The new fund offer opens on June 02 and closes on June 16.
ICICI Prudential Mutual Fund today announced the launch of its three year closed end fund called ICICI Prudential Growth Fund – Series I.
Speaking on the rationale of launching the fund, Nimesh Shah, Managing Director & Chief Executive Officer, ICICI Prudential Asset Management Company Ltd. said, “Economic outlook has turned positive due to reducing deficits and stability in the Indian currency. Improvement in fundamentals indicates chances of growth recovery and Corporate India doing reasonably well. Themes/sectors like banking, infrastructure and mid-caps are likely to perform. Further with the likely implementation of new reforms, there is a potential for re-rating of earnings of the corporates in various sectors. Therefore, an economic revival, regulatory reforms and favourable industry dynamics could offer opportunities for earnings expansion. Growth in earnings can potentially benefit stock prices and hence offers an opportunity to invest in equity through mutual funds for long term wealth creation. ”
The fund aims to predominantly invest in companies with potential profit or earnings per share (EPS) growth higher than profit or EPS of Sensex. Benchmarked against CNX Nifty Index, the scheme will invest across market capitalizations with a bias towards mid and small cap space, infrastructure and banking sector consisting of a portfolio of 40-60 stocks.
The minimum application amount is Rs. 5,000 and comes with a dividend payout option only. The fund will be managed by Manish Gunwani and Venkatesh Sanjeevi.
Recently, the fund house had launched four series of is closed-end ICICI Prudential Value Fund.
ICICI Prudential AMC managed average assets under management of Rs. 1.10 lakh crore as on April 2014.