Whenever the market fluctuates due to several factors and turns from bull to bear or vice versa, the investments show a vital change in their valuations. Many a time, it is observed that certain schemes don’t tend to perform even in the bull phase of the market which makes one worry a lot about their invested capital. It must have happened to you too if you hold equity investments in your portfolio. But do you know, this is very common and actually doesn’t affect the overall yields of your fund. ICICI Prudential Value Discovery Fund is among those schemes which may not perform every time the market turns bullish, but no matter what, it has been successful in appreciating wealth for the investors in the long run. What you need to do while investing in funds like this is that you must opt for a longer tenure and match the risk profile with that of yours. After this, you will never be worried about the falling or rising valuation as at the end of the day, you capital shall definitely be appreciated. Let’s know how it is possible -
Investment Philosophy of the Fund
ICICI Prudential Value Discovery Fund (G) primarily focuses on the bottom-up approach and invests on the same philosophy in which it invests after analysing the individual companies and their stocks instead of focusing on the industry. According to this, the fund managers make detailed research of the companies and opt for those stocks and shares which can yield the desired goals within the time frame. Being an open-ended fund, it also provides the ease of withdrawing the capital whenever required in case of emergency without any extra cost. With a moderately high-risk appetite, it is suitable for the investors who are willing to create wealth in the long-term tenure through a well-diversified portfolio.
Asset Allocation of ICICI Prudential Value Discovery Fund
With almost 90% of the asset allocation in the equity assets, the scheme is primarily focused on generating wealth in the long term rather than earning regular income. However, it has the remaining balance invested in the debt and money market instruments as well because of which the scheme provides stability in capital appreciation. A majority of the capital is invested in the financial, technology, healthcare, energy, and construction sectors which are proficient in yielding exceptional growth and returns. The top holdings of the scheme are those companies which are the stagnant performer in their respective industries and providing wealth generation opportunities to the investors. This include - Sun Pharmaceuticals Ltd., Larsen & Toubro, Wipro, HDFC Bank, Infosys, NTPC, Mahindra & Mahindra, and State Bank of India.
With this, it can be assured that ICICI Prudential Value Discovery Fund shall definitely yield the desired returns for the purpose of fulfilling the long-term financial goals. Here is the proof of the same -
Performance Track
Holding a reputed position in the market,
ICICI Value Discovery Fund is among the top-five diversified equity fund as per CRISIL for the quarter ended in December 2017. It has been satisfying the needs and desires of the investors for a long time and this is evidenced by its absolute annual returns as of now. In the year 2014, they were 72.6% and in 2017 23.4% on the basis of the market position. The annualised returns of the scheme are also appreciative and outperforming the benchmark for a long time. The three and five-year returns are 8.6 and 21 percent, respectively which make it the best buy for the long-term investing goals.
So, if you are planning to make an investment for your long-term financial goals, then ICICI Prudential Value Discovery Fund will surely help you out and it is completely safe to put your money in this high-yielding scheme for capital growth. So begin your investment journey now to achieve your goals.
This article explains the significance of holding ICICI Prudential Value Discovery Fund in your portfolio. Read this to know whether you should buy it or not.