Mutual Fund SIP: The craze of investing through mutual funds is continuously increasing among investors. In this, a lot of money can be made in the long term through Systematic Investment Plan i.e. SIP.
Here we are going to tell you about such a mutual fund scheme, which has given strong returns to its investors in the long term. Under this mutual fund scheme, the money of investors doing monthly SIP of Rs 10000 increased to Rs 2.9 crore in a period of 22 years. The name of this scheme is ICICI Prudential Multi-Asset Fund.
How much return did investors get?
Investors in this fund have invested a total of Rs 26.4 lakh in the last 22 years under a monthly SIP of Rs 10,000. In this way, this amount has grown to about ₹ 2.9 crore. Launched in October 2002, this fund has given strong returns in SIP performance with a compounded annual growth rate (CAGR) of 18.37% till 30 September 2024. In comparison, the same SIP investment in the fund’s benchmark would have achieved a CAGR of 14.68%.
This fund has also given good returns to those who invest lump sum. Under this, a lump sum of ₹10 lakh invested initially would have grown to around ₹7.26 crore, with a CAGR of 21.58%. In contrast, the same amount invested in the scheme’s benchmark would have grown to ₹3.36 crore, with a CAGR of 17.39%. The benchmark indices include Nifty 200 TRI (65%), Nifty Composite Debt Index (25%), Domestic Price of Gold (6%), Domestic Price of Silver (1%), and iCOMDEX Composite Index (3%).
What is special in this fund?
As one of the largest multi-asset funds in India, ICICI Prudential Multi-Asset Fund manages assets worth ₹50495 crore as of September 2024, representing 48.29% of the total assets of the category.
The fund’s multi-asset strategy includes investments in equity, debt and commodities such as gold and silver, as well as real estate investment trusts (REITs) and infrastructure investment trusts (InvITs). The fund’s managers follow a diversified approach aimed at minimising risk and maximising returns by spreading investments across multiple asset classes.
Statement by the Executive Director of ICICI Prudential AMC
Sankaran Naren, Executive Director and Chief Investment Officer, ICICI Prudential AMC, said the fund’s allocation strategy has helped mitigate market volatility and deliver favourable risk-adjusted returns. ICICI Prudential Multi-Asset Fund is managed by a team of seven fund managers, including Sankaran Naren, Ihab Dalwai and Manish Banthia, who are experts across multiple asset classes.
The scheme requires a minimum 10% allocation across at least three asset classes and has benefited from this diversified approach over time. It remains open-ended, with the aim of achieving long-term returns through disciplined asset allocation across multiple market caps and asset classes.
Disclaimer: The information provided here is for information purposes only. It is important to note here that investing in the market is subject to market risks. Always seek expert advice before investing as an investor. Rights Of Employees never recommends investing money to anyone.
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