Invest more money in mutual funds
This mutual fund gave great returns, investment of Rs 10 lakh made 2.5 crores in 18 years
If you are interested in mutual funds, then I will tell you about some important thing. If you stay in this for a long time, then you can benefit a lot, which will change your whole life. Come, you will get complete information in this entire post, so let’s know.
Mutual Fund Return Value Discovery Fund is suitable for investors who want to get the best returns in the long run. There is also a mutual fund in the same category which has given returns at a CAGR of 19 per cent in 18 years.
If you want to invest in stocks, mutual funds are the best way to do it. Choosing the right funds helps you in getting the best returns. Today we will talk about ICICI Prudential’s Value Discovery Fund which has completed 18 years. If an investor would have invested Rs 10 lakh in this fund in the beginning itself, then that amount has become about Rs 2.5 crore as of today.
As per data from Value Research, the fund’s Asset Under Management (AUM) stood at Rs 24,694 crore as of July 31. This fund house accounts for 30 per cent of the total AUM in this category. The scheme follows value investing methods. It invests in a diversified portfolio of stocks that are at attractive valuations but at a discount.
The fund was launched on August 16, 2004. It has given returns at a CAGR of 19.7 per cent per annum. Had the same Rs 10 lakh been invested in Nifty 50, its return would have been less than this fund at a CAGR of 15.6 per cent and the amount would have been only Rs 1.3 crore.
ICICI Prudential’s Value Discovery Fund has given good returns even in SIP investments. ,If someone would have done a SIP of Rs 10,000 every month from the inception of this fund, then that amount would have now become Rs 1.2 crore, whereas he has invested only Rs 21.6 lakh during this period. That is, its return has been at the rate of 17.3 percent CAGR annually. The return of 7-year SIP has been 15.81 percent, 5-year SIP return is 18.97 and 3-year SIP has returned 27.59 percent.
Nimesh Shah, MD & CEO, ICICI Prudential said, “What we have seen in the last few years is the increasing attractiveness of Indian investors for value investing. Investing is now aware and they understand what is value and why it is important and needs to be followed diligently. Indians have a flair for seeing value in everything. We believe that value investing will become more and more in our lives as soon as possible.
S Naren, Chief Investment Officer, ICICI Prudential Mutual Fund said that value as a strategy may not work in all phases of a market cycle. Investors need to remember that value investing will do well over a long period of time for a patient investor. Value Discovery Fund focuses on investing in sectors that do well in the long run.