TRUSTEE S REPORT ICICI PRUDENTIAL TRUST LIMITED

Transcription

1 TRUSTEE S REPORT by ICICI PRUDENTIAL TRUST LIMITED Dear Unitholder, We have pleasure in presenting the 23 rd Annual Report of the Schemes of ICICI Prudential Mutual Fund ( the Mutual Fund or the Fund ) for the year ended March 31, 2016, along with the audited financial statements of the Schemes. I. SCHEME PERFORMANCE, FUTURE OUTLOOK AND OPERATIONS OF THE SCHEMES A. Performance of the Schemes and Investment Folios 1. Performance of the Schemes ICICI Prudential Trust Limited ( the Company/Trustee ) is acting as the Trustee to all the Schemes/Plans of the Fund. The net asset values (NAVs) and other pertinent details of the various Schemes are given in Annexure A. 2. Investment Folios The total number of live folios as at March 31, 2016 were lakh. B. Market Review and Outlook Market Review FY 16 1 Global Economy: The International Monetary Fund (IMF) has a pessimistic outlook on global economic growth, given the slowdown in emerging markets, especially China, easing commodity prices and rising interest rates in the United States (US). The economic think-tank trimmed global economic growth forecast for 2016 to 3.4% from 3.6%. (Source: Crisil Research) The US Federal Reserve (Fed) has given indication that it will gradually hike interest rates based on data. The Fed said that it was closely monitoring global economic and financial developments. 1 FY represents a financial year from April 1 to March 31 of the following year. FY 16 represents the financial year ended in FY 17 and FY 18 represent financial year ending in 2017 and 2018 respectively. ICICI Prudential Trust Limited Corporate Identity Number:U74899DL1993PLC Registered Office: 12th Floor, Narain Manzil, 23, Barakhamba Road, New Delhi Corporate Office: One BKC, A Wing, 13th Floor,, Bandra Kurla Complex, Bandra East, Mumbai, Maharashtra , Phone: id: enquiry@icicipruamc.com Central Service Office: 2nd Floor, Block B-2, Nirlon Knowledge Park, Western Express Highway, Goregaon (East), Mumbai , Tel No.: , Fax No.:

2 In February 2016, the European Central Bank (ECB) announced bold stimulus measures to boost Eurozone s economic recovery and combat deflation. The ECB slashed its main benchmark rate to 0% from 0.05%, increased its monthly bond purchases to 80 billion Euros from 60 billion Euros and reduced the interest rate on deposits held by banks at the ECB to -0.4%, from -0.3%. The measures also included long-term cheap loans with tenors up to four years to support banks. Indian economy: According to the Central Statistics Office (CSO), the Indian economy is estimated to expand by 7.6% in FY 16. Inflation over the last one year has remained range bound. Retail inflation has remained in 5-6% range, meanwhile, wholesale prices has seen only deflation. The external indicators too have improved with Current Account Deficit (CAD) likely to be below 1.2% in FY 16. Falling crude prices and lower gold import contributed to reduction in CAD. Fiscal deficit is also improving and the government has remained committed to bring it down further to 3% levels by FY 18. Indian equity market: Indian equity market fell in FY 16 on account of crude oil falling, Foreign Institutional Investors (FII) outflow from emerging countries, which indirectly also affected India. As reported earnings during FY 16 was less than estimation, the investment sentiment in India got dampened. Indian debt market: Reserve Bank of India (RBI) continued its interest rate cut cycle through FY 16, it also took various other measures to increase the liquidity of the market. Meanwhile, the government too supported the RBI's effort. In its Union Budget, the government pegged the gross borrowing for FY 17 at ` 6 lakh crore, largely unchanged from FY 16. The net borrowing for FY 17 is pegged at ` 4.25 lakh crore, lower than the FY16 figure of ` 4.56 lakh Despite the pressures on the Government budgets, the Government has gone ahead with a fiscal deficit target of 3.5% of GDP for FY 17 visà-vis 3.9% of GDP for FY 16. This is positive for bond yields and will raise the chances of a policy rate cut by RBI in the near term. Gold review: Indian gold prices closed the year at ` 29,080 per 10 grams on March 31, 2016 as against ` 26,232 per 10 grams on March 31, 2015 on the MCX (Multi-Commodity Exchange). Gold prices managed to register a positive return of 10.85% during this period. This was due to global risk aversion by investors. 2

3 So how is FY 17 shaping up? Economic outlook The outlook for FY 17 seems quite promising. After improvement seen in the macroeconomic environment it is time for microeconomic indicators to follow through. We believe equities could deliver good returns in the long term and the fixed income market could be boosted by the continuation in RBI s rate-cut cycle. With the macroeconomic indicators largely positive, we expect their effect to trickle down to the microeconomic level in FY 17. Key microeconomic indicators such as production of consumer durable goods, automobile sales, and expenditure on new projects have been quite constructive. The government s focus to implement policies and reforms on the executive level is seen leading to an economic revival. Further, sustained foreign direct investments and some stability in crude oil prices could also boost markets. Thanks to these factors, we believe global investors focus will continue on India as its long-term economic growth story remains intact. Key Statistics of FY 16 Domestic Indices 31-Mar Mar-15 % change Nifty 50 7,738 8, S&P BSE MID CAP 10,619 10, S&P BSE Sensex 25,342 27, S&P BSE SMALL CAP 10,542 10, Source: MFI International Indices 31-Mar Mar-15 % change Dow Jones 17,685 17, FTSE 6,175 6, HangSeng 20,777 24, Nasdaq 4,870 4, Nikkei 16,759 19, SSE Composite Index 3,004 3, Strait Times 2,841 3, Source: MFI Currency Movement 31-Mar Mar-15 % change INR/USD INR/GBP INR/EUR INR/YEN Source: Bloomberg 3

4 Commodity Price Movement 31-Mar Mar-15 % change Brent ($/bbl) Gold ($/ounce) Silver ($/ounce) Source: Bloomberg Fixed Income 31-Mar Mar-15 % change Call Rate 12.00% 9.00% day T-Bill 7.69% 7.06% Days T-Bill 7.06% 7.72% CBLO 7.38% 9.26% Repo 6.75% 7.50% Reverse Repo 5.75% 6.50% Yr G Sec 7.5% 7.7% Yr CD 8.20% 9.06% G Sec Volume (` bln) 4,79,653 3,09, US 10 Yr Bond 1.77% 1.92% Source: Bloomberg, RBI, CRISIL Institutional Flow as on March 31, 2016 (Equity) Pur (` Cr.) Sales (` Cr.) Net (` Cr.) YTD (` Cr.) FII Flows 5,927 4,406 1,522 5,857 MF Flows 2,440 4,692-2,251 4,591 Source: SEBI 31-Mar Mar-15 % change S&P BSE Consumer Durables 11,481 10, S&P BSE Mid cap 10,619 10, S&P BSE IT 11,388 11, S&P BSE FMCG 7,692 7, S&P BSE Oil & Gas 9,162 9, S&P BSE Small Cap 10,542 10, S&P BSE Auto 18,002 19, S&P BSE Bankex 18,392 20, S&P BSE HealthCare 15,149 17, S&P BSE Power Index 1,776 2, S&P BSE PSU 6,107 7, S&P BSE Metals 7,541 9, S&P BSE Capital Good 12,861 17, S&P BSE Realty 1,228 1, Data source: MFI 4

5 Equity market outlook: Currently, capacity utilisation in the manufacturing sector is at a multi-year low. We believe that strong operating leverage and gradual improvement in demand will improve the utilisation rate and drive corporate earnings over the next three to four quarters. We also expect government to support capital expenditure in the transportation and defence sectors. Higher capacity utilisation coupled with improvement in non-performing assets in the banking space, will boost the economy. The expectation of a good monsoon after two years of failure, improvement in asset quality of banks, implementation of reforms, higher capacity utilisation and eventual earnings growth are likely triggers for the markets in FY 17. The Union Budget for FY also underlines the Government s determination to provide an impetus to the economy especially through the infrastructure, rural and financial sectors. It lays emphasis on repairing balance sheets of the banks, reducing non-performing assets and boosting employment in the largest section of the economic pyramid. Given this focus on reform, repair and revival, we see a prospective up-cycle in the economy. Further, we believe that oil prices will bottom out and recover this year, which could bring about some stability in global markets and halt foreign investors from selling in emerging markets such as India. Debt market outlook: Despite the 125 basis-points cut in the benchmark repo rate during the calendar year 2015, the performance of the debt market was lackluster as retail and global investors shied away from debt market. Yet, India was among the best performing debt markets in 2015 and we believe that the outlook for the calendar year 2016 is encouraging. We believe interest rates will continue downward movement as structurally lower inflation shall provide scope for further rate cuts. As per the Indian Metrological Department (IMD) forecast, monsoons are predicted to be normal. This may lead to lower food inflation and provide further room for RBI to cut rates. C. Operations of the Schemes 1. Average Assets under Management (AAUM) The AAUM of the Mutual Fund for the quarter ended March 31, 2016 stood at ` 1,75, crore, while for the quarter ended March 31, 2015 the AAUM of the Mutual Fund was ` 1,48,

6 As of March 31, 2016, the Fund comprised 47 open ended schemes, 4 exchange traded funds, 20 interval fund plans,1 fund of funds scheme investing overseas, 6 fund of fund schemes investing domestically and 269 close ended schemes. During the year under review, the Fund launched 29 fixed maturity plans, 15 capital protection oriented schemes, 3 multiple yield funds and 8 close ended equity funds. 2. Operations and Consumer Service With a view to rendering timely and efficient customer service, the Investment Manager of the Fund, viz., ICICI Prudential Asset Management Company Ltd. ( the AMC ) has been effectively leveraging on its 147 branches including 57 functioning as official points of acceptance of transactions, as on March 31, 2016, effectively servicing the large client base. Additionally a dedicated contact center has been effective in providing investor support and redressing their grievances. The AMC s focus has always been on technological innovation for facilitating investors convenience. 3. Scheme-wise commentary a. Diversified Equity Schemes i. ICICI Prudential Dynamic Plan ICICI Prudential Dynamic Plan is an open ended flexi-cap opportunities fund that seeks to generate capital appreciation by actively investing in equity and equity related securities. For defensive considerations, the scheme may invest in fixed income securities, derivatives and hold cash. The scheme posted a return of -7.02% in FY 16, better than -8.84% posted by the benchmark Nifty 50 Index for the year. The AAUM of the scheme during the last quarter of FY 16 was ` 5, ii. ICICI Prudential Focused Bluechip Equity Fund ICICI Prudential Focused Bluechip Equity Fund is an open ended equity scheme that seeks to generate long term capital appreciation to unitholders from a portfolio that is invested predominantly in equity and equity related securities of large cap companies and the balance in debt securities, money market instruments and cash. The scheme posted a return of -6.63% in FY 16, better than the -8.84% posted by the benchmark Nifty 50 Index for the year. The AAUM of the scheme during the last quarter of FY 16 was ` 9,

7 iii. ICICI Prudential Value Discovery Fund ICICI Prudential Value Discovery Fund is an open ended equity scheme that seeks to generate returns through a combination of dividend income and capital appreciation by investing primarily in a well-diversified portfolio of value stocks. The scheme posted a return of -4.76% in FY 16, better than the -7.80% posted by the benchmark S&P BSE 500 Index for the year. The AAUM of the scheme during the last quarter of FY 16 was ` 10, iv. ICICI Prudential Top 100 Fund ICICI Prudential Top 100 Fund is an open ended diversified large cap equity scheme for long term growth. The scheme posted a return of -7.06% in FY 16 better than the -8.84% posted by the benchmark Nifty 50 Index for the year. The AAUM of the scheme during the last quarter of FY 16 was ` 1, v. ICICI Prudential Multi Cap Fund (formerly known as ICICI Prudential Top 200 Fund) ICICI Prudential Multi Cap Fund is an open ended diversified equity scheme that invests in a blend of large and mid cap stocks in core and associated feeder industries. The portfolio comprises predominantly of large caps. The scheme posted a return of -2.75% in FY 16, better than the -7.84% posted by the benchmark S&P BSE 200 Index for the year. The AAUM of the scheme during the last quarter of FY 16 was ` vi. ICICI Prudential Midcap Fund ICICI Prudential Midcap Fund is an open ended equity scheme that invests in diversified mid cap stocks which have the potential to emerge as large cap stocks in the future. The scheme posted a return of -6.41% in FY 16. The benchmark, Nifty Free Float Midcap 100 Index, posted a return of -1.91% for the year. The AAUM of the scheme during the last quarter of FY 16 was ` 1,

8 vii. ICICI Prudential Select Large Cap Fund ICICI Prudential Select Large Cap Fund is an open ended equity scheme that seeks to generate long term capital appreciation to unitholders from a portfolio that is invested predominantly in equity and equity related securities of large market capitalization companies constituting the S&P BSE 100 index and providing investors with options to withdraw their investment automatically based on triggers for pre-set levels of return as and when they are achieved. The scheme posted a return of -8.56% in FY 16, better than -8.94% posted by the benchmark, S&P BSE 100 Index, for the year. The AAUM of the scheme during the last quarter of FY 16 was ` viii.icici Prudential Indo Asia Equity Fund ICICI Prudential Indo Asia Equity Fund is an open ended diversified equity scheme. The Scheme aims to generate long term capital appreciation by investing in equity, equity related securities and/or share classes/units of equity funds of companies, which are incorporated or have their area of primary activity, in the Asia Pacific region. The scheme posted a return of -9.64% in FY 16. The benchmark, 65% Nifty % MSCI Asia ex-japan Index, posted -8.60% for the year. The AAUM of the scheme during the last quarter of FY 16 was ` ix. ICICI Prudential US Bluechip Equity Fund ICICI Prudential US Bluechip Equity Fund will primarily invest in equity and equity related securities of bluechip companies listed on the stock exchanges of the United States of America (New York Stock Exchange and/or NASDAQ). The scheme posted a return of 5.67% in FY 16, better than the 5.55% returns posted by the benchmark S&P 500 Index for the year. The AAUM of the scheme during the last quarter of FY 16 was ` x. ICICI Prudential Dividend Yield Equity Fund ICICI Prudential Dividend Yield Equity Fund aims to provide medium to long term capital gains and/or dividend distribution by investing in a well diversified portfolio of predominantly equity and equity related instruments, which offer attractive dividend yield. The scheme posted a return of -6.18% in FY 16 better than the -9.95% returns posted by the benchmark Nifty Dividend Opportunities 50 Index for same period. 8

9 The AAUM of the scheme during the last quarter of FY 16 was ` b. Equity-linked Savings Schemes i. ICICI Prudential Long Term Equity Fund (Tax Saving)(Formerly known as ICICI Prudential Tax Plan) ICICI Prudential Long Term Equity Fund is an open ended Equity Linked Savings Scheme (ELSS) that aims to generate long term capital appreciation by primarily investing in equity and related securities. The scheme posted a return of -5.72% in FY 16, better than the -7.52% posted by the benchmark Nifty 500 Index for the year. The AAUM of the scheme during the last quarter of FY 16 was ` 2, ii. ICICI Prudential R.I.G.H.T. (Rewards of Investing & Generation of Healthy Tax Savings) Fund ICICI Prudential R.I.G.H.T. (Rewards of Investing & Generation of Healthy Tax Savings) Fund is a ten year close ended equity linked savings scheme that seeks to generate long term capital appreciation to unit holders from a portfolio that is invested predominantly in equity and equity related securities of large capitalization companies and emerging mid cap companies along with income tax benefit. The scheme posted a return of % in FY 16. The benchmark, Nifty 50 Index, posted returns of -8.84%. The AAUM of the scheme during the last quarter of FY 16 was ` c. Thematic and Sector Funds i. ICICI Prudential Infrastructure Fund ICICI Prudential Infrastructure Fund is a thematic fund encompassing infrastructure. It is an open ended equity scheme that seeks to generate capital appreciation and income distribution to unit holders by investing predominantly in equity or equity related securities of the companies belonging to the infrastructure development and balance in debt securities and money market instruments. The scheme posted a return of % in FY 16, better than the % posted by the benchmark Nifty Infrastructure Index for the year. The AAUM of the scheme during the last quarter of FY 16 was ` 1,

10 ii. ICICI Prudential Banking & Financial Services Fund ICICI Prudential Banking & Financial Services Fund is an open ended sectoral scheme that seeks to generate long term capital appreciation to unitholders from a portfolio that is invested predominantly in equity and equity related securities of companies engaged in banking and financial services. The scheme posted a return of -9.85% in FY 16, better than the % posted by the benchmark S&P BSE Bankex Index for the year. The AAUM of the scheme during the last quarter of FY 16 was ` iii. ICICI Prudential Technology Fund ICICI Prudential Technology Fund is an open ended technology sector oriented fund. The Scheme predominantly invests in equity and equity related securities of technology and technology dependent companies. The scheme posted a return of 3.08% in FY 16, better than the -0.14% posted by the benchmark S&P BSE IT Index for the year. The AAUM of the scheme during the last quarter of FY 16 was ` iv. ICICI Prudential FMCG Fund ICICI Prudential FMCG Fund is an open ended FMCG sector oriented fund. The scheme primarily invests in a select group of companies in the FMCG sector. The scheme posted a return of -1.11% in FY 16. The benchmark index, Nifty FMCG, posted returns of -0.58% for the year. The AAUM of the scheme during the last quarter of FY 16 was ` v. ICICI Prudential Exports and Other Services Fund ICICI Prudential Exports and Other Services Fund is an open ended equity scheme that seeks to generate capital appreciation and income distribution to unitholders by investing predominantly in equity/equity related securities of the companies belonging to the service industry and balance in debt securities and money market instruments. The scheme posted a return of -2.74% in FY 16, better than the -9.22% posted by the benchmark Nifty Service Sector Index for the year. 10

11 The AAUM of the scheme during the last quarter of FY 16 was ` d. Close Ended Equity Schemes i. ICICI Prudential Value Fund-Series 1 ICICI Prudential Value Fund Series 1 is a close ended equity scheme that aims to provide capital appreciation by investing in a well-diversified portfolio of stocks through fundamental analysis. The scheme posted a return of -6.14% for FY 16, better than the -7.80% posted by the benchmark S&P BSE 500 Index for the year. The AAUM of the scheme during the last quarter of FY 16 was ` ii. ICICI Prudential Value Fund-Series 2 ICICI Prudential Value Fund Series 2 is a close ended equity scheme that aims to provide capital appreciation by investing in a well-diversified portfolio of stocks through fundamental analysis. The scheme posted a return of -5.47% in FY16, better than the -7.80% posted by the benchmark S&P BSE 500 Index for the year. The AAUM of the scheme during the last quarter of FY 16 was ` iii. ICICI Prudential Value Fund-Series 3 ICICI Prudential Value Fund Series 3 is a close ended equity scheme that aims to provide capital appreciation by investing in a well-diversified portfolio of stocks through fundamental analysis. The scheme posted a return of -3.62% in FY 16, better than the -7.80% posted by the benchmark S&P BSE 500 Index for the year. The AAUM of the scheme during the last quarter of FY 16 was ` iv. ICICI Prudential Value Fund-Series 4 ICICI Prudential Value Fund Series 4 is a close ended equity scheme that aims to provide capital appreciation by investing in a well-diversified portfolio of stocks through fundamental analysis. The scheme posted a return of -2.02% in FY 16, better than the -7.80% returns posted by the benchmark S&P BSE 500 Index for same period. 11

12 The AAUM of the scheme during the last quarter of FY 16 was ` v. ICICI Prudential Value Fund-Series 5 ICICI Prudential Value Fund Series 5 is a close ended equity scheme that aims to provide capital appreciation by investing in a well-diversified portfolio of stocks through fundamental analysis. The scheme posted a return of -8.72% in FY 16. The benchmark, S&P BSE 500 Index, posted a return of -7.80% for the year. The AAUM of the scheme during the last quarter of FY 16 was ` vi. ICICI Prudential Value Fund - Series 6 ICICI Prudential Value Fund - Series 6 is a close ended equity scheme that aims to provide capital appreciation by investing in a well-diversified portfolio of stocks through fundamental analysis. The scheme posted a return of % in FY 16. The benchmark, S&P BSE 500 Index, posted a return of -7.80% for the year. The AAUM of the scheme during the last quarter of FY 16 was ` vii. ICICI Prudential Value Fund - Series 7 ICICI Prudential Value Fund - Series 7 is a close ended equity scheme that aims to provide capital appreciation by investing in a well-diversified portfolio of stocks through fundamental analysis. The scheme posted a return of -5.30% from inception date (Jun 08, 2015) till March 31, The benchmark, S&P BSE 500 Index, posted a return of -2.88% for the same period. The AAUM of the scheme during the last quarter of FY 16 was ` 9.90 viii. ICICI Prudential Value Fund - Series 8 ICICI Prudential Value Fund - Series 8 is a close ended equity scheme that aims to provide capital appreciation by investing in a well-diversified portfolio of stocks through fundamental analysis. The scheme posted a return of -5.90% from inception date (Aug 06, 2015) till March 31, 2016 better than the % posted by the benchmark S&P BSE 500 Index for the same period. 12

13 The AAUM of the scheme during the last quarter of FY 16 was ` ix. ICICI Prudential Growth Fund-Series 1 ICICI Prudential Growth Fund Series 1 is a close ended equity scheme that seeks to provide capital appreciation by investing in a welldiversified portfolio of equity and equity related securities. The scheme posted a return of -5.35% in FY 16, better than the -8.84% posted by the benchmark, Nifty 50 Index, for the year. The AAUM of the scheme during the last quarter of FY 16 was ` x. ICICI Prudential Growth Fund-Series 2 ICICI Prudential Growth Fund Series 2 is a close ended equity scheme that seeks to provide capital appreciation by investing in a welldiversified portfolio of equity and equity related securities. The scheme posted a return of -6.59% in FY 16, better than the -8.84% posted by the benchmark, Nifty 50 Index, for the year. The AAUM of the scheme during the last quarter of FY 16 was ` xi. ICICI Prudential Growth Fund-Series 3 ICICI Prudential Growth Fund Series 3 is a close ended equity scheme that seeks to provide capital appreciation by investing in a welldiversified portfolio of equity and equity related securities. The scheme posted a return of -8.42% in FY 16, better than the -8.84% posted by the benchmark, Nifty 50 Index, for the year. The AAUM of the scheme during the last quarter of FY 16 was ` xii. ICICI Prudential Growth Fund-Series 4 ICICI Prudential Growth Fund Series 4 is a close ended equity scheme that seeks to provide capital appreciation by investing in a welldiversified portfolio of equity and equity related securities. The scheme posted a return of -0.18% in FY 16, better than the -8.84% posted by the benchmark, Nifty 50 Index, for the year. 13

14 The AAUM of the scheme during the last quarter of FY 16 was ` xiii. ICICI Prudential Growth Fund-Series 5 ICICI Prudential Growth Fund Series 5 is a close ended equity scheme that seeks to provide capital appreciation by investing in a welldiversified portfolio of equity and equity related securities. The scheme posted a return of -8.80% in FY 16, better than the -8.84% posted by the benchmark, Nifty 50 Index, for the year. The AAUM of the scheme during the last quarter of FY 16 was ` xiv. ICICI Prudential Growth Fund-Series 6 ICICI Prudential Growth Fund Series 6 is a close ended equity scheme that seeks to provide capital appreciation by investing in a welldiversified portfolio of equity and equity related securities. The scheme posted a return of -7.96% in FY 16, better than the -8.84% returns posted by the benchmark Nifty 50 Index for the same period. The AAUM of the scheme during the last quarter of FY 16 was ` xv. ICICI Prudential Growth Fund-Series 7 ICICI Prudential Growth Fund Series 7 is a close ended equity scheme that seeks to provide capital appreciation by investing in a welldiversified portfolio of equity and equity related securities. The scheme posted a return of -8.95% in FY 16. The benchmark, Nifty 50 Index posted a return of -8.84% for the year. The AAUM of the scheme during the last quarter of FY 16 was ` xvi. ICICI Prudential Growth Fund-Series 8 ICICI Prudential Growth Fund Series 8 is a close ended equity scheme that seeks to provide capital appreciation by investing in a welldiversified portfolio of equity and equity related securities. The scheme posted a return of % in FY 16. The benchmark, Nifty 50 Index, posted a return of -8.84% for the year. The AAUM of the scheme during the last quarter of FY 16 was `

15 xvii. ICICI Prudential India Recovery Fund Series 1 ICICI Prudential India Recovery Fund Series 1 is a close ended equity scheme that seeks to provide capital appreciation by investing in equity and equity related securities that are likely to benefit from recovery in the Indian economy. The scheme posted a return of -6.85% in FY 16, better than the -7.80% returns posted by the benchmark S&P BSE 500 for the year. The AAUM of the scheme during the last quarter of FY 16 was ` xviii. ICICI Prudential India Recovery Fund Series 2 ICICI Prudential India Recovery Fund Series 2 is a close ended equity scheme that seeks to provide capital appreciation by investing in equity and equity related securities that are likely to benefit from recovery in the Indian economy. The scheme posted a return of -2.70% from inception date (Apr 08, 2015) till March 31, 2016 better than the % returns posted by the benchmark, S&P BSE 500 Index for the same period. The AAUM of the scheme during the last quarter of FY 16 was ` xix. ICICI Prudential India Recovery Fund Series 3 ICICI Prudential India Recovery Fund Series 3 is a close ended equity scheme that seeks to provide capital appreciation by investing in equity and equity related securities that are likely to benefit from recovery in the Indian economy. The scheme posted a return of -4.10% from inception date (Aug 28, 2015) till March 31, The benchmark, S&P BSE 500 Index, posted a return of -3.64% for the same period. The AAUM of the scheme during the last quarter of FY 16 was ` xx. ICICI Prudential India Recovery Fund Series 4 ICICI Prudential India Recovery Fund Series 4 is a close ended equity scheme that seeks to provide capital appreciation by investing in equity and equity related securities that are likely to benefit from recovery in the Indian economy. 15

16 The scheme posted a return of 7.30% from inception date (Feb 25, 2016) till March 31, The benchmark, S&P BSE 500 Index, posted a return of 10.85% for the same period. The AAUM of the scheme during the last quarter of FY 16 was ` xxi. ICICI Prudential Business Cycle Fund Series 1 ICICI Prudential Business Cycle Fund Series 1 is a close ended equity scheme that aims to provide capital appreciation by investing in equity and equity related securities with focus on riding business cycles through dynamic allocation between various sectors and stocks The scheme posted a return of -4.60% from inception date (Oct 07, 2015) till March 31, 2016 better than the -5.72% returns posted by the benchmark S&P BSE 500 Index for the same period. The AAUM of the scheme during the last quarter of FY 16 was ` xxii. ICICI Prudential Business Cycle Fund Series 2 ICICI Prudential Business Cycle Fund Series 2 is a close ended equity scheme that aims to provide capital appreciation by investing in equity and equity related securities with focus on riding business cycles through dynamic allocation between various sectors and stocks. The scheme posted a return of -3.50% from inception date (Nov 06, 2015) till March 31, The benchmark, S&P BSE 500 Index, posted a return of -3.10% for the same period. The AAUM of the scheme during the last quarter of FY 16 was ` xxiii. ICICI Prudential Business Cycle Fund Series 3 ICICI Prudential Business Cycle Fund Series 3 is a close ended equity scheme that aims to provide capital appreciation by investing in equity and equity related securities with focus on riding business cycles through dynamic allocation between various sectors and stocks The scheme posted a return of 5.30% from inception date (Jan 28, 2016) till March 31, 2016 better than 3.35% returns posted by the benchmark, S&P BSE 500 Index for the same period. The AAUM of the scheme during the last quarter of FY 16 was `

17 xxiv. ICICI Prudential Equity Savings Fund-Series 1(Tax benefits available under Rajiv Gandhi Equity Savings Scheme) ICICI Prudential Equity Savings Fund Series 1 is a close ended equity scheme that seeks to generate capital appreciation by investing in equity securities which are specified as eligible securities for Rajiv Gandhi Equity Savings Scheme (RGESS). The scheme posted a return of % in FY16. The benchmark, Nifty 100 Index posted -8.05% returns for the period. The AAUM of the scheme during the last quarter of FY 15 was ` e. Balanced/Hybrid & Arbitrage Schemes i. ICICI Prudential Balanced Fund ICICI Prudential Balanced Fund is an open ended Balanced Fund that invests a minimum of 65% into equity & equity related securities and remaining in fixed income securities. The scheme posted a return of -2.44% in FY 16, better than the -2.90% posted by the benchmark Crisil Balanced Fund-Aggressive Index. The AAUM of the scheme during the last quarter of FY 16 was ` 2, ii. ICICI Prudential Balanced Advantage Fund ICICI Prudential Balanced Advantage Fund seeks to generate capital appreciation and income distribution to unit holders by using equity derivative strategies, arbitrage opportunities and pure equity investments. The scheme aims to generate risk controlled equity linked returns. The scheme posted a return of 1.10% in FY 16 better than the -2.90% posted by the benchmark Crisil Balanced Fund-Aggressive Index. The AAUM of the scheme during the last quarter of FY 16 was ` 10, iii. ICICI Prudential Equity Arbitrage Fund ICICI Prudential Equity Arbitrage Fund seeks to generate low volatility returns by using arbitrage and other derivative strategies in equity markets and investments in short term debt securities. The scheme posted a return of 6.66% in FY 16. The benchmark CRISIL Liquid Fund Index has posted a return of 8.04% for the year. 17

18 The AAUM of the scheme during the last quarter of FY 16 was ` 3, iv. ICICI Prudential Blended Plan Plan A (Merged into ICICI Prudential Equity - Arbitrage Fund with effect from close of business hours on April 22, 2016) ICICI Prudential Blended Plan Plan A focuses on generating returns from a blend of equity and equity arbitrage (at least 65%) and low volatility returns from a minimum debt exposure of 20% for short time horizon. The scheme posted a return of 6.39% in FY 16. The benchmark CRISIL Liquid Fund Index posted a return of 8.04% for the year. The AAUM of the scheme during the last quarter of FY 16 was ` v. ICICI Prudential Equity Income Fund ICICI Prudential Equity Income Fund seeks to generate regular income through investments in fixed income securities and using arbitrage and other derivative strategies. The Scheme also intends to generate longterm capital appreciation by investing a portion of the Scheme s assets in equity and equity related instruments. The scheme posted a return of 1.46% in FY 16. The benchmark, 30% Nifty % CRISIL Liquid Fund Index + 30% CRISIL Short Term Bond Fund Index, posted returns of 3.10% for the year. The AAUM of the scheme during the last quarter of FY 16 was ` vi. ICICI Prudential Child Care Plan Gift Plan ICICI Prudential Child Care Plan Gift Plan is an open ended fund with a blend of mid and small cap stocks and a maximum of upto 35% in fixed income securities. The scheme posted a return of -4.18% in FY 16. The benchmark, Crisil Balanced Fund-Aggressive Index, posted returns of -2.90% for the year. The AAUM of the scheme during the last quarter of FY 16 was ` vii. ICICI Prudential Child Care Plan Study Plan ICICI Prudential Child Care Plan Study Plan is an open ended fund which can invest a maximum of 25% in equity and equity related securities and 18

19 a minimum of 75% in fixed income securities. The equity portion is multicap. The scheme posted a return of 5.08% in FY 16. The benchmark, CRISIL MIP Blended Index, posted 5.65% returns for the year. The AAUM of the scheme during the last quarter of FY 16 was ` f. Monthly Income Plans i. ICICI Prudential MIP 25 (An open ended income fund. Monthly income is not assured and is subject to availability of distributable surplus) ICICI Prudential MIP 25 is a debt oriented fund which invests primarily in debt and money market instruments. As a secondary objective, the scheme also seeks to generate long term capital appreciation from the portion of equity investments under the Scheme. The scheme posted a return of 2.81% in FY 16. The benchmark, CRISIL MIP Blended Index, posted 5.65% for the year. The AAUM of the scheme during the last quarter of FY 16 was ` 1, ii. ICICI Prudential Monthly Income Plan (An open ended income fund. Monthly income is not assured and is subject to availability of distributable surplus) ICICI Prudential Monthly Income Plan is a debt oriented fund which invests primarily in debt and money market instruments. As a secondary objective, the scheme also seeks to generate long term capital appreciation from the portion of equity investments under the Scheme. The scheme posted a return of 2.95% in FY 16. The benchmark, CRISIL MIP Blended Index, posted 5.65% for the year. The AAUM of the scheme during the last quarter of FY 16 was ` iii. ICICI Prudential Regular Income Fund (Income is not assured and is subject to availability of distributable surplus) ICICI Prudential Regular Income Fund is a debt oriented fund that seeks to generate regular income through investments in fixed income securities so as to make regular dividend distribution to unit holders seeking the Dividend Option. 19

20 The scheme posted a return of 8.93% in FY 16 better than the benchmark CRISIL MIP Blended Index that posted a return of 5.65% for the same period. The AAUM of the scheme during the last quarter of FY 16 was ` 1, g. Index Funds i. ICICI Prudential Nifty Index Fund (Formerly known as ICICI Prudential Index Fund) ICICI Prudential Nifty Index Fund is an open ended index-linked growth scheme that seeks to track the returns of Nifty 50 Index through investments in a basket of stocks drawn from the constituents of the above index. The scheme posted a return of -8.21% in FY 16, better than the -8.84% posted by benchmark Nifty 50 Index for the year. The AAUM of the scheme during the last quarter of FY 16 was ` ii. ICICI Prudential Nifty Next 50 Index Fund (Formerly known ICICI Prudential Nifty Junior Index Fund) ICICI Prudential Nifty Next 50 Index Fund is an open ended Index fund that invests in companies whose securities are included in Nifty Next 50 Index. The endeavor is to achieve the returns of the above index as closely as possible, subject to tracking error. The scheme posted a return of -3.22% in FY 16 better than the benchmark as Nifty Next 50 Index posted a return of -3.51% for the year. The AAUM of the scheme during the last quarter of FY 16 was ` h. Money Market Funds i. ICICI Prudential Liquid Plan ICICI Prudential Liquid Plan is open ended liquid income fund that invests in money market and debt securities. It endeavors to provide returns in line with scheme objective by investing in securities having short maturity, low risk and high level of liquidity. The scheme posted return of 8.19% in FY 16 better than 8.04% posted by the benchmark CRISIL Liquid Fund Index for the year. 20

21 The AAUM of the scheme during the last quarter of FY 16 was `25, ii. ICICI Prudential Money Market Fund ICICI Prudential Money Market Fund is an open ended money market fund with an objective to provide reasonable returns, commensurate with low risk while providing a high level of liquidity, through investments made primarily in money market and debt securities. The scheme posted a return of 8.19% in FY 16 better than 8.04% posted by the benchmark CRISIL Liquid Fund Index for the year. The AAUM of the scheme during the last quarter of FY 16 was ` 9, i. Ultra Short Term Debt Schemes i. ICICI Prudential Flexible Income Plan ICICI Prudential Flexible Income Plan is an open ended debt scheme for relatively steady returns with low market volatility. The scheme invests in a range of debt and money market instruments of various maturities with a view to maximizing income while maintaining the optimum balance of yield, safety and liquidity. The scheme posted a return of 8.76% in FY 16, better than 8.04% posted by the benchmark CRISIL Liquid Fund Index for the year. The AAUM of the scheme during the last quarter of FY 16 was ` 14, ii. ICICI Prudential Savings Fund ICICI Prudential Savings Fund is an open ended debt scheme that invests in a range of debt and money market instruments of various maturities with a view to maximizing income while maintaining the optimum balance of yield, safety and liquidity. The scheme posted a return of 8.05% in FY 16, better than the 8.04% posted by the benchmark CRISIL Liquid Fund Index for the year. The AAUM of the scheme during the last quarter of FY 16 was ` 3, iii. ICICI Prudential Ultra Short Term Plan ICICI Prudential Ultra Short Term Plan is an open ended income fund that invests in a basket of debt and money market instruments of very short 21

22 maturities with a view to providing reasonable returns, while maintaining an optimum balance of safety, liquidity and yield. The scheme posted a return of 8.74% in FY 16, better than 8.44% posted by the benchmark, CRISIL Short Term Bond Fund Index, for the year. The AAUM of the scheme during the last quarter of FY 16 was ` 5, j. Income Funds (short term, medium term and long term) i. ICICI Prudential Short Term Plan ICICI Prudential Short Term Plan is an open ended short term income fund that aims to generate income through investments in a range of debt and money market instruments of various maturities with a view to maximizing income while maintaining the optimum balance of yield, safety and liquidity. The scheme posted a return of 8.10% in FY 16. The benchmark, CRISIL Short Term Bond Fund Index, posted 8.44% for the year. The AAUM of the scheme during the last quarter of FY 16 was ` 5, ii. ICICI Prudential Long Term Plan ICICI Prudential Long Term Plan is an open ended income fund that seeks to generate income through investments in a range of debt and money market instruments with a view to maximizing income while maintaining an optimum balance of yield, safety and liquidity. The scheme posted a return of 6.61% in FY 16. The benchmark, CRISIL Composite Bond Fund Index, posted 8.22% for the year. The AAUM of the scheme during the last quarter of FY 16 was ` iii. ICICI Prudential Dynamic Bond Fund ICICI Prudential Dynamic Bond Fund is a medium term income fund that aims to generate regular income through investments in debt and money market instruments with a view to provide regular dividend payments and secondary objective of growth in capital. The scheme posted a return of 8.07% in FY 16. The benchmark, CRISIL Composite Bond Fund Index, posted a return of 8.22% for the year. The AAUM of the scheme during the last quarter of FY 16 was `

23 iv. ICICI Prudential Regular Savings Fund ICICI Prudential Regular Savings Fund intends to provide reasonable returns through investments in a basket of debt and money market instruments with a view to deliver consistent performance. The scheme posted a return of 7.64% in FY 16. The benchmark, CRISIL Composite Bond Fund Index, posted a return of 8.22% for the year. The AAUM of the scheme during the last quarter of FY 16 was ` 5, v. ICICI Prudential Corporate Bond Fund ICICI Prudential Corporate Bond Fund is a debt fund that aims to invest in debt and money market instruments of various maturities with a view to maximise income while maintaining optimum balance of yield, safety and liquidity. The scheme posted a return of 7.70% in FY 16. The benchmark, CRISIL Short Term Bond Fund Index, posted 8.44% for the year. The AAUM of the scheme during the last quarter of FY 16 was ` 3, vi. ICICI Prudential Banking & PSU Debt Fund ICICI Prudential Banking & PSU Debt Fund is an open ended income scheme that aims to generate regular income by investing in debt and money market instruments predominantly issued by Banks & Public Sector Undertaking (PSU). The scheme posted a return of 8.70% in FY 16 better than 8.44% returns posted by the benchmark CRISIL Short Term Bond Fund Index for the year. The AAUM of the scheme during the last quarter of FY 16 was ` 3, vii. ICICI Prudential Blended Plan-Plan B ICICI Prudential Blended Plan-Plan B is an open ended scheme seeking to generate income and capital appreciation by investing predominantly in debt securities. The scheme posted a return of 8.19% in FY 16. The benchmark, CRISIL Short Term Bond Fund Index, posted 8.44% for the year. 23

24 The AAUM of the scheme during the last quarter of FY 16 was ` 1, crore viii. ICICI Prudential Income Plan ICICI Prudential Income Plan is an open ended income fund which invests in a range of debt and money market instruments of various maturities with a view to maximising income while maintaining optimum balance of yield, safety and liquidity. The scheme posted a return of 5.71% in FY 16. The benchmark, CRISIL Composite Bond Fund Index, posted 8.22% returns for the year. The AAUM of the scheme during the last quarter of FY 16 was ` 3, ix. ICICI Prudential Income Opportunities Fund ICICI Prudential Income Opportunities Fund is an open ended income fund which invests in a range of debt and money market instruments of various credit ratings and maturities with a view to maximising income while maintaining optimum balance of yield, safety and liquidity. The scheme posted a return of 7.38% in FY 16. The benchmark, CRISIL Composite Bond Fund Index, posted 8.22% returns for the year. The AAUM of the scheme during the last quarter of FY 16 was ` 3, k. Gilt Funds i. ICICI Prudential Gilt Fund-Investment Plan PF Option ICICI Prudential Gilt Fund-Investment Plan PF Option is an open ended dedicated government securities scheme that seeks to generate regular returns through investments made in liquid, high quality, low risk debt i.e. government securities of various maturities. The scheme posted a return of 6.21% in FY 16. The benchmark, I Sec Li- BEX, posted 7.24% returns for the year. The AAUM of the scheme during the last quarter of FY 16 was ` ii. ICICI Prudential Long Term Gilt Fund ICICI Prudential Long Term Gilt Fund is a dedicated government securities fund that seeks to generate regular returns through investments made in liquid, high quality, low risk debt i.e. government securities of various maturities. 24

25 The scheme posted a return of 5.98% in FY 16. The benchmark I-SEC I- BEX posted a return of 7.73% for the year. The AAUM of the scheme during the last quarter of FY 16 was ` 1, iii. ICICI Prudential Short Term Gilt Fund ICICI Prudential Short Term Gilt Fund is a dedicated government securities fund that seeks to generate income through investments in government securities of various maturities. The scheme posted a return of 8.94% in FY 16. The benchmark I-SEC Si BEX posted a return of 9.03% for the year. The AAUM of the scheme during the last quarter of FY 16 was ` iv. ICICI Prudential Gilt Fund Treasury Plan PF Option ICICI Prudential Gilt Fund Treasury Plan PF Option is a dedicated government securities fund that seeks to generate income through investments in government securities of various maturities. The scheme posted a return of 11.92% in FY 16 better than the 9.03% returns posted by the benchmark I-SEC Si BEX for the year. The AAUM of the scheme during the last quarter of FY 16 was ` v. ICICI Prudential Constant Maturity Gilt Fund ICICI Prudential Constant Maturity Gilt Fund aims to provide reasonable returns by investing in portfolio of government securities with average maturity around 10 years. The scheme posted a return of 7.84% in FY 16. The benchmark Crisil 10 year Gilt Index posted a return of 7.95% for the year. The AAUM of the scheme during the last quarter of FY 16 was ` l. Exchange Traded Funds i. ICICI Prudential Gold Exchange Traded Fund ICICI Prudential Gold Exchange Traded Fund seeks to provide investment returns that, before expenses, closely track the performance of domestic prices of Gold derived from the LBMA AM fixing prices. 25

26 The scheme posted a return of 9.85% in FY 16. The benchmark Gold (LBMA AM fixing prices) posted a return of 10.79% for the year. The AAUM of the scheme during the last quarter of FY 16 was ` ii. ICICI Prudential Sensex ETF (Formerly known as SENSEX Prudential ICICI Exchange Traded Fund ( SPIcE )(Tax benefits available under Rajiv Gandhi Equity Savings Scheme) ICICI Prudential Sensex ETF is an open ended, exchange listed, index linked growth scheme. The Scheme will endeavor to provide investment returns that, before expenses, closely correspond to the total returns of the securities as represented by S&P BSE Sensex, subject to tracking error. The scheme posted a return of -7.80% in FY 16 better than the -9.33% returns posted by the benchmark S&P BSE Sensex for the year. The AAUM of the scheme during the last quarter of FY 16 was ` 4.27 iii. ICICI Prudential Nifty ETF (Tax benefits available under Rajiv Gandhi Equity Savings Scheme) ICICI Prudential NIFTY ETF seeks to provide returns that closely correspond to the total return of Nifty 50 Index, subject to tracking errors. Units issued under the Scheme qualify to be eligible security under Rajiv Gandhi Equity Savings Scheme. The scheme posted a return of -7.65% in FY 16 better than the -8.84% returns posted by the benchmark Nifty 50 Index for the year. The AAUM of the scheme during the last quarter of FY 16 was ` iv.icici Prudential Nifty 100 ETF (Formerly known as ICICI Prudential CNX 100 ETF (Tax benefits available under Rajiv Gandhi Equity Savings Scheme)) ICICI Prudential Nifty 100 ETF seeks to provide returns that closely correspond to the total return provided by Nifty 100 Index, subject to tracking error. The scheme posted a return of -6.94% in FY 16 better than the -8.05% returns posted by the benchmark Nifty 100 Index for the year. The AAUM of the scheme during the last quarter of FY 16 was `

27 m. Fund-of-Funds Schemes i. ICICI Prudential Advisor Series ICICI Prudential Advisor Series is an open ended asset allocation fund, which is of the nature of Fund of Funds (FOF), comprising thereunder five investment plans, which seeks to generate returns through investment in underlying schemes of onshore or offshore Mutual Fund(s). The investments into underlying funds under each Plan of FOF would, inter alia, be governed by: - The investment management style of such schemes (both FOF and underlying), - The tolerance and the risk profile of such schemes (both FOF and underlying), - The asset allocation (such as equity or debt) of such schemes (both FOF and underlying). The Scheme has five plans as under: a. Dynamic Accrual Plan (Formerly known as Very Cautious Plan) The Plan seeks to provide reasonable returns, commensurate with low risk while providing a high level of liquidity, through investments made primarily in the schemes of domestic or offshore Mutual Fund(s) having asset allocation to: Money market and debt securities. This Plan may be considered to be ideal for investors having a low risk appetite and a shorter duration of investment. The Plan posted a return of 10.87% for FY 16, better than the benchmark comprising CRISIL Liquid Fund Index (30%) + CRISIL Composite Bond Fund Index (70%) which posted a return of 8.17% for the year. The AAUM of the plan during the last quarter of FY 16 was ` 5.39 b. Cautious Plan The Plan seeks to generate regular income primarily through investments in the schemes of domestic or offshore Mutual Fund(s) having asset allocation: Primarily to fixed-income securities 27