Curated By: Business Desk
Last Updated: September 27, 2023, 15:25 IST
Amidst the pandemic, high inflation, hike in interest rates, Russia-Ukraine conflict, rise in crude oil prices and Non-Banking Financial Company (NBFC) crisis, the economy of India and the market have suffered a lot. In such a situation, investors are looking for opportunities to earn profits from the market. One such way is the Opportunities Fund, where one can invest money and earn better returns. This fund gives more returns every year compared to many other schemes.
ICICI Prudential India Opportunities Fund has been offering good returns in the last three to four years and across all equity categories. Suppose, a person invested Rs 1 lakh in January 2019, then by now, this amount will become Rs 2.38 lakh. It has given returns at a compound annual growth rate (CAGR) of 20.7 per cent every year. During this period, the return of the benchmark has been 15.5 per cent.
On the other hand, if Rs 1 lakh was invested in the Nifty 50 Total Return Index (TRI), it would be Rs 1.94 lakh now in the same time period. This means that ICICI Prudential India Opportunities Fund has been giving Rs 44,000 more returns than Nifty 50 TRI.
Those who invested money through Systematic Investment Plans (SIPs) in ICICI Prudential India Opportunities Fund also saw high profits. The total investment of the person who started a SIP of Rs 10,000 per month has now become Rs 5.6 lakh. Due to bumper returns on this, the amount has also doubled and the total amount has increased to Rs 10.44 lakh.
It is important to note that despite market volatility, the fund invested is growing in the market. ICICI Prudential India Opportunities Fund invests in equities using the Flexi Cap Strategy. Till 2021, it invested in large capital as the performance of large caps was good then. During this time period, more than 70 per cent of the investments were in equity, while others were in mid and small-capital companies. Now, the fund has become multi-capital.
Till July 2023, 59.6 per cent was in large capital companies, while 16.4 was in mid-capital and 13.1 per cent in small capital companies. The fund bought shares of electricity, metal and telecom companies and gained huge profits. It also earned profits from the banks.