
The ICICI Prudential Balanced Advantage Fund offers a well-balanced approach to investment with a focus on both equity and debt, ensuring optimal returns while managing risks effectively. With its significant allocation in large-cap stocks and government securities, it caters to investors looking for stable growth with a higher risk tolerance. However, potential investors should consider its below-average Crisil rank and higher risk profile.
The fund manager’s strategy includes holding stocks and bonds for longer durations than peers, as indicated by a lower portfolio turnover ratio of 32.00% against a category average of 185.03%.
Net Asset Value (NAV): ₹67.15 (as on 14th June, 2024)
Fund Size: ₹56,750.35 Cr (21.69% of Investment in Category)
Expense Ratio: 1.48% (versus 1.98% Category Average)
Crisil Rank: Below Average Performance Among Peers
ICICI Prudential Balanced Advantage Fund – Investment Strategy
The fund adopts a dynamic asset allocation strategy, balancing investments between equity and debt to optimise returns while mitigating risk.
- Domestic Equities: 67.81%
- Large Cap Stocks: 49.96%
- Mid Cap Stocks: 8.37%
- Small Cap Stocks: 0.53%
- Debt Investments: 25.34%
The fund manager’s strategy includes holding stocks and bonds for longer durations than peers, as indicated by a lower portfolio turnover ratio of 32.00% against a category average of 185.03%.
Risk Ratios
The ICICI Prudential Balanced Advantage Fund demonstrates lower volatility compared to its category average, as indicated by various risk ratios.
Ratio | Value | Category Average |
Standard Deviation | 4.5 | 6.29 |
Beta | 0.55 | 0.75 |
Sharpe Ratio | 1.34 | 0.83 |
Treynor’s Ratio | 0.11 | 0.07 |
Jensen’s Alpha | 3.22 | 1.74 |
ICICI Prudential Balanced Advantage Fund – Returns
Period Invested for | ₹10000 Invested on | Latest Value | Absolute Returns | Annualised Returns | Category Avg | Rank within Category |
1 Week | 17-May-24 | 10084.20 | 0.84% | – | 1.13% | 29/35 |
1 Month | 24-Apr-24 | 10171.40 | 1.71% | – | 2.32% | 28/35 |
3 Month | 23-Feb-24 | 10356.90 | 3.57% | – | 3.86% | 21/33 |
6 Month | 24-Nov-23 | 11185.30 | 11.85% | – | 14.25% | 22/31 |
YTD | 01-Jan-24 | 10689.70 | 6.90% | – | 7.68% | 20/33 |
1 Year | 24-May-23 | 12171.10 | 21.71% | 21.65% | 25.73% | 19/28 |
2 Year | 24-May-22 | 13528.40 | 35.28% | 16.29% | 17.26% | 15/24 |
3 Year | 24-May-21 | 14457.90 | 44.58% | 13.06% | 12.49% | 6/20 |
5 Year | 24-May-19 | 18363.50 | 83.64% | 12.91% | 12.06% | 5/17 |
10 Year | 23-May-14 | 30637.20 | 206.37% | 11.83% | 10.80% | 3/10 |
Since Inception | 30-Dec-06 | 65870.00 | 558.70% | 11.43% | 12.68% | 16/35 |
ICICI Prudential Balanced Advantage Fund – Portfolio Analysis
The portfolio comprises 99 stocks, with significant allocations in large-cap companies.
Stock | Sector | Value (Mn) | % of Total Holdings | 1M Change | 1Y Highest Holding | 1Y Lowest Holding | Quantity | 1M Change in Qty |
ICICI Bank Ltd. | Private sector bank | 28,317.1 | 4.99% | 0.20% | 5.1% (Jan 2024) | 4.65% (Sep 2023) | 2.46 Cr | 0.00 |
TVS Motor Company Ltd. | 2/3 wheelers | 25,628.5 | 4.52% | -0.10% | 4.61% (Mar 2024) | 2.81% (May 2023) | 1.24 Cr | 3.95 L |
Maruti Suzuki India Ltd. | Passenger cars & utility vehicles | 23,301.7 | 4.11% | 0.21% | 4.11% (Apr 2024) | 2.57% (May 2023) | 18.18 L | 78.99 k |
HDFC Bank Ltd. | Private sector bank | 22,127.8 | 3.90% | 0.23% | 5.49% (Jul 2023) | 3.62% (Feb 2024) | 1.46 Cr | 3.00 L |
Infosys Ltd. | Computers – software & consulting | 17,325.5 | 3.06% | -0.20% | 3.85% (Aug 2023) | 3.06% (Apr 2024) | 1.22 Cr | 0.00 |
Tax Treatment
- Long-Term Capital Gain (LTCG): If sold after 1 year from the purchase date, a 10% tax is applicable if the total LTCG exceeds ₹1 lakh.
- Short-Term Capital Gain (STCG): If sold before 1 year from the purchase date, a 15% tax is applicable.
Disclaimer: The information provided in this article is for educational and informational purposes only. It should not be considered investment advice or a recommendation to invest in any particular mutual fund or asset class. Past performance does not indicate future results, and investors should research and consult with a financial advisor before making investment decisions. Investing in mutual funds involves risks, including the possible loss of principal invested.