Recommended Infrastructure Fund - ICICI Prudential Infrastructure Fund (G

Recommended Infrastructure Fund - ICICI Prudential Infrastructure Fund (G)

Scheme Snapshot

Inception: 16 August 2005

Type: Open Ended Equity Fund

Corpus: Rs. 4182.89cr. (29-Jan-10)

Fund Manager: Shankar Naren

Benchmark Index: S&P CNX Nifty

Minimum Investment: Rs. 5000

Entry Load: Nil

Exit Load: Max 1.00 %

Latest NAV: Rs. 27.04 as on 25th Feb 2010

52 Week High: Rs 29.61 (07-Jan-10)

52 Week Low: Rs 15.1 (09-Mar-09)

Scheme Objective

To provide capital appreciation and income distribution to unit holders by investing predominantly in equity/equity related securities of the companies belonging to infrastructure development and the balance in debt securities and money market instruments including call money.

Fund Analysis

The scheme has 92% equity exposure & has 8% in Cash & Equivalent. It has highest sector exposure to Petroleum and Gas, Banking, Telecom, and Power sectors. The scheme has given consistent returns over a long term horizon. The Scheme has substantial exposure to Large, some exposure to Mid cap Stocks and has minimal exposure to small cap stocks creating a good balance of risk and returns.

·         The fund manager has managed cash levels dynamically to make use of available opportunities in the markets.

·         A positive Sharpe Ratio indicates high risk adjusted returns from the scheme.

·         The scheme has one of the highest Jensen ratio indicating good stock selection ability of the fund manager.

·         SIP of Rs.10000 monthly (Period March 09 to Feb 2010) has grown to Rs 130903 and a lump sum investment has grown to Rs.187669, showing the wealth creation ability of the fund.

Key Fund Analysis

·         Market Cap Focus: Over the past one year the fund manager has kept high exposure to large cap stocks 62%, some exposure to mid caps 14% & marginal exposure to small caps 1%

·         Sector Focus: Fund Manager has maintained high average exposure in sectors like Oil & Gas 18 %, Banks 14% and Telecom 8% over past 1 year.

·         Company Focus: Fund Manager has maintained average exposure of 9.7% in Reliance Industries Ltd., 8% in Bharti Airtel Ltd. and 5% in NTPC Ltd. over last 1 year.

·         Cash & Cash Equivalent: Average exposure of 14.5% over last 1 year.

Ideal for Investors

·         Investment Horizon - Long Term

·         Risk Appetite - High