The country’s largest fund house ICICI Prudential Asset Management Co. will soon wind up two small-cap schemes run by its portfolio management division as “too much money is chasing very few quality” stocks.
The money invested in these schemes will be returned to investors, according to the company. The portfolio management services (PMS) division manages money of high networth individuals. “We are currently in the process of winding up ICICI Prudential’s PMS schemes—PIPE and Smallcap Portfolio Series I,” Nimesh Shah, who is the managing director and chief executive of the fund house said in a statement.
“We are in a situation where the valuations are very rich and too much money is chasing very few quality small cap companies,” he added.
