ICICI Prudential’s new housing fund begins, available till 11 April: 10 points

The new fund offer (NFO) began on March 28 and will be available till April 11, 2022, for investors.

Here are key highlights of the scheme:

1. Sankaran Naren and Anand Sharma are the fund managers of the scheme.

2. Minimum application amount is ₹5,000, while the minimum additional application amount is ₹1,000. Any amount can be the minimum redemption amount.

3. Systematic investment plan (SIP), systematic transfer plan (STP) and systematic withdrawal plan (SWP) options are available on the scheme. For SIP, daily weekly, fortnightly monthly amoung will ₹100 and minimum instalment is 6. While quarterly SIP is ₹5,000 with minimum instalments of 4. The applicability of the minimum amount of installment mentioned is at the time of registration only.

4. Switch-in requests from equity schemes and other schemes will be accepted till April 11 till the cut-off time applicable for switches. However, switch-in request for ICICI Prudential US Bluechip Equity Fund, ICICI Prudential Global Advantage Fund (FOF), ICICI Prudential Nasdaq 100 Index Fund, ICICI Prudential Passive Multi-Asset Fund of Fund, ICICI Prudential Strategic Metal and Energy Equity Fund of Fund, and ICICI Prudential Global Stable Equity Fund (FOF) will not be accepted.

5. Exit load is allowed under the scheme. However, if exit down within 1 month from the date of allotment, then 1% of the applicable NAV will be charged. However, exit load after 1 month will be Nil.

6. The scheme aims to invest in opportunities across housing theme. The scheme will aim to invest in basic eligible themes that form a part of Nifty Housing Index.

7. Under the scheme, 100% maxmim allocations of the total assets will be in Equity & Equity related instruments of entities involved in Housing theme, while minimum would be 80%. Further, maximum 20% of total assets can be allocatted in other Equity & Equity related instruments; and debt instruments, Units of Debt Mutual Fund schemes, Money market instruments @ and Preference Shares. Also, 10% maximum of the total assets will be allocated in units issued by REITs and INVITs.

8. The scheme will invest in basic eligible themes that form a part of Nifty Housing Index. These are real estate developers, financial services providing housing finance, and other industries (cement, consumer electronics, paints, steels, home appliances, sanitary ware, etc.)

9. Under Nifty Housing Index – financial services segment constitutes 25.8% weightage as of January 2022, while consumer goods hold 17.3%, cement & cement products have 16.1%, construction hold 13.3%, power hold 11.4%, metal have 10.9% and oil & gas account 5.2%.

10. The objective of the scheme is to generate long-term capital appreciation by investing in equity and equity related instruments of entities engaged in and/or expected to benefit from the growth in housing theme. However, there can be no assurance or guarantee that the investment objective of the Scheme would be achieved.