ICICI Prudential Quality Fund
Direct · GrowthAI Summary
ICICI Prudential Quality Fund has delivered a 1Y SIP XIRR of 2.05%, sharply below the category average of 14.1%, indicating significant underperformance versus sectoral/thematic peers. However, on a lump-sum basis it has outperformed the NIFTY 50 across most horizons, with a 1Y Fund CAGR of 7.88% against the benchmark's -2.9% and positive alpha of 9.34% over 1Y. Alpha narrows over longer horizons, turning marginally negative beyond 10 years, so the outperformance is concentrated in recent periods.
The fund exhibits low volatility characteristics with a maximum drawdown of just -0.13% over 97 days and only one drawdown event exceeding 10%, reflecting strong downside protection. A beta of 0.82-0.85 with a downside capture of 76.71-78.98% confirms it falls less than the NIFTY 50 in weak markets. The 1Y Calmar ratio of 0.29 suggests modest risk-adjusted returns relative to the drawdown taken, consistent with the muted 1Y XIRR.
The portfolio holds 59 stocks with a well-spread top 10, led by ICICI Bank at 7.77% and Bharat Electronics at 4.05%, so no single position dominates. Sector allocation is diversified, with Pharmaceuticals & Biotechnology (14.5%) and Banks (13.1%) as the largest exposures, followed by IT, Aerospace & Defense, and Automobiles. This breadth tempers the concentration risk typically seen in thematic funds.
Against the category average SIP XIRR of 14.1% for 1Y, the fund's 2.05% places it well below peers, and the gap would likely persist across longer windows given its low lump-sum CAGRs of 2.97% (3Y) and 1.77% (5Y). Calendar year returns of 6.48% in 2025 and 2.82% in 2026 show modest but positive absolute performance. Its defensive, quality-oriented style appears to lag the aggressive peers that drive sectoral category averages.
This fund suits conservative investors seeking equity exposure with lower drawdowns rather than those chasing high sectoral returns, given its below-category XIRR. A long time horizon of 5+ years is appropriate, as the fund's edge lies in downside capture rather than rapid upside. Investors should have moderate risk tolerance and accept that returns may trail the broader market in strong rallies, with upside capture around 90%.
- Strong downside protection with downside capture of 76.71-78.98% and a maximum drawdown of only -0.13%
- Consistent benchmark outperformance in recent periods, with 1Y alpha of 9.34% and Fund CAGR of 7.88% versus NIFTY 50's -2.9%
- Diversified portfolio of 59 holdings with a balanced sector spread led by pharma (14.5%) and banks (13.1%)
- 1Y SIP XIRR of 2.05% is far below the category average of 14.1%, signaling underperformance versus thematic peers
- Alpha declines over longer horizons and turns negative beyond 10 years (-0.04% at 10Y, -0.41% at 15Y), questioning long-term value addition
Generated on 05-09-2026, 3:04 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 | ₹12.07 L | 2.0% | -15.0% | 14.6% |
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 | 2.0% | 14.4% | 14.1% | -12.4% |
| Duration | Mean | Median | Min | Max | Sharpe | Sortino | % Positive | Cat. Mean | Cat. Median |
|---|---|---|---|---|---|---|---|---|---|
| 1 Year | 3.8% | 3.1% | -2.5% | 10.4% | -0.81 | -0.66 | 92% | — | — |
Calmar Ratio by Duration
Compared against NIFTY 50
| Duration | Alpha | Beta | Upside Capture | Downside Capture | Fund CAGR | Bench CAGR |
|---|---|---|---|---|---|---|
| 1 Year | +9.34 | 0.85 | 92.4% | 79.0% | 7.9% | -2.9% |
| 3 Years | +2.58 | 0.82 | 89.8% | 76.7% | 3.0% | -0.9% |
| 5 Years | +1.08 | 0.82 | 89.8% | 76.7% | 1.8% | -0.6% |
| 7 Years | +0.44 | 0.82 | 89.8% | 76.7% | 1.3% | -0.4% |
| 10 Years | -0.04 | 0.82 | 89.8% | 76.7% | 0.9% | -0.3% |
| 12 Years | -0.22 | 0.82 | 89.8% | 76.7% | 0.7% | -0.2% |
| 15 Years | -0.41 | 0.82 | 89.8% | 76.7% | 0.6% | -0.2% |
| # | Stock | % of NAV |
|---|---|---|
| 1 | ICICI Bank Ltd. | 7.77% |
| 2 | Bharat Electronics Ltd. | 4.05% |
| 3 | HDFC Bank Ltd. | 3.83% |
| 4 | Divi's Laboratories Ltd. | 3.68% |
| 5 | Mahindra & Mahindra Ltd. | 3.63% |
| 6 | Hindustan Unilever Ltd. | 3.11% |
| 7 | Astrazeneca Pharma India Ltd. | 3.04% |
| 8 | Sun Pharmaceutical Industries Ltd. | 3.01% |
| 9 | Eicher Motors Ltd. | 2.89% |
| 10 | Infosys Ltd. | 2.64% |