPs) aren’t the apple of the investor’s eye without reason, as they offer convenience and the power of compounding to help you create wealth. Naveen Khullar tently over decade can help Protection from Market Volatility the end of 15 years, your invest- create sizeable wealth. ment would have grown to over Founder & Owner, Market volatility is part and `25 lakhs. Now, if you continue Bachat Nivesh Convenient Method parcel of equity investing and your SIP for another five years, consequently mutual fund i.e., 20 years in total, the total What if we tell there was a sure- One of the main reasons why SIP investing. In this journey, one of value of your investment would shot formula to create wealth? is so popular amongst investors the often made mistake is taking have grown to around `50 lakhs. You must be thinking that it is a is the convenience that SIP impulsive decisions to stop SIPs Keep investing for another 10 joke. You might say that if it offers. For setting up SIP, one based on the current market years, and you will have accu- existed, we would all be rich. The needs to select a preferred date, trends. This is injurious to wealth mulated around `1.76 crores. approach we are talking about is the mutual fund scheme to creation. The best way to avoid This example shows the power Systematic Investment Plan invest into and the amount. This such reactions is by investing in of consistent investment in (SIP). This is an investment route amount will be deducted auto- mutual funds through SIP. This creating wealth over multiple wherein investors can make a matically from the assigned bank will keep investors from taking decades. predetermined investment at account on the preferred date. impulsive actions, thereby redu- regular intervals in a mutual fund. This setup ensures that the SIP cing the probability of taking Goal Based Planning When you continue investing in investment continues on an actions which are detrimental to mutual funds in a disciplined auto-pilot mode, without requi- one’s financial health. Through SIPs, an investor can manner, it can lead to wealth ring any conscious step from the achieve various financial goals creation in the long run. Here, we investor’s end. Power of Compounding like child’s education, marriage, will look at the various benefits of retirement planning, etc. For investing in a mutual fund Rupee Cost Averaging When you invest in mutual funds, each of thes goals, start an SIP through SIP and how wealth is the returns generated by the and tag the financial goal to it. Do created over the long term. When investing through SIP over fund get reinvested in the fund, not make the mistake of pausing several years, one the advan- which leads to a compounding of or stoping SIPs along the tages is that the investor gets returns. As a result, the longer investment tenure. Also, as and the benefit of rupee cost avera- you stay invested, the higher will when one wishes to increase the ging. What this menas is that be the impact of the power of SIP amount, there is an option of when investing in an uptrending compounding. Let us consider a SIP Top-up which will ensure the market, the investor gets lesser an example to understand the SIP amount keeps pace with your units and when investing thro- potential of SIP in wealth crea- increase in income and reach ugh market downturns, one gets tion over 15, 20, and 30 years. your goals faster. more number of units. As a result, by staying invested Suppose an investor is investing To conclude, SIP is a simple tool. through market ups and downs, Rs. 5,000 per month through SIP one gets to average the cost of for 15 years, and the expected investment. average annual return is 12%. At Flexibility to Start Small The beauty of SIP is that one can start small and keep increasing the amount as Do you have only Rs.100 to the income increases over the years. This invest every month? Don’t worry. simple technique, done consistently over You can start investing in mutual a decade, can help create sizeable wealth. funds through SIP for as low as Rs.100. This means one need not wait till a sizeable amount is put together to start investments. This also means there is no excu- se to postpone investments. The beauty of SIP is that one can start small and keep increasing the amount as the income increases over the years. This simple technique done consis

\"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 11TARAKKI TIMES, JULY 2023 Distributor Insights Mutual fund investments should match your risk profile and goals Outlook Money July 2023 Mutual fund investments need careful consideration of various aspects like the scheme’s objective, performance, etc., but more importantly, your risk-taking ability and goals. Sandeep Gandhi while others may invest in bonds fensive style, contra style, etc.; the portfolio, the quality of the CFPcm or both (hybrid). Debtoriented remember that depending upon papers invested by the fund funds provide lower returns but the market cycles, different manager, and the expense ratio CEO, are less volatile than equity- investment styles work. Inves- of the fund. Mega Financial Services oriented funds, which typically tors should focus on the long- offer higher returns, but it also term potential of the scheme In conclusion, investing in Investors in India are increasingly carries higher risk and volatility rather than being persuaded by mutual funds requires careful choosing mutual funds. Given too. Based on their investment short-term returns and market consideration of a number of the variety of options, it might be objectives, investors should fluctuations. variables. Novice investors difficult for investors to select select a mutual fund scheme that should consider a scheme’s the best mutual fund scheme matches their risk profile and Investors should also diversify investment objective, historical suitable to them. While return is goals. their portfolios by investing in a performance, volatility, fund a crucial factor, investors should variety of asset classes. They manager’s track record, style of pay more attention to the risk The performance of the fund should not look at the risk of managing the fund, and the taken by the fund manager than may not be fully depicted by individual schemes but should expense ratio, to name a few. merely its absolute returns and historical returns alone. Inves- focus on their own portfolio Investors can make wise invest- they should focus more on the tors must consider the volatility levels. Proper diversification ment decisions and create a amount of risk they are willing to of returns over time. A scheme lowers the portfolio’s total risk. good investment portfolio by accept for possible returns. with high returns but excessive But at the same time, many considering these aspects. In volatility may not be suitable for investments in the same asset order to get the most out of their A mutual fund scheme’s invest- investors seeking stable returns. classes should be avoided by money and achieve their finan- ment objective and its approach For risk-averse investors, a investors, as it might result in cial goals, my advice to inves- to the portfolio should be an scheme with moderate returns overexposure and an increase in tors is to consult their financial important criterion. Some invest- but low volatility would be a the risks. advisor, who understands the ment plans may invest in stocks, preferable option. intricacies of mutual fund sche- While investing in equity mutual mes, and discuss with him in The track record of the fund funds, investors should have a detail all the aspects and then manager and his team is another long-term time horizon. The construct a rock-solid invest- important factor to consider. The power of compounding can ment portfolio. success or failure of a fund can produce considerably higher be dramatically impacted by the returns over a longer period. Sandeep Gandhi, CFPCM. is the fund manager and his team. CEO of Mega Financial Services. Investors should find out a fund While investing in debt mutual He has vast experience in management team which has a funds, investors should match financial services of more than track record of effectively mana- the modified duration of the 35 years. He can be reached at ging risk and generating returns. portfolios with the objective of [email protected] . Different fund managers have their investments. Instead of different styles of managing looking at past performance, funds like aggressive style, de- they should focus on the YTM of Investors should not look at the risk of individual schemes but should focus on their own portfolio levels. Proper diversification lowers the portfolio’s total 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.\" 12 TARAKKI TIMES, JULY 2023 Tarakki Corner Your YTouar TraarakkkikCoirnCer orner TARAKKI SUCCESS STORY Gaurav Kshirsagar & Rajesh Patidar Indore, Mutual Fund Distributor Gaurav Kshirsagar and Rajesh Patidar, both 38 years old are co-founders of Indore-based mutual fund distribution firm Investologist Financials and manage investors assets worth more than ` 110 crore. With a financial industry background for the last 14 years, the duo cater to over 200 families - mostly HNIs with a monthly SIP book of ` 45 lakh. Kshirsagar was into wealth management, handling HNIs, NRIs and corporates from the beginning of his career while Patidar had the expertise in corporate and business banking along with a stint in wealth management. After working for 7 years in Mumbai at various private banks and brokerage houses, Gaurav shifted to his home town Indore in 2013. It was here that he met his future partner Rajesh as both worked in the same private bank. \"We gelled with each other and discovered we both had the same thought process when it comes to servicing the clients. We never sold a wrong product to our customers while being in jobs despite the target meeting pressure from the bank,\" elaborates Kshirsagar. This helped them build trust and confidence among investors. Right from the beginning of his professional career, Kshirsagar was into mutual funds and learned the practicality of boarding, acquiring and building relationships with clients. Patidar, on the other hand, honed his skills in handling institutional clients. Both had a dream to start something of their own. Mutual Fund, for them, is a potential financial product which offers alternatives to saving accounts to long-term wealth creation. \"In fact, investors have no reasons not to invest in mutual funds,\" says a confident Kshirsagar. In April, 2017, Kshirsagar quit his job while Patidar quit a year later and both tied up in 2018. Though their parents were concerned as both were at senior positions with fat packages, they did not resist. Over a decade of relationship with their clients helped the duo as their investors wanted to remain with them. So they began with quite a decent asset size of ` 6 crore. But faced the initial challenges of onboarding new clients. \"The first six months we just devoted our whole time in calling potential investors whom we had met earlier without knowing whether they will join us or not,\" reminisces Kshirsagar. He is obliged to his existing clients who helped them with referrals. \"Existing clientele helped us a lot by proposing our names to new investors and convincing them on our behalf,\" he acknowledges. This offered the initial push to their new venture. Both admit that their togetherness is a big force in building the business. \"Had we been doing this separately, possibly we could not have grown. Our joint efforts really worked well,\" they say while acknowledging each other's contribution with respect. Being in the industry, they could foresee upcoming changes in the brokerage-model. \"We were into trail already as we knew changes were coming. We planned our future business on the basis of trail. This way clients benefit and we are not at loss either,\" says Kshirsagar. This helped them eschew the sudden impact of an upfront ban in 2018. Further, they understood the importance of technology and from the start they focused on it. Being digital when it comes to on boarding clients, transactions or services has been a major strength for their growth. This immensely helped the duo in overcoming the 2020 pandemic. \"It was quite natural for everybody to panic as the market sharply corrected. Since we had the experience of the 2008 crisis, that helped in 2020. Technically, we did not face any problem as we were completely online. Though physical meetings had stopped, we used video calls to regularly connect with clients and address their queries and explain what was happening to help them stay put,\" says Kshirsagar. With a bounce back in the market within a few months, trust and confidence of clients over the banker duo just got amplified. Kshirsagar adds, \"If one has no skills but is ethical, that's good for the business. If you are skilful but have no ethics, it would be disastrous.\" According to them, keeping clients' interest first leads to a win-win situation for all. \"Since the fund distribution business has a long gestation period, one should not be dependent on this for income for the first 3-5 years. Meanwhile, one should try to understand the forthcoming changes in the sector and mould the business accordingly much before it actually happens,\" they sum 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.\" Tarakki Corner 13TARAKKI TIMES, JULY 2023 Your YTouar TraarakkkikCoirnCer orner TARAKKI SUCCESS STORY Gowri Shankar Hyderabad, Mutual Fund Distributor Gowri Shankar, 56, a Hyderabad-based mutual fund distributor manages Mutual Funds Assets worth ` 94 crore. In addition he also manages sizable assets, in Direct Equities, Fixed Income, Gold and Senior Citizen Products. He runs Mutual Fund SIP book of ` 48 lakh while catering to nearly 400 clients - mostly retail. Despite being a Certified Financial Planner (CFP) he preferred to be in Distribution and adding value to his clients as his interest was in the financial market and Financial Products as Vehicles to reach each individual's specific Goal and Objectives. Familiar with the early 90s boom in the stock market, he started his business as a sub-broker, with a Member of the Hyderabad Stock Exchange. When the membership was opened in 1995/1996 he was admitted as a Professional Member of the Hyderabad Stock Exchange. Soon he brought in several other financial products in his product basket ranging from Foreign Exchange (as RBI Licensed Full Fledged Money Changer) Corporate Deposits, NCD's , Capital Gains Bonds, life and general insurance (Zen Insurance Brokers) , among others. It was in 2008 that Shankar got his ARN to start mutual fund distribution. \"I was not serious about it. It was a slow start,\" he admits. He started with tax saving mutual funds. \"Since I was into everything I forgot who I am,\" laughs Shankar. After completing his CFP in 2013, he concentrated on mutual funds as a business. Since Mutual Fund was a new product in his basket, Shankar had a few initial challenges. \"I faced resistance from investors who were of the view that returns from mutual funds are minuscule. It was difficult to convince them as they had seen high returns from direct stocks and did not take mutual funds seriously,\" he reminisces. Meanwhile, he had his own personal investment through SIP since 2010. \"Already my own investments were 4-5 years old, so I shared my investment experience with them. Reluctantly, they agreed but started investment with a small sum of ` 5000,\" he smiles. Over a period of time his clients saw the benefits of how with small installments of money good returns can be had. \"Thus, slowly other clients of mine and the referrals I got started mutual fund investments,\" explains Shankar. He claims he is not a marketing person and does business solely on referral basis. According to him, a mutual fund is such a beautiful financial product (Sarvaroha Nivarini) that one can't go wrong with it even if a scheme does not perform during some phases. \"You can't stick to a stock for long but you can remain with a fund for much longer, and it won't disappoint in the long- term,\" he says with conviction. Further added with features of diversification, he says, mutual funds can help any investors meet various financial goals. \"In fact, there is no need to look beyond mutual funds for all your financial needs,\" he says confidently. When the upfront commission was banned in 2018, Shankar did feel a bit disappointed. \"I was feeling bad about it but at the same time I had the realization that trail is the way forward. Though initially I had difficulty in accepting this model,\" he admits honestly. He understood that Shankar feels that he needs to increase focus on SIP mode of investments as currently most of his assets are through lump sum mode. He understands well that lump sum investments have their own advantages and disadvantages while investments made through the SIP route are stickier and stay longer. The 2020 pandemic was a difficult phase for Shankar. He admits that he was able to hold on to his investors till September, of the year but it became tough to hold them beyond a point. Where Shankar lags is his inability to convey his conviction to clients. \"I have a firm conviction in mutual funds but possibly I am not able to convey the same effectively to my clients,\" he smiles. He proudly says that only a few clients quit. \"And those who stayed, their trust and confidence increased on me as markets handsomely rewarded them. This way they might have a feeling that I was more like a guardian of their investments,\" he chuckles. Continuous engagement with clients is the base of building this business for him. \"Client First approach and high ethics are absolutely important. There is no two ways about it,\" says a confident Shankar. My aim is to have happy clients; assets and commission will just be by-products, he adds. Shankar briefly sums up his success mantra, \"Keep interest of clients first, work hard and be focused without finding short cuts for growth.\"

\"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 2023 Fund Review List of ICICI Prudential Funds in HBL July2023 Star Track Mutual Fund Scheme Name BL Rating Trailling Returns (%) 10 Year CAGR 1 Year CAGR 3 Year CAGR 5 Year CAGR 15.2 15.7 ICICI Prudential Bluechip Fund 24.6 25.2 13.8 16.1 ICICI Prudential Large & Mid Cap Fund 25.8 31.6 16.1 19.9 ICICI Prudential Multicap Fund 26.4 28.6 14.0 18.1 ICICI Prudential Midcap Fund 19.0 30.5 13.7 14.6 ICICI Prudential Smallcap Fund 27.3 42.7 20.3 19.3 ICICI Prudential Focused Equity Fund 27.1 26.4 14.8 ICICI Prudential Value Discovery Fund 28.0 31.0 16.4 16.1 ICICI Prudential Long Term Equity Fund 21.0 24.9 13.0 - (Tax Saving) 14.2 17.1 ICICI Prudential Dividend Yield Equity Fund 29.4 32.7 14.3 16.5 21.0 ICICI Prudential FMCG Fund 25.8 23.4 14.7 16.7 12.5 ICICI Prudential Infrastructure Fund 43.9 42.1 19.3 10.1 13.9 ICICI Prudential Banking & Financial Services 26.6 26.7 11.0 - ICICI Prudential Technology Fund 17.0 35.4 20.8 - - ICICI Prudential Equity & Debt Fund 22.9 28.6 16.4 - - ICICI Prudential Balanced Advantage Fund 13.6 15.9 10.8 - 14.8 ICICI Prudential Regular Savings Fund 10.4 9.9 8.8 14.4 1 Year CAGR ICICI Prudential Nifty Next 50 Index Fund 13.9 19.2 9.3 6.4 6.2 ICICI Prudential Nifty Private Bank ETF Fund 32.1 25.4 - 5 Year CAGR 6.2 ICICI Prudential Midcap Select ETF Fund 18.8 25.6 11.3 6.7 6.1 ICICI Prudential Nifty 100 Low Vol 30 ETF Fund 21.2 22.1 12.8 7.2 7.2 ICICI Prudential Alpha Low Vol 30 ETF Fund 24.8 - - 7.3 7.0 ICICI Prudential Silver ETF Fund 36.4 - - 7.7 7.3 ICICI Prudential Global Stable Equity Fund (FOF) 14.7 13.0 9.5 7.5 7.0 ICICI Prudential US Bluechip Equity Fund 31.4 17.4 15.9 8.5 7.9 ICICI Prudential Child Care Fund (Gift Plan) 19.2 19.4 10.3 6.7 ICICI Prudential Liquid Fund 1 Month Absolute 3 Month Absolute 6 Month Absolute 6.8 6.7 6.9 ICICI Prudential Equity-Arbitrage Fund 7.7 7.1 7.1 ICICI Prudential Ultra Short Term Fund 1 Year CAGR 2 Year CAGR 3 Year CAGR 6.4 5.1 5.0 ICICI Prudential Savings Fund 7.8 5.3 5.3 ICICI Prudential Money Market Fund 6.9 5.3 4.8 ICICI Prudential Short Term Fund 7.5 5.4 5.3 ICICI Prudential Medium Term Bond Fund 7.2 5.4 6.1 ICICI Prudential Bond Fund 7.9 4.8 4.5 ICICI Prudential Long Term Bond Fund 8.5 3.8 2.9 ICICI Prudential All Seasons Bond Fund 8.1 5.5 5.6 ICICI Prudential Corporate Bond Fund 7.6 5.5 5.3 ICICI Prudential Credit Risk Fund 6.8 5.7 6.5 ICICI Prudential Banking & PSU Debt Fund 7.3 5.5 5.2 ICICI Prudential Constant Maturity Gilt Fund 8.8 4.3 4.1 ICICI Prudential Gilt Fund 8.9 5.8 4.8 ICICI Prudential Floating Interest Fund 8.1 5.1 5.4 Source: NAV India; NAV for the growth option as on 14-07-2023. 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 2023 mint List of ICICI Prudential Funds in Mint 20BEST FUNDS Mint July 2023 HYBRID 3-year return (%) 5-year return (%) Corpus (Rs cr) BALANCED ADVANTAGE ICICI Prudential Balanced Advantage Fund 15.43 10.90 47,662 ETW Funds 100 List of ICICI Prudential Funds in the Economic Times Wealth ET Wealth July 2023 FUND Value Research Returns (%) Fund Rating 3-month 6-month 1-year 3-year 5-year 9.50 13.52 EQUITY: LARGE CAP 9.21 9.15 22.74 24.20 12.54 ICICI Prudential Bluechip Fund 8.85 13.10 ICICI Prudential Nifty 50 Index Fund 8.90 21.39 22.35 10.98 15.73 ICICI Prudential S&P BSE Sensex Index Fund 16.62 9.65 22.35 22.05 - EQUITY: LARGE & MIDCAP 12.36 ICICI Prudential Large & Midcap Fund 9.43 9.72 24.26 30.67 14.55 EQUITY: FLEXI CAP 8.24 ICICI Prudential Retirement Fund 4.30 14.09 24.22 29.76 16.16 1.85 11.63 24.98 25.68 16.10 ICICI Prudential Focused Equity Fund 1.90 8.72 EQUITY: VALUE ORIENTED 2.00 10.10 27.03 30.21 7.19 ICICI Prudential Value Discovery Fund 2.01 7.23 HYBRID: AGGRESSIVE (EQUITY ORIENTED) 9.75 21.87 27.95 7.71 ICICI Prudential Equity & Debt Fund 7.29 HYBRID: CONSERVATIVE (DEBT ORIENTED) 4.94 10.00 9.67 ICICI Prudential Regular Savings Fund DEBT: MEDIUM-TERM 3.68 7.17 6.06 ICICI Prudential Medium Term Bond Fund DEBT: SHORT-TERM 3.74 7.55 5.29 ICICI Prudential Short Term Fund DEBT: DYNAMIC BOND 3.90 8.19 5.50 ICICI Prudential All Seasons Bond Fund DEBT: CORPORATE BOND 3.92 7.56 5.24 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.