BALANCED FUNDS
Monthly Income Plan - Balanced Fund

ICICI Prudential Monthly Income Plan

Investing has always meant seeking a stable, regular return. Although there are those who would sway towards leveraging the benefits of equity investing, several investors are focused on conservative growth and regular income.


However, inflation tends to impact conservative returns, so a limited exposure to equity has the potential to add a spark to your returns, while treading along cautiously.


ICICI Prudential Monthly Income Plan (MIP), (Monthly Income is not assured and is subject to availability of distributable surplus), an open-ended fund, is designed to be a low risk income-generating product for an investor who likes to earn the short term debt market return enhanced by a small equity component that does not significantly add to the risk of the portfolio.

Investment Philosophy

This conservatively managed fund invests predominantly in debt securities with the view of generating regular income. To this basic portfolio, it adds on a very limited equity exposure to a maximum of 15%, such that the risk-adjusted returns have potential to be enhanced. The intent is to provide the benefit of equity returns, without adding on significant risk. The fund aims to manage interest rate risks and credit risks by investing in high quality debt instruments & also has the ability to be dynamically managed to alter asset allocation, depending on the equity / debt market scenario.

Key Benefits

  • A core portfolio invested in debt provides stability to the investment.
  • Limited exposure to equity has the potential to spike up the returns generated from the basic debt portfolio & provides an opportunity to earn better risk-adjusted returns
  • The fund has the track record of uninterrupted monthly dividends since inception.

This product is suitable for investors who are seeking* :

  • Medium term regular income solution
  • A hybrid fund that aims to generate regular income through investments primarily in debt and money market instruments and long term capital appreciation by investing a portion in equity.

*Investors should consult their financial advisers if in doubt about whether the product is suitable for them.


Key Features

Type

Open-ended Fund

Plan

Regular & Direct

Options

Default Option

Growth

Application Amount

Rs.25000 (plus in multiples of Rs.1)

Min. Additional Investment

Rs.500 (plus in multiples of Re.1)

Entry Load

Nil.

Exit Load

(a) If the amount, sought to be redeemed or switched out, is invested for a period of upto 1 year from the date of allotment 1%; (b) If the amount, sought to be redeemed or switched out, is invested for a period more than 1year from the date of allotment - Nil.

Redemption Cheques Issued

Minimum Redemption Amt.

Rs.500 (plus in multiples of Re.1)

Systematic Investment Plan

Dividend & AEP Option - Monthly and Cumulative (without AEP) Option - Monthly: Min Rs.1000 + 5 post - dtd cheques for a minimum of Rs.1000 each Quarterly: Minimum Rs. 5000 + 4 post - dated cheques of Rs. 5000 each. Exit Load: (w.e.f. 01-10-09): (a) If the amount, sought to be redeemed or switched out, is invested for a period of upto 1 year from the date of allotment ? 1%; (b) If the amount, sought to be redeemed or switched out, is invested for a period more than 1year from the date of allotment - Nil.

Systematic Withdrawal Plan

Minimum of Rs.500 and multiples of Re1/-



Fund Manager

Equity: Rajat Chandak
Debt: Manish Banthia

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