ICICI Prudential Multi Asset Fund

ICICI Prudential Multi Asset Fund is an open ended investing across asset classes. The main objective of the funds is to create long term wealth by investing predominantly in equity and equity related instruments and income by investing across other asset classes like Debt, Gold, and other asset classes. The scheme is suitable for investors who are looking for diversified exposure across asset classes.

Fund Managers:

Sankaran Naren : Managing this fund from Feb 2012, earlier managed from Sep 2006 to Feb 2011 and & has Overall 29 Years of experience.
Ihab Dalwai: Managing this fund since June, 2017 & overall 8 years of experience
Anuj Tagra: Managing this fund since May, 2018 & Overall 12 years of experience

Asset Allocation :

This fund invests minimum 65% of its assets in equity oriented securities, 10% -35% of its assets in debt and gold/gold ETFs and 0% -10% in REITs & InvITs.
Equity, in the portfolio, plays the part of wealth creator but goes through phases of consolidation and growth during the process of wealth creation. Debt aims to offer stability to portfolio and provides opportunities for stable and consistent returns over the long period. Gold, which also comes with its phases of consolidation and growth, acts as a good hedge and can help in protecting portfolio from risks such as inflation and bring stability to the portfolio.
The portfolio works in a three-fold manner providing the agility of an equity stock, regular income through debt instruments and safety of a gold asset.

Equity Allocation:

Currently, it has around 66% of its assets in equity oriented securities. The fund follows flexi cap strategy this strategy allows fund manager to diversify portfolio across all market capitalizations and sectors based on the opportunities available in the market. This fund is over weight on energy sector, financial and metals.

Performance Analysis:

The fund has an AUM of Rs. 11,060 cr as on 31 July 2019 and has a good historical performance track record. Fund has been consistently outperformed the benchmark and its category in 3,5,10 years. The fund has generated 21.96% return since inception as against benchmark index 17.90%. If you had invested Rs. 10000 per month at the time of inception (Invested amount 19.9 Laks), your money would have grown to 97.62 lakh by end of June 30, 2019.

Below is the SIP Performance of the scheme :( as on June 30,2019)

Dividend Payment History:

This fund has a good dividend payment history and able to pay dividends consistently every month.

Who Can Invest?

Investors who wish to opportunistically invest across multiple asset classes could consider investing in this scheme with an investment horizon of 5 years or above. An investor can start Investing in this fund with a minimum one-time investment of Rs. 5000 or Monthly SIP Rs. 100 with a minimum of 6 installments. This fund is suitable for investors who want to park their money for long term financial goals and create long term wealth with an investment horizon of more than 5 years and above.

Peer Performance:

Reliance Growth Fund:

Reliance Growth Fund is an open ended Midcap oriented fund. The main objective of the scheme is to create long term wealth by investing high growth companies.

The fund has been managed by Manish Gunwani since 2017. He has 17 years of profound experience in the financial services industry. The fund follows largely bottom up or a stock specific investment approach. Stocks are selected based on gap between fair value and market price. The fund endeavors to identify growth stocks that are available at reasonable valuation, thus adopting a Growth at Reasonable Price (GARP) style for investing.

Fund is primarily focused on the Mid Cap space with allocations of around 65% - 70%. Rest is equally divided in large cap and small cap (10-15% each) with cash levels being 3-8% most of the time. It maintains a well diversified portfolio considering the liquidity profile of the Mid & Small cap space. The top 40 stocks are usually accounts for 75-80% of the fund. The fund is presently overweight in the financial, consumer discretionary, materials and healthcare sectors with 28.7%, 16.1%, 10.4%, and 10.3% respectively.

Performance Analysis

The fund has an AUM of Rs. 6257 cr as on 31 July 2019 and has a good historical performance track record. The fund has been in the forefront of wealth creation over the last two decades and since inception (Oct-95) has increased investor wealth by over 113x (times) during this period. The fund has generated 21.49% return since inception as against benchmark index S&P BSE Mid Cap has given 18.01%. If you had invested Rs. 5000 per month at the time of inception (Invested amount 14.20 Laks), your money would have grown to 3.75 Crores by end of June 30,2019.

An investor can start Investing in this fund with a minimum one-time investment of Rs. 5000 or Monthly SIP Rs. 100 with a minimum of 6 installments. This fund is suitable for investors who want to park their money for long term financial goals and create long term wealth with an investment horizon of more than 5 years and above.

Peer Performance:

UTI Mastershare-Reg(G)

UTI Mastershare is an open ended large cap fund. The main objective of the scheme is to generate long term capital appreciation by investing predominantly in equity and equity-related securities of large-cap companies.

This Fund was India’s first equity oriented fund launched in October 1986. The fund is managing by Swati Anil Kulkarni since 2006. She has a profound experience in the financial services industry. The Fund takes a top-down view for sector selection and then uses a bottom-up approach for stock selection. The Fund invests 80% of its assets in large market capitalization companies at a reasonable price and remaining 20% will be invested in Mid & Small Cap Companies which would increase the return of portfolio so that fund can outperform the benchmark indices. The Fund maintains a well-diversified portfolio and avoids sector as well as stock concentration. The fund currently overweight in the financial sector, technology sector.

The fund has an AUM of Rs. 6003.38 cr as on 30 April 2019 and has a good historical performance track record. The fund has generated 11.13% in a 5 year period as against benchmark index S&P BSE 100 has given 9.62%. If you had invested Rs. 5000 per month for 10 years in this fund (Invested amount 6 Lakhs), your money would have grown to 10.87 lakhs by now.

Investors who wish to own large-cap stocks in their portfolio that are quality businesses having steady cash flows, steady earnings growth and bought at a reasonable price. An investor can start Investing in this fund with a minimum one-time investment of Rs. 100 or Monthly SIP Rs. 100 with a minimum of 6 installments. This fund is suitable for investors who want to park their money for long term goals with an investment horizon of more than 5 years and who want to steady wealth creation in the long term investment horizon.

The investor can also look into below funds within the same category.

IIFL Focused Equity Fund-Reg(G)

The Fund objective is to generate long term capital appreciation for investors from a portfolio of equity and equity-related securities. The fund follows a focused investment approach investing in a maximum of 30 stocks in the portfolio.

The fund is managed by Mr. Prashasta Seth. He has over 17 years of experience in the financial services industry. He has been managing this fund since November 2016. The fund follows the multi cap strategy and has a large part of the portfolio in Large-cap companies. The fund also has decent exposure to mid and small companies which will have the potential to generate superior returns in the long run.

The fund bets on secular-growth stocks, cyclical, and defensives, with relatively large exposure to secular growth stocks which have consistently delivered an ROE of 15% and expected to maintain a growth rate of 15% or above over a period of time. It avoids stocks that have corporate-governance issues or those that are valuation traps. The fund’s outperformance largely arises from exposure to the right sectors. The fund has overweight on the financial sector, health care, technology.

The fund has a track record of 4.5 years and has generated a return of 10.8% Vs benchmark S&P BSE 200-TRI return 10.3% since its inception. An investor can start Investing in this fund with a minimum one-time investment of Rs. 5000 or Monthly SIP Rs. 1000 with minimum of 6 installments. This fund is suitable for investors who are moderate to aggressive risk taker and want to park their money for long term goals with an investment horizon of more than 5 years.

Investor can also look into below funds in the same category.

Parag Parikh Long Term Equity Fund-Reg(G):

The fund main objective is to achieve long term capital appreciation by primarily investing in equity and equity related instruments. The fund does not have any limitations and restrictions on its investment universe. The fund follows the multi-cap strategy. It can invest across all sectors, all market capitalizations, and any geography. The fund invests up to 65% of its corpus in Indian listed equities to get benefit from the favorable capital gains tax treatment and up to 35% of its corpus will be invested in foreign equities.

The fund is managed by three fund managers. Mr. Rajeev Thakkar manages the Indian equity portfolio. He has over 16 years of experience in the financial services industry. Mr. Raunak Onkar manages the overseas securities and Mr. Raj Mehta manages debt portfolio in the fund.

The fund purely follows the principles of value investing. The fund invests in stocks with a long term outlook, quality management and also considers the valuation of companies and quality of sector and business-like ROC, entry barriers, capital intensity, growth prospects, etc. the fund has foreign giants like Alphabet Inc(Google), Facebook Inc, Suzuki Motors Corp (ADR), IBM, Amazon.com, etc.

Investing in this fund gives an opportunity to the investor to diversify portfolio not only in India but also outside India. Beta, which signifies the market risk & volatility of the portfolio, is very low for this fund compares to other funds in this category.

The fund has a track record of around 6 years and has AUM of Rs. 1,738 crores as on 31 March 2019. The fund has generated a return of 17% whereas the benchmark Nifty 500 has given a return of 13.9% since inception.

An investor can start Investing in this fund with a minimum one-time investment of Rs. 1,000 or Monthly SIP Rs. 1000 with a minimum of 6 installments. This fund is suitable for investors who want to park their money for long term goals with an investment horizon of more than 5 years.

HDFC Equity Fund:

The renowned fund manager Prashant Jain is managing the fund. He has 22 years of profound experience in financial markets. The fund follows multicap strategy. Multicap strategy has an advantage that it provides flexibility to the fund manger to switch the portfolio across different market caps based on market conditions. However, this fund has more weightage towards large cap companies with around 80% of total AUM.

The Fund has second highest AUM of 20,465 crores as on 28 Feb 2018 in its category. The fund corpus has been well diversified across various sectors; highest allocation given to financial sector (37.35%) and energy sector (19.6%). Fund has invested in 44 companies but around 60% of the portfolio concentrated in 10 blue chip companies. The fund has given CAGR of 21.06% as against the benchmark Nifty 500 TRI has given CAGR of 18.44%. The fund has outperformed the benchmark and its category average in 1 year, 3 year, 5 year, 10 years terms. The investment of Rs. 1 lakh, would have appreciated to Rs. 6.76 Lakhs in 10 years and 2.08 lakhs in 5 Years.

Investor can start Investing in this fund with minimum one time investment of Rs. 5000 or Monthly SIP Rs. 500 with minimum 12 installments. This fund is suitable for investors who want to park their money for long term goals with investment horizon of more than 5 years.

Investor can also look into below funds in the same category.

HDFC Equity Fund Vs Its Category Peers (as on 14 March 2019)