Publish Date:
ICICI Prudential Mutual Fund has Introduced two new scheme – ICICI Prudential Nifty G-Sec Dec 2030 Index Fund and ICICI Prudential Nifty SDL Dec 2028 Index Fund.
Both the schemes are an open-ended Target Maturity Index Fund tracking Nifty SDL Dec 2028 Index and Nifty SDL Dec 2028 Index. A relatively high interest rate risk and relatively low credit risk.
Accordingly, the investment objective of the schemes is to track and provide investment returns corresponding to the total returns of the securities as represented the Nifty G-sec Dec 2030 Index and Nifty SDL Dec 2028 Index, subject to tracking errors. However, there can be no assurance or guarantee that the investment objective of the Scheme will be achieved and the scheme does not assure or guarantee any returns.
Under normal circumstances, ICICI Prudential Nifty G-Sec Dec 2030 Index Fund will hold an allocation of 95% to 100% of its assets in Government Securities (G-sec) forming part of Nifty G-sec Dec 2030 Index. ICICI Prudential Nifty SDL Dec 2028 Index Fund will hold an allocation of 95% to 100% of its assets in State Development Loans (SDLs) of State Government/UTs forming part of Nifty SDL Dec 2028 Index.
Both the schemes will hold 0% to 5% in Money Market instruments including cash and cash equivalents (Treasury Bills, Government Securities with residual maturity of up to 1 year and Tri- Party Repos and 0% to 5% in Units of Debt schemes.
As per the Scheme Information Document, ICICI Prudential Nifty G-Sec Dec 2030 Index Fund and ICICI Prudential Nifty SDL Dec 2028 Index Fund will follow Buy and Hold investment strategy in which existing G-secs and SDLs will be held till maturity unless sold for meeting redemptions requirement and payment of IDCW.
The portfolio of eligible securities invested by the Schemes is expected to have, in aggregate, fundamental characteristics such as modified duration, weighted average maturity, aggregate credit ratings, aggregate Yield-to-Maturity (YTM) etc. along with other liquidity parameters in line with Nifty G-sec Dec 2030 Index and Nifty SDL Dec 2028 Index.
During normal circumstances, both the Scheme’s exposure to money market instruments will be in line with the asset allocation table. However, in case of maturity of G-Secs and SDLs in the Scheme portfolio, the reinvestment will be in line with the index methodology.
ICICI Prudential Nifty G-Sec Dec 2030 Index Fund and ICICI Prudential Nifty SDL Dec 2028 Index Fund’s performance will be benchmarked against Nifty G-sec Dec 2030 Index and Nifty SDL Dec 2028 Index respectively.
The scheme will be managed by Mr Anuj Tagra and Mr Darshil Dedhia
The NFO opens for subscription on October 04, 2022 and closes on October 10, 2022. The schemes will reopen for continuous sale and repurchase within 5 business days from the date of allotment.
The fund’s NAV is priced at Rs 10/- per unit during the NFO period. The minimum subscription amount is Rs 1,000/- and in multiples of any amount thereafter.
Both the schemes offer Regular Plan and Direct Plan each plan offers Growth and Income Distribution cum capital withdrawal option (IDCW) option.