Prudential ICICI Child Care Plan |
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- Initial offer opens
: July 16, 2001
- Closing Date : August 6,
2001
- Issue Price : Rs 10
- Nature of Scheme : Open Ended Fund
comprising Study Plan (Debt) and Gift Plan (Balanced)
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- Continuous Offer opens :
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- Sponsor : Prudential Plc,
ICICI Ltd
- Trustee : Prudential ICICI Trust
Limited
- Minimum subscription : Rs 5,000
- AMC : Prudential ICICI
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Objective of
the fund: The Scheme has two plans to offer:
Study Plan : The primary
investment objective of this plan is to seek to generate income by creating a portfolio
that is invested in debt, money market instruments and equity and equity related
securities.
Gift Plan : The primary investment objective of this plan is to seek to
generate capital appreciation by creating a portfolio that is invested in equity and
equity related securities and debt and money market instruments.
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- Prudential ICICI Child Care Plan is an open-ended fund
comprising Study Plan and Gift Plan seeking to generate regular income and capital
appreciation respectively.
- For the present, the trustee, on an ongoing basis intends
to charge an Entry and Exit loads as shown below:
Entry Load :
| Prudential ICICI Child Care Plan |
Entry Load |
| Study Plan |
1.50% |
| Gift Plan |
2.50% |
Exit Load:
| Prudential ICICI Child Care Plan
(Study Plan and Gift Plan) |
Exit Load |
| If the amount sought to be redeemed under
any of the above plans is not invested for a period of 3 years |
2.50% |
| If the amount sought to be redeemed under
any of the above plans is invested for a period of 3 years but redeemed before the
unitholder (the Beneficiary Child) attains the age of 18 years |
1.00% |
- The age of the unitholder (the Beneficiary Child) must be
less than 18 years as on the date of investment by the Applicants. Subsequent purchases of
the units may be made until the Beneficiary Child completes 18 years of age.
- Cumulative option is available under both the plans.
Investment Strategy |
| The AMC aims to identify
securities that offer superior levels of yield at lower levels of risks. For the equity
portion of the corpus, the AMC intends to invest in stocks, which are brought, typically
with a one-year time horizon. Stock specific risk will be minimised by investing only in
those companies that have been thoroughly analysed by the Fund Management team at the AMC. Some of the Schemes launched by Prudential ICICI
- Prudential ICICI Balanced Fund
- Prudential ICICI FMCG Fund
- Prudential ICICI Gilt Fund
- Prudential ICICI Growth Plan
- Prudential ICICI Income Plan
- Prudential ICICI Liquid Plan
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Comparative Analysis of similar other funds |
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Name of the Fund |
NAV (in Rs) as on |
| 02.07.2001 |
01.06.2001
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02.05.2001 |
| HDFC Children
Gift Fund Investment Plan |
10.018 |
10.072 |
9.857 |
| HDFC Children
Gift Fund Savings Plan |
10.442 |
10.254 |
10.032 |
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Risk Perception |
| As with all debt securities, changes in
interest rates may affect the Net Asset Value of the Plan as the prices of the securities
generally increase as interest rates decline and generally decrease as interest rates
rise. The debt funds have witnessed good returns since the rate cuts from January 2001,
hence their mobilizations have also increased. Prices of long-term securities generally
fluctuate more in response to interest rate changes than do short-term securities. Indian
debt markets can be volatile leading to the possibility of price movements up or down in
fixed income securities and thereby to possible movements in the NAV. The plans of the scheme propose to invest a part of their
portfolio in equity and equity related securities. Trading volumes, settlement periods and
transfer procedures may restrict the liquidity of these investments.
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