ICICI Prudential Capital Protection Oriented Fund – Series XI – Plan E 1222 Days, as the name suggests, is a close-ended capital protection oriented fund which is suitable for investors who are seeking long-term savings solution. It will also act as a hybrid fund to protect capital by investing a portion of the portfolio in highest rated debt securities and money market instruments, and aims for capital appreciation by investing in equities. The scheme holds the principal amount at moderately low risk.

New Fund Offer Period
The new fund offer has already opened on March 15, 2017, and will close on March 27, 2017.

Investment Objective
The scheme is a close-ended capital protection oriented fund. The investment objective of the scheme is to seek to protect capital by investing a portion of the portfolio in highest rated debt securities & money market instruments and also to provide capital appreciation by investing the balance in equity and equity related securities. The debt securities would mature on or before the maturity of the scheme.

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Asset Allocation

Under the scheme, it is proposed to make investments in debt securities which mature on or before the date of maturity of the scheme. Any change in the investment pattern may be for a period of 30 days for defensive considerations. Any change in the asset allocation is for defensive consideration and the AMC shall endeavour to ensure that the capital remains protected till maturity. The portfolio would be rebalanced within 30 days to address any deviations from the aforementioned allocations due to market changes. The scheme shall not take any exposure to floating rate instruments.

Cash investment in the scheme
Pursuant to SEBI, it is permitted to accept cash transactions to the extent of Rs 50000 subject to compliance with the Prevention of Money Laundering Act, 2002 and rules framed there under and the SEBI on Anti-Money Laundering (AML) and other applicable AML rules, regulations and guidelines. Provided that the limit shall be applicable per investor for investments done in a financial year across all schemes of the mutual fund, subject to sufficient systems and procedures in place for such acceptance. However, any form of repayment either by way of redemption, dividend, etc. with respect to such cash investment shall be paid only through banking channel.

The Asset Management Company is in process of implementing adequate systems and controls to accept cash investment in the Scheme.

Liquidity
Repurchase facility
No redemption/repurchase of units shall be allowed prior to the maturity of the scheme under this close-ended scheme. Investors wishing to exit may do so, only in demat mode, by selling through BSE or any of the stock exchange (s) where the Scheme will be listed, as the Trustee may decide from time to time.

Minimum application amount
Rs 5,000 and in multiples of Rs 10 thereafter. The minimum application amount applies to switch also.

Applicable NAV
Being a close-ended scheme, units of the scheme can be purchased during New Fund Offer period only. The units will be issued in respect of valid applications received up to the closure of business hours of the last day of New Fund Offer period along with a local cheque or a demand draft payable at par at the place where the application is received.

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Benchmark Index
The performance of the scheme will be benchmarked against CRISIL Composite Bond Fund Index (85%) and Nifty 50 Index (15%). The trustees reserve the right to change the benchmark in future if a benchmark better suited to the investment objective of the scheme is available.

It is to be noted that investors should consult their financial advisers if in doubt about whether the product is suitable for them or not.

(Source Input: icicipruamc.com)