ICICI Prudential has launched various types of funds, with the objective to utilize and outgrow the saved money of the investors. For this they have launched Some funds. Some of them are of the hybrid category.
This ICICI Prudential Equity and Debt fund is of aggressive hybrid category. This fund came into existence on 1st January 2013. This fund should be invested for at least 3 to 4 years i.e. for a longer period to get good returns. The cost of ICICI Prudential Equity and Debt fund is Rs 379.8 as on 30 April 2024.
Thus, when we talk about hybrid funds, we mean to say that- Those funds that are invested in various sectors like stock, bonds, gold, equity, real estate giving profit after a long time. In the same way ICICI Prudential Equity and Debt fund is a hybrid fund with stable returns. They are safe with little risk.
Manish Banthia, Akhil Kakkar, Sankaran Naren, Mittul Kalawadia, Sri Sharma and Sharmila D’m are currently the fund managers of this fund
Now to understand what are the funds in which ICICI Prudential invests we should have to understand the term equity and debt fund.
Equity fund– Equity funds are the funds in which the fund allocation manager allocates the investors money in the stocks and shares of the company. They invest in those companies that are highly responsive to the market and generate income. These equity funds are also called the growth funds.
Debt Fund– Debt funds are the funds in which the company or fund allocation manager invests the investors’ money in the government bond and securities so that the investor can get stable income. This is done to prevent the risk on the money of investors.
Thus, if the investor takes this ICICI Prudential Equity and Debt fund 69.83 % of the money is invested into mutual funds and the rest 21.63 % in debt funds. Thus, enabling the investors to earn a balanced return. This scheme is mainly for those investors who want to earn regular income.
The main feature of this fund is if the investor sells up to 30 % of its unit before a certain period no charges are applicable on the investor and if the investor sells beyond 30 %, he will be charged up to 1% penalty. The minimum investment into this fund is Rs 5000 and maximum no limit. The minimum SIP is Rs 100.
This is a balanced fund as the company invests this fund of the investors in government securities and bonds like in finance sector, energy, automobile and many others and the rest of its fund in equity.
The return of these shares is very good as per the past track records like if the investor has invested money in lump sum for 3 years the share of ICICI Prudential Equity and Debt fund has doubled the amount. This fund is highly volatile in nature. On an average of the past 5 years this fund has shown the growth of 5% to 10%.
Benefits of this ICICI Prudential Equity and Debt fund are-
- This fund is good for short- and long-term investment. As the returns are high it is good to invest in it. One can sell 30% of its unit before fixed tenure in case of emergency.
- This fund is managed by highly experienced professionals, who do a lot of market research and make changes in the investment policy accordingly.
How to buy ICICI Prudential Equity and Debt fund?
One can buy ICICI Prudential Equity and Debt fund by visiting the bank website ICICI Prudential Mutual Fund or visiting the branch directly or purchasing from through various platforms like MF Central, MF Utility or mutual fund coordinator. Most of the banks also sell mutual funds of this company.
Before investing into this fund, the company asks the investor to submit the following documents
- Passport Size photograph
- Address proof (Driving Licence, passport, Voter ID card, Job card issued by NREGA)
According to the present data ICICI Prudential Equity and Debit fund holds Assets of 37036.78 crore as on June 30, 2024. The expense ratio charged by the company for giving its services to its investors is 1.6%. The company has outperformed and has given the returns of 15.74% since the launch of this fund. This fund ranks in the 3rd and 5 th year on number three position. There are also some other funds that are comparatively good such as Quant Absolute fund direct growth, ICICI Prudential Equity and Debt Fund direct growth.
The concept of this fund is very good and has been mostly preferred by the investors than other funds. More and more investors are trying to buy this scheme.
