The US Bluechip Equity Fund lets investors invest in companies in the US that may not have a presence in India. It is an equity linked scheme and the companies that it invests in are listed on exchanges like S&P 500, NASDAQ and NYSE. Another advantage of this fund are that it allows investors to buy stocks of American companies in rupees. Investments in this fund can start with as little as Rs. 5,000 and there is no entry load. This fund also allows for systematic investments to be made thus putting it in reach or a lot of investors.
Type or nature of fund
This is an open-ended equity fund
Investment objective
The objective of this fund is to provide long term returns by leveraging investments made in the US markets. It also aims at investing in well established companies that are not present in India and pick stocks for investments based on research information received from partners.
Fund information
| Inception date | July 6, 2012 |
| CRISIL rank | This product has not been rated by CRISIL |
| Plans | Regular and Direct |
| Options | Not Available |
| Schemes | •ICICI Prudential US Bluechip Equity Fund - Direct Plan - Dividend •ICICI Prudential US Bluechip Equity Fund - Direct Plan - Growth •ICICI Prudential US Bluechip Equity Fund - Regular Plan - Dividend •ICICI Prudential US Bluechip Equity Fund - Regular Plan - Growth |
| Entry load | Nil. If the scheme is taken from a certified distributor then the investor may have to pay a commission to the distributor. |
| Exit load | •3% of the NAV if the units are withdrawn between 3 months and 1 year of allotment. •1% of the NAV if the units are withdrawn after 1 year of allotment. |
| Minimum investment | •The minimum investment for new investors is Rs. 5,000 •The minimum additional investment allowed is Rs. 1,000. |
| SIP | •Rs. 1,000 for monthly SIP. The minimum investment term is 6 months •Rs. 5,000 for quarterly SIP. The minimum investment term is 4 months. |
| Product label | •The risk rating of this product is High. •It is aimed at those looking to create wealth over a long period through investments in the US markets. |
| Benchmark | CNX NIFTY Index CNX Nifty or Nifty 50 is a index that is computed based on the free floating methodology. It is the benchmark for the Indian equity markets. |
| SWP | Not Available |
| STP | Only STP In is available |
| Redemption | The minimum amount that can be redeem is Rs. 500 with increments in multiples of Re. 1. |
Fund manager(s)
Shalya Shah (US Markets)
- Education: BE IT and PGDM in Finance
- Past experience:
- ICICI Prudential Asset Management Company Limited
- Accenture Services Private Limited
- Other funds managed
- ICICI Prudential Global Stable Equity Fund – For overseas investments
- ICICI Prudential Indo Asia Equity Fund – Asia portion
Rohan Maru (Indian Markets)
- Education: M.COM and MBA (Finance)
- Past experience:
- ICICI Prudential Asset Management Company Limited
- Kotak Mahindra AMC - as Fixed Income Dealer
- Integreon Managed Solution – as Research Associate
- Other funds managed
- ICICI Prudential Fixed Maturity Plan
- ICICI Prudential Global Stable Equity Fund – Debt portion
- ICICI Prudential Flexible Income Plan
- ICICI Prudential Liquid Plan
- ICICI Prudential Ultra Short Term Plan
Investment philosophy or strategy
The philosophy of this investment is to follow an investment strategy that is top-down and bottom-up and not limit itself to any sector in particular. It also uses the research services of Morningstar Equity Research Services to pick the best stocks to invest in.
Portfolio
| Company/Sector | Investment |
| Oil & Gas
•Exxon Mobil ORD SHS 3.97% •Oneok ORD SHS 3.84% •Spectra Energy Corp 3.83% •Williams Companies Inc. 3.82% | 15.46% |
| Healthcare Services
•Merck & Co. Inc. 4.43% •Express Scripts Holding (US) 3.96% •Amgen Inc. 3.82% | 12.22% |
| Banks
•US Bancorp Inc 4.46% •American Express Co. 4.42% | 8.88% |
| Health Care Equipment & Supplies
•Varian Medical Systems Inc 4.53% •Baxter International ORD SHS 3.92% | 8.45% |
| Pharmaceuticals | 5.04% |
| It Services
•Cognizant Tech Solutions Class A 4.97% | 4.97% |
| Internet Software & Services
•Google Inc-CL A (US) 4.93% | 4.93% |
| Food Products
•Hershey Foods Corp Com 4.64% | 4.64% |
| Capital Markets
•Franklin Resources (US) 4.01% | 4.01% |
| Electric Utilities
•ITC Holdings Inc 3.96% | 3.96% |
Risk measures
| Sharpe ratio | 1.03 (Since inception) |
| Alpha | |
| Portfolio beta | 1.04 (Since inception) |
| Std deviation | 11.33% (Since inception) |
Performance
| AUM | Rs. 184.17 crores (As of June 30, 2015) |
| NAV (As of June 30, 2015) | •Regular Plan Growth Option: Rs. 17.84 •Regular Plan Dividend Option: Rs. 17.84 •Direct Plan Growth Option: Rs. 18.18 •Direct Plan Dividend Option: Rs. 18.18 |
| Expense ratio | •ICICI Prudential US Bluechip Equity Fund Direct Plan - 0.97 •ICICI Prudential US Bluechip Equity Fund Regular Plan
|
Returns
| 2014-2015 (Absolute Returns) | 2013-2014 (Absolute Returns) | 2012-2013 (Absolute Returns) | Compound Annual Growth Rate (Since Inception) | |
| Scheme | 9.11% | 26.25% | - | - |
| NIFTY | 9.95% | 30.28% | - | - |
| NAV (in Rs.) | 16.35 | 12.95 | - | - |
Expert view of the fund
This fund is relatively new and has been performing under the benchmark. It is for those who don’t mind high risks and are looking to invest in markets outside India. It is a fund that aims at providing long term wealth generation and it does so through investments in large cap stocks.
How to apply
There are two ways in which someone can invest in this fund. The first is to invest in it through the branches and distributors of ICICI Prudential products. They will have the people who can answer questions about the funds and help investors fill out application forms and complete any other formalities that need to be fulfilled. Once the document tation is done, investors can make payments through cheques or demand drafts.
There is also an online option for investors to use. It is available on the company's website and allows new and existing customers to register for online investments. It allows them to select the funds that they want to invest in and make the investments through their debit cards or online banking. Transfers through NEFT and RTGS are also accepted.
