ICICI Prudential Mutual Fund Launches ICICI Prudential Active Momentum Fund

Highlights:

• ICICI Prudential Active Momentum Fund is an open ended equity scheme following momentum theme

• The Scheme aims to identify and capitalize on the on the continuance of existing trends (price trends or earnings trends) in the market

• The Scheme’s unique approach combines earnings/estimates and price momentum, allowing it to adapt seamlessly to changing market conditions, and benefiting from sustained trends

ICICI Prudential Mutual Fund today announced the launch of the ICICI Prudential Active Momentum Fund, an offering designed to capture opportunities arising from persistent price and earnings/estimates trends in the market.

Speaking about the launch, Sankaran Naren, ED & CIO, ICICI Prudential AMC said, “We aim to approach momentum in a fundamental manner by focusing on earnings/estimates momentum, complemented by price momentum. India’s equity market is diverse with stocks and sectors displaying varied earnings trends at different points in time, and our Scheme aims to capitalise on these trends. The Scheme has the flexibility to move across sectors, market caps and uses a combination of top down and bottom-up approach in portfolio construction.”

What is Momentum Investing?

Types of Momentum Investing

Price Momentum: It identifies stocks with favourable price trends across different time periods and risk-adjusted returns. It uses more of technical analysis and the drivers are market sentiments, technical factors and investor behaviour. This has a risk of abrupt trend reversal.

Earnings Momentum: Stock selection here is basis their earnings revisions and trends in analyst ratings for the stocks. It uses more of Fundamental analysis and the key drivers are strong businesses, rising margins or operational efficiency. Also, momentum backed by earnings is more sustainable as trend reversal takes time unless a disrupting event occurs.

How We Identify Momentum

The asset allocation and investment strategy will be as per the Scheme Information Document.

How Earnings Can Affect Momentum?

IT Sector Price & Earnings Growth: Top 7 companies of the IT industry exhibited strong price trends following earnings trajectory.

Source: Bloomberg. Price and Net Income Growth are calculated for Top 7 Companies of the Nifty IT Index. Market indicates Nifty 500 Index. GFC: Global Financial Crisis. Past Performance may or may not sustain in the future. The stock(s)/sector(s) mentioned in this slide do not constitute any recommendation and ICICI Prudential Mutual Fund may or may not have any future position in these stock(s)/sector(s).

How Events Can Affect Momentum?

A leading NBFC Company’s Growth trajectory v/s Events of interest rate changes: Events can have a significant positive or negative impact on earning & price trends of a company.

Source: Bloomberg. Market indicates Nifty 500 Index. Past Performance may or may not sustain in the future. Color shading indicates Red being the most negative and Green being the most positive. The stock(s)/sector(s) mentioned in this slide do not constitute any recommendation and ICICI Prudential Mutual Fund may or may not have any future position in these stock(s)/sector(s). GFC: Global Financial Crisis

Why Invest in This Scheme?

• Flexibility to move across sectors: Any sector can pick up a momentum thereby widening the universe.

• Moves across styles: Momentum as a feature automatically pivots its style basis the market trends.

• Flexibility to move across market caps: Momentum can be found in large caps as well as small and midcaps depending upon the flows.

• Flexible investment approach: Mix of Top Down & Bottom Up approach.

Scheme Details:

• Name of Scheme: ICICI Prudential Active Momentum Fund

• Type: An open ended equity scheme following momentum theme

• Benchmark Index: Nifty 500 TRI

• Minimum Application Amount: ₹5,000 (plus in multiples of Re. 1)

• Minimum Additional Investment: ₹1,000 (plus in multiples of Re. 1)

• Exit Load: 1% of applicable NAV for redemptions within 12 months; Nil thereafter

• Fund Managers: Manasvi Shah and Ms. Sharmila D’silva (overseas investments)

For media queries, please contact:

Adil Bakhshi

Principal PR & Corporate Communication

Email: PR@icicipruamc.com 

Phone: 91-22-66470274

Riskometer & Disclaimers:

Mutual Fund investments are subject to market risks, read all scheme related documents carefully.

Disclaimer: All figures and other data given in this document are dated as of May 31, 2025 unless stated otherwise. The same may or may not be relevant at a future date. The information shall not be altered in any way, transmitted to, copied or distributed, in part or in whole, to any other person or to the media or reproduced in any form, without prior written consent of ICICI Prudential Asset Management Company Limited (the AMC). Prospective investors are advised to consult their own legal, tax and financial advisors to determine possible tax, legal and other financial implication or consequence of subscribing to the units of ICICI Prudential Mutual Fund.

Disclaimer: In the preparation of the material contained in this document, the AMC has used information that is publicly available, including information developed in-house. Some of the material(s) used in the document may have been obtained from members/persons other than the AMC and/or its affiliates and which may have been made available to the AMC and/or to its affiliates. Information gathered and material used in this document is believed to be from reliable sources. The AMC however does not warrant the accuracy, reasonableness and / or completeness of any information. We have included statements / opinions / recommendations in this document, which contain words, or phrases such as “will”, “expect”, “should”, “believe” and similar expressions or variations of such expressions, that are “forward looking statements”. Actual results may differ materially from those suggested by the forward looking statements due to risk or uncertainties associated with our expectations with respect to, but not limited to, exposure to market risks, general economic and political conditions in India and other countries globally, which have an impact on our services and / or investments, the monetary and interest policies of India, inflation, deflation, unanticipated turbulence in interest rates, foreign exchange rates, equity prices or other rates or prices etc. ICICI Prudential Asset Management Company Limited (including its affiliates), the Mutual Fund, The Trust and any of its officers, directors, personnel and employees, shall not liable for any loss, damage of any nature, including but not limited to direct, indirect, punitive, special, exemplary, consequential, as also any loss of profit in any way arising from the use of this material in any manner. Further, the information contained herein should not be construed as forecast or promise. The recipient alone shall be fully responsible/are liable for any decision taken on this material.

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