What is the ICICI Pru Midcap 150 Momentum 50 Index Fund?
ICICI Pru Midcap 150 Momentum 50 Index Fund is a market-linked fund that is designed to track and replicate the benchmark Nifty Midcap 150 Momentum 50 Index.
This ICICI Pru NFO aims to provide you with returns that mirror the performance of the NIFTY midcap 150 momentum 50 index. This index comprises 50 high-momentum mid-cap stocks listed on the NIFTY stock exchange based on returns of the past 6 months and 12 months.
Highlights of ICICI Pru Midcap 150 Momentum 50 Index Fund 2024
The key highlights of the ICICI Pru life Midcap 150 Momentum 50 Index Fund are as follows:
| Particulars |
Details |
| Investment Objective |
The ICICI Pru Midcap 150 Momentum 50 Fund aims to achieve strong, long-term investment growth by putting money into high-performing mid-sized companies. It particularly invests in funds that are included in the Nifty Midcap 150 index. |
| Assets Under Management |
Rs. 2.87 lacs Crores+ (as of 31 December 2023) |
| Benchmark Index |
NIFTY Midcap 150 Momentum 50 Index |
| Benchmark Index Returns |
Midcap 150 Momentum 50 Index Annualised Returns:
- 5-Year Returns: 29% p.a.
- 10-Year Returns: 27% p.a.
|
| Risk Profile |
High |
| NFO Launch Date |
5 February - 19 February 2024 |
| Fund Launch Date |
19 February 2024 |
| Current NAV |
Rs. 10 |
| Minimum Investment |
Rs. 2,000 per month (with ICICI Pru Capital Guarantee Plans) |
Why Should You Invest in ICICI Pru Midcap 150 Momentum 50 Index Fund?
You can consider investing in ICICI Pru Midcap 150 Momentum Fund for the following reasons, depending on your investment goals and risk tolerance:
-
Top 50 Mid Cap Stocks: The ICICI Pru Life Midcap 150 Momentum 50 Fund invests exclusively in the top 50 stocks of the NIFTY Mid Cap 150 Momentum 50 index.
-
Proven Track Record with NFOs: The previously launched ICICI Pru New Fund Offerings (NFOs) have demonstrated excellent returns.
| ICICI Pru Life Fund Name |
Date of Inception |
Returns Since Inception (RSI) |
| Midcap Fund |
23 September 2022 |
35.10% |
| Midcap Hybrid Growth Fund |
28 February 2023 |
35.40% |
-
Cost-Efficient Plans: The ICICI Pru Signature is a market-linked plan that offers zero premium allocation charge, return of mortality charges, and return of policy administration charges from end of 6th policy year. You can also avail the Waiver of Premium (WoP) option for your nominee relationships.
-
ICICI Pru Capital Guarantee Plans: The ICICI Pru Midcap 150 Momentum 50 Index Fund is available at a starting price of Rs. 2,000 per month. It ensures capital preservation while replicating the index with the highest returns in the mid-cap category.
What are Index Funds?
Index funds are investment funds that aim to replicate the performance of a specific market index, such as the S&P 500, NSE Nifty 50, and S&P BSE Sensex. Index funds offer a low-cost and low-maintenance investment option, as they do not rely on active management but rather mirror the composition of the index.
What is Momentum Investing?
Momentum investing is a systematic investment strategy that involves buying assets that have shown strong recent performance and selling those with weak performance. The goal is to capitalize on existing market trends and gain from the momentum for profit.
Key Features of Momentum Investing:
-
Formula-Based Investing System: It buys and sells stocks based on past returns of 6 months and 12 months. The decisions are based on predefined rules and data-driven strategies.
-
Promoting Winners, Demoting Losers: This strategy prioritizes stocks with positive performance. It removes stocks with relatively poor returns.
-
Investing in Proven Track Records: It targets stocks with a proven history of good returns. This method strives for consistent positive outcomes in investments.
Top Constituents of ICICI Pru Midcap 150 Momentum 50 Index Fund 2024
The Top Constituents of a Midcap 150 Momentum 50 Index Fund represent the key stocks that drive the performance of the fund.
The constituents of ICICI Pru Life Midcap 150 Momentum 50 fund as of 31 December 2023 are shown below:
[Source: nseindia.com]
The Midcap 150 Momentum 50 Index Fund might be diversified across various sectors to spread risk. Common sectors for mid-cap momentum index funds are mentioned below:
| Top Sectors |
Weightage of Invested Assets |
| Financial Services |
26.89% |
| Capital Goods |
19.94% |
| Healthcare |
19.68% |
| Realty |
8.98% |
| Metals & Mining |
6.17% |
| Information Technology |
5.12% |
| Chemicals |
4.1% |
| Automobile & Automation |
3.71% |
| Power |
2.88% |
| Construction Materials |
0.85% |
| Textiles |
0.71% |
| Media & Entertainment |
0.62% |
| Consumer Durables |
0.36% |
[Source: nseindia.com]
Returns of Midcap 150 Momentum 50 Index
The Midcap 150 Momentum 50 Index stands out as the top performer in various categories.
| Index Name |
3-Year Returns |
5-Year Returns |
10-Year Returns |
| NIFTY Midcap 150 Momentum 50 |
37.50% |
29.00% |
27.00% |
| NIFTY Midcap 150 |
28.8% |
20.80% |
20.50% |
| NIFTY Smallcap 250 |
31.50% |
22.60% |
16.30% |
| NIFTY Smallcap 250 Quality 50 |
33.80% |
22.50% |
22.40% |
| NIFTY 50 |
15.80% |
13.10% |
12.50% |
[Source: nseindia.com]
Illustration of Performance of Midcap 150 Momentum 50 Index Fund:
If you invested Rs. 100 in 2013, it would have grown to Rs. 1080 by 2023, which makes it almost 11 times your initial investment. The growth is significant if the investment amount is high.
For Example, if you have invested Rs. 1 lakh in 2013, your fund value would have increased to approximately Rs. 11 lakhs by 2023.
Performance of Funds by ICICI Pru Life Insurance
ICICI Prudential Life Insurance offers a variety of market-linked funds across different categories, each with its own performance history. The following are the top 5 funds offered by ICICI Prudential as per last 5-year returns:
| Fund Name |
Date of Inception |
5-Year Returns |
10-Year Returns |
Returns Since Inception (RSI) |
Fund Size (in Crores) |
| Mid Cap Hybrid Growth Fund |
28 February 2023 |
25.90% |
N.A. |
36.80% |
Rs. 283 Cr. |
| Opportunity Fund |
24 November 2009 |
16% |
14.60% |
11.80% |
Rs. 2,636 Cr. |
| Maximize India Fund |
23 February 2015 |
15.70% |
N.A. |
10.20% |
Rs. 787 Cr. |
| Value Enhancer Fund |
23 July 2018 |
15.60% |
N.A. |
11.80% |
Rs. 6,787 Cr. |
| Maximiser Fund V |
29 August2011 |
14.90% |
12.80% |
13% |
Rs. 53,401Cr. |
How to Invest in ICICI Pru Life Midcap 150 Momentum 50 Index Fund through Policybazaar?
You can follow the steps mentioned below to start investing in the ICICI Pru Midcap 150 Momentum 50 Index Fund at Policybazaar:
Step 1: Enter your name and number in the form available on this page.
NOTE: Your credentials are completely secure and will be needed to show you customised details and specific benefits and advise you accordingly.
Step 2: Upon logging in, fill in your city, age, and income information to get personalized benefits of different plan.
Step 3: Click on the ICICI Pru Life Plans in pink cards. Choose the ICICI Pru Life Midcap 150 Momentum 50 Index Fund option that suits your needs:
Step 5: For the ICICI Pru Life Midcap 150 Momentum 50 Index Fund, click "Get Details" for more information. You can also consult with an expert for free by clicking the "Talk to an Expert" button.
Step 6: Review the plan details carefully. Click "Proceed" when satisfied and follow the on-screen prompts to proceed with the purchase.
Step 7: Enter essential details and specify the investment amount. Choose your preferred payment mode.
Step 8: Provide necessary KYC (Know Your Customer) details for regulatory compliance.
Step 9: Complete the payment process. Upon successful payment, receive confirmation of your purchase.
Conclusion
The ICICI Pru Life Midcap 150 Momentum 50 Index Fund NFO presents an opportunity for investors seeking exposure to midcap equities with a momentum-driven approach. With its unique index strategy, this ICICI Pru Midcap new fund aims to capture the growth potential of dynamic midcap stocks. You should carefully evaluate your risk tolerance and investment goals before considering participation in this New Fund Offering (NFO).
Generate wealthEarn 1 Cr# in maturity with Zero LTCG tax¶
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