ICICI Prudential Nifty200 Value 30 ETF is an open-ended Index Exchange-Traded Fund tracking the Nifty200 Value 30 Index. ICICI Prudential Nifty200 Value 30 Index Fund is an open-ended fund replicating the Nifty200 Value 30 Index.
Both offerings fall under the smart beta category, focusing on a factor-based strategy to provide investors with a low-cost, value-driven investment approach, according to the press release by the fund house.
The new fund offer or NFO of both the schemes will open for subscription on September 30 and will close on October 14.
The minimum application amount during the NFO for ICICI Prudential Nifty200 Value 30 ETF and ICICI Prudential Nifty200 Value 30 Index Fund is Rs 100 (plus in multiples of Re 1).
The Nifty200 Value 30 Index consists of 30 stocks selected from the Nifty 200 Index, based on a ‘Value Score.’ This score is calculated using key valuation factors to help value-conscious investors easily identify opportunities. The index offers exposure to companies that demonstrate good potential for sustainable long-term growth, said the release.”At a time when investors are seeking diversified strategies for long-term growth, value investing remains a crucial component of a well-rounded portfolio. We are excited to introduce the Nifty200 Value 30 ETF and Index Fund, offering investors a targeted approach to value-based investing, which is designed to provide growth over the long term,” said Chintan Haria, Principal – Investment Strategy at ICICI Prudential AMC.The index is rebalanced semi-annually, so it could entirely align with market trends and valuation principles.
The schemes are based on the concept of value investment, which aims to target undervalued stocks. They expose the investors to 30 companies from diverse sectors, thus diversifying their share portfolio. Both schemes aim to provide low-cost options for investors along with low portfolio turnover, according to the release.
