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ICICI Prudential FMCG Fund
By ICICI Prudential Mutual Fund
Friday, April 11, 2014
     

The Indian FMCG sector is the 4th largest in the economy and is characterized by a strong presence of MNC's, well established distribution networks, fierce competition and low operational costs. All these factors, the country's growth potential and the increasing disposable income of consumers are contributing towards making it a lucrative opportunity for investment.

Sector funds enable spiking a diversified portfolio with sharper sectoral focus; thereby enhancing the investor's potential to gain from superior performance in a focused area.

ICICI Prudential FMCG Fund is an open-ended equity fund that invests in companies, which will benefit from increasing consumption in the country. It is a diversified sector fund that holds scrips across sub-sectors like food, retail distribution, apparel and consumables.

Investment Philosophy

This fund seeks to optimize the risk-adjusted return by a 'Bottom-up' strategy, to identify and pick stocks in the FMCG Sector. The portfolio comprises of a smaller number of scrips to reflect the prospects of the FMCG sector and also holds stocks across various sub-sectors, within the broad definition of the sector. A smaller allocation to other sectors is permitted purely for defensive considerations.
Key Benefits

It allows an investor to allocate his equity assets in accordance to his sectoral preference and implement his views on the sector.
Provides an option to diversify in terms of style, into a sharp, focused, thematic fund.

This product is suitable for investors who are seeking* :

Long term wealth creation solution
An equity fund that primarily invests in a select group of companies in the FMCG sector.
High risk
Personal Accident Cover (for resident applicants) - Till your child attains the age of 18 or till units are redeemed (whichever is earlier), you as his / her parent / legal guardian will be eligible for a Personal Accident Cover equivalent to 10 times the value of the Units you have purchased (value at purchase price) subject to a maximum of limit of Rs. 5 lakh.

This product is suitable for investors who are seeking* :

Long term wealth creation solution
A diversified equity fund that aims to generate capital appreciation by investing in equity and equity related securities.
High risk