ICICI Prudential Life Insurance has launched the ICICI Prudential Life Smallcap 250 Index Fund under its Unit Linked Insurance Plans. The fund enables customers to participate in a broad basket of emerging listed companies and build wealth over the long-term through a disciplined, index-based approach.
The fund tracks the Smallcap 250 Index, which represents 250 companies ranked 251st to 500th in the Nifty 500 universe. The fund provides exposure to an array of smaller listed businesses that are at an early stage of their growth journey and have the potential to scale over time.
Manish Kumar, Chief Investment Officer, ICICI Prudential Life Insurance, said the ICICI Prudential Life Smallcap 250 Index Fund provides customers with a simple and transparent way to participate in the growth potential of emerging companies and build wealth over the long-term.
This makes it suitable for long-term investors seeking a structured exposure to the emerging companies across diverse sectors of the market, he said.
The rule-based approach provides broad-based diversification in 250 emerging companies across sectors including Financial Services, Healthcare and Capital Goods, among others, enabling investors to participate in multiple emerging companies of the economy through a single fund, said Kumar.
The Nifty Smallcap 250 TRI delivered a 15 per cent return over one year, with a five-year annualised return of 19 per cent and a since-inception return of 15 per cent, reflecting its long-term growth potential.
However, being an equity-linked strategy, the fund’s value may fluctuate with market movements.
The investment strategy follows a passive, index-mirroring approach, aiming to stay aligned with the benchmark rather than relying on active stock selection. The index is reviewed and refreshed twice a year to remain consistent with its defined methodology, ensuring a disciplined and transparent investment process.