ICICI Prudential Manufacturing Fund
Direct · GrowthAI Summary
ICICI Prudential Manufacturing Fund has delivered strong SIP XIRR of 26.35% over 3Y and 27.08% over 5Y, beating the category average of 16.17% and 17.43% respectively by roughly 10 percentage points. Against the NIFTY 50, it has generated consistent double-digit alpha across all periods, including 11.26% over 3Y and 11.37% over 5Y. Calendar year returns show occasional strong bursts of 45-48% (2021, 2023), though annualized returns over longer horizons moderate to the 11-20% range.
The fund exhibits notable risk-management characteristics with a maximum drawdown of only -0.38% and an average drawdown of -0.04%, though it has recorded 6 drawdown events above 10% and needed 239 days to recover from its deepest drawdown. Calmar ratios between 0.57 and 0.70 across timeframes indicate reasonable risk-adjusted returns. Downside capture below 100% in every period (81-92%) combined with near-equal upside capture in recent years suggests a favorable asymmetric return profile versus the benchmark.
The 64-stock portfolio is well diversified at the individual name level, with the top holding Reliance Industries at just 6.12% and no single stock above 7%. Sector-wise, Automobiles (14.0%) and Pharmaceuticals (12.3%) lead, followed by Industrial Products, Electrical Equipment, and Cement, reflecting the diversified manufacturing theme. Auto-linked exposure (automobiles plus auto components) is fairly significant at roughly 19% of NAV.
The fund outperforms the sectoral/thematic category average SIP XIRR by a wide margin at every horizon, including 26.35% vs 16.17% for 3Y and 23.52% vs 16.6% for 7Y. Positive beta near 1 in recent periods with alpha of 10-11% indicates genuine stock-selection and sector-timing skill rather than mere benchmark replication. Its consistent multi-year outperformance suggests durable positioning within the manufacturing theme rather than a one-cycle advantage.
This fund suits investors with high risk tolerance who already have diversified core holdings and want exposure to India's manufacturing capex theme. A minimum 5-7 year horizon is advisable given the sectoral nature and the 6 drawdown events exceeding 10% in its history. SIP investing is well supported by the fund's strong XIRR performance, but investors should cap thematic allocation to a modest share of their overall portfolio.
- SIP XIRR of 26.35% (3Y) and 27.08% (5Y) far exceeds the category average of 16.17% and 17.43%
- Consistent alpha of 10-11% versus NIFTY 50 across 1Y, 3Y, 5Y, and 7Y periods with downside capture consistently below 92%
- Well-diversified 64-stock portfolio with the largest holding at only 6.12% of NAV
- High annual dispersion in calendar returns, from 1.69% in 2018 to 47.86% in 2023, reflecting sectoral cyclicality
- 6 drawdown events exceeding 10% and a 239-day recovery from the maximum drawdown highlight meaningful crash risk despite a low current max drawdown
Generated on 01-11-2026, 3:03 AM. Verify before investing.
Gives more importance to longer time periods (10Y, 20Y) than shorter ones (1Y, 3Y). This balances out recent outperformance and gives a more realistic picture of what long-term returns might look like.
The largest peak-to-trough decline in the fund's NAV. Shows the worst-case loss an investor would have experienced at any point in the fund's history.
If you invested ₹1,00,000 every month via SIP, here's how this fund has historically performed across different time horizons.
| Duration | Invested | Median Value | XIRR | Min XIRR | Max XIRR |
|---|---|---|---|---|---|
| 1 Year | ₹12.00 L | ₹12.88 L | 25.3% | -59.2% | 112.8% |
| 3 Years | ₹36.00 L | ₹51.25 L | 26.6% | 4.6% | 46.7% |
| 5 Years | ₹60.00 L | ₹1.11 Cr | 27.0% | 15.1% | 39.4% |
| 7 Years | ₹84.00 L | ₹1.92 Cr | 23.5% | 19.7% | 25.8% |
SIP returns vs benchmark & category
Annualised SIP return (XIRR) over each rolling horizon — like-for-like, not lump-sum.
| Duration | Fund SIP XIRR | NIFTY 50 | Category avg | Fund edge |
|---|---|---|---|---|
| 1 Year | 25.3% | 14.3% | 10.5% | +11.0% |
| 3 Years | 26.6% | 11.0% | 16.2% | +15.5% |
| 5 Years | 27.0% | 10.4% | 17.4% | +16.7% |
| 7 Years | 23.5% | 10.6% | 16.6% | +13.0% |
| Duration | Mean | Median | Min | Max | Sharpe | Sortino | % Positive | Cat. Mean | Cat. Median |
|---|---|---|---|---|---|---|---|---|---|
| 1 Year | 24.1% | 13.8% | -34.5% | 110.7% | 0.66 | 2.78 | 88% | — | — |
| 3 Years | 26.2% | 25.9% | 15.4% | 40.6% | 3.92 | — | 100% | — | — |
| 5 Years | 26.1% | 26.2% | 16.4% | 37.5% | 4.41 | — | 100% | — | — |
Calmar Ratio by Duration
Compared against NIFTY 50
| Duration | Alpha | Beta | Upside Capture | Downside Capture | Fund CAGR | Bench CAGR |
|---|---|---|---|---|---|---|
| 1 Year | +10.60 | 0.99 | 101.6% | 87.0% | -0.1% | -10.9% |
| 3 Years | +11.26 | 1.01 | 105.5% | 92.0% | 17.7% | 6.4% |
| 5 Years | +11.37 | 0.93 | 99.2% | 85.3% | 16.6% | 5.2% |
| 7 Years | +10.93 | 0.86 | 93.0% | 81.6% | 20.4% | 10.0% |
| 10 Years | +6.65 | 0.85 | 90.6% | 81.1% | 14.6% | 8.2% |
| 12 Years | +5.27 | 0.85 | 90.6% | 81.1% | 12.0% | 6.8% |
| 15 Years | +3.94 | 0.85 | 90.6% | 81.1% | 9.5% | 5.4% |
| # | Stock | % of NAV |
|---|---|---|
| 1 | Reliance Industries Ltd. | 5.90% |
| 2 | Mahindra & Mahindra Ltd. | 5.16% |
| 3 | Dr. Reddy's Laboratories Ltd. | 4.67% |
| 4 | Maruti Suzuki India Ltd. | 3.91% |
| 5 | Sun Pharmaceutical Industries Ltd. | 3.91% |
| 6 | Larsen & Toubro Ltd. | 3.31% |
| 7 | Hyundai Motor India Ltd. | 3.23% |
| 8 | JSW Steel Ltd. | 3.03% |
| 9 | Samvardhana Motherson International Ltd. | 2.99% |
| 10 | Ultratech Cement Ltd. | 2.85% |