Bhubaneswar: ICICI Prudential Life Insurance Company Limited has launched the ICICI Pru Sector Leaders Index Fund, a new fund under its popular Unit Linked Insurance Plans (ULIPs).The fund aims to offer customers a ready-made equity portfolio by providing exposure to leading companies across more than 20 key sectors of the Indian economy.
Commenting on the launch, Mr.Manish Kumar, Chief Investment Officer, ICICI Prudential Life Insurance Company Limited, said, “The ICICI Prudential Sector Leaders Index Fund offers investors a simple, and effective way to build wealth by leveraging India’s long-term growth potential. The fund will invest in companies that define leadership across sectors. By bringing together proven market leaders from over 20 sectors in a single, rule-based portfolio. An Index Fund removes the complexity of stock selection while offering diversified exposure to the most influential businesses in the economy.
Designed for investors seeking a simple, rule-based approach to equity investing, the fund enables participation in market-leading companies without the need to select individual stocks. It is appropriate for investors who prefer a passive investment strategy, looking to build a core equity allocation for long-term along with a broad sector diversification and a tilt towards established market leaders.
The ICICI Pru Sector Leaders Index Fund is a passive, index-based offering that tracks the BSE India Sector Leaders Index. Regulations may restrict the fund from investing in all the stocks in line with their weights in the index from time to time. As a result, there could be a possible tracking error. The dividends received under the index fund will be reinvested, which will eventually aid in growing the customers’ fund value over the long term. The launch of this fund coincides with the recent milestone of the Company celebrating its silver jubilee. The new fund is currently open for investment.
The fund will invest 95–100% of its assets in equities which form a part of the BSE India Sector Leaders Index, with up to 5% allocated to debt and money market instruments, including units of debt mutual funds, to meet liquidity requirements as mandated by regulation. The minimum investment amount is Rs. 1,000, with further investments allowed, subject to applicable stamp duty, if any.
