Summary of this article
Rs 1 lakh invested at launch grew to Rs 46.6 lakh in 22 years
The fund outperformed Nifty 50 TRI across most longer SIP investment periods
Financial Services remains the fund’s largest sector exposure at 38.10 per cent
ICICI Prudential Value Fund has completed 22 years since its launch. The open-ended equity scheme, which follows a value investment strategy, is now the largest actively managed value-oriented equity fund in the Indian mutual fund industry by assets under management (AUM). The scheme's AUM stood at Rs 61,102.29 crore as of July 31, 2026, making up nearly 28 per cent of total AUM in the value fund category, as per the Association of Mutual Funds in India (Amfi).
The fund was launched on August 16, 2004, and invests in companies trading below their intrinsic value across market capitalisations and sectors. Its NAV closed at Rs 466.24 per unit on July 31, 2026, up from Rs 10 at inception.
A lump sum of Rs 1 lakh invested at launch would have grown to approximately Rs 46.6 lakh by July 31, 2026, a compounded annual growth rate (CAGR) of 19.11 per cent. The same amount in Nifty 50 TRI, the scheme's additional benchmark, would have grown to approximately Rs 20.1 lakh, a CAGR of 14.63 per cent. A since-inception comparison against Nifty 500 TRI, the scheme's primary benchmark, is not available because the index was launched after the fund.
Over the past one year, the scheme gave a negative return of 0.15 per cent, while the Nifty 500 TRI gained 3.37 per cent. A Rs 10,000 investment would now be worth Rs 9,985.
Over three years, the scheme delivered a 13.44 per cent annual return, beating the Nifty 500 TRI’s 12.29 per cent. Rs 10,000 invested three years ago would have grown to Rs 14,604.
Over five years, the scheme delivered a 16.05 per cent annual return, well ahead of the Nifty 500 TRI’s 11.85 per cent. A Rs 10,000 investment would have grown to Rs 21,065.
A Rs 10,000 monthly SIP since the fund’s launch would have grown to around Rs 2.37 crore by July 31, 2026. The total investment would have been Rs 26.4 lakh, earning a 17.04 per cent annual return, compared with 12.30 per cent for the Nifty 50 TRI.
The scheme also outperformed the Nifty 50 TRI across most shorter SIP periods. It delivered 16.44 per cent annually over 15 years, 16.17 per cent over 10 years and 17.72 per cent over seven years. The Nifty 50 TRI returned 12.31 per cent, 11.97 per cent and 11.56 per cent, respectively.
Over five years, the scheme returned 12.96 per cent compared with 8.16 per cent for the Nifty 50 TRI. Over three years, it returned 6.48 per cent against 4.40 per cent. However, over one year, the scheme fell 1.84 per cent, compared with a 0.61 per cent decline for the Nifty 50 TRI.
On a risk-adjusted basis, the scheme carried an annualised standard deviation of 12.72 per cent, a Sharpe ratio of 0.63 and a beta of 0.79 relative to its benchmark. The portfolio turnover ratio for the equity portion stood at 0.80 times, as per the fund's factsheet.
Sankaran Naren, executive director and chief investment officer at ICICI Prudential AMC, said, “Value investing cannot be looked at from a one or two-year perspective as this style of investing works over the long term. This is because the thesis of value investing is about buying stocks that have attractive valuations but are quoted at a discount to their intrinsic value. So, there will always be a lag in the investment calls that will deliver. This trend can be seen across various timeframes.”
He further added, “When it comes to managing the scheme, the approach is flexible, without any market cap bias. The investment decision is solely based on where we find value in the market. Large caps can offer better value as compared to mid and small caps; hence, the portfolio has a large cap tilt in the current market environment.”
The fund is jointly managed by Naren, Dharmesh Kakkad and Masoomi Jhurmarvala. Naren has managed it since January 2021 and oversees seven schemes at the AMC, all jointly managed. Kakkad has also managed it since January 2021 and oversees nine schemes, eight jointly managed. Jhurmarvala has managed it since November 2024 and oversees seven schemes, six jointly managed.
Equity holdings made up 93.31 per cent of the scheme's net assets as of July 31, 2026. Financial Services was the largest sector exposure at 38.10 per cent, followed by Healthcare at 9.08 per cent, Fast Moving Consumer Goods at 9 per cent, Information Technology at 7.84 per cent and Automobiles and Auto Components at 7.53 per cent.
The scheme was renamed ICICI Prudential Value Fund from June 16, 2025. Its Riskometer, updated monthly, rated both the scheme and its Nifty 500 TRI benchmark as "very high" risk as of July 31, 2026.
ICICI Prudential Value Fund is suitable for investors seeking long-term wealth creation through a value-oriented equity strategy and who are comfortable with the volatility associated with equity markets. The fund has also been an Outlook Money recommendation for investors looking for long-term exposure to the value investing strategy.
