Many individuals aim to achieve the status of a crorepati, aiming to acquire wealth to the fullest extent possible. Yet, a significant portion of the population believes that reaching this goal is out of reach, leading them to neglect efforts in that direction. This can be debated. By committing to saving even a small sum each month in mutual funds or other investment opportunities that offer an annual return of around 7-10%, one can amass enough wealth to become a crorepati by retirement.
For those seeking to build a substantial corpus of a crore within a decade or slightly longer, a systematic investment plan (SIP) may prove to be a valuable tool. In an SIP, individuals invest a set amount of money at regular intervals, typically monthly, to accumulate a significant sum over time. Even modest contributions to a mutual fund SIP each month have the potential to grow into a sizeable amount in the long term.
Investors are encouraged to conduct a thorough analysis of a mutual fund scheme’s past performance compared to similar schemes in the same category before making an investment.
In this analysis, we have selected the ICICI Prudential Bluechip Fund Growth to assess its returns over the years. The ICICI Prudential Bluechip Fund Direct-Growth is a large-cap mutual fund offered by ICICI Prudential Mutual Fund. The ICICI Prudential Bluechip Fund was introduced in May 2008, equating to approximately 16 years ago. This large-cap scheme has shown an annualised return of 15.92% since its inception. However, it is important to note that the calculation of returns on Systematic Investment Plans (SIPs) differs from traditional return calculations. This scheme has shown consistent returns, aligning well with others in its category. Its ability to minimize losses during market downturns is notable.
The fund primarily invests in sectors such as Financial, Energy, Automobile, Technology, and Construction. It has a lower exposure to Financial and Energy sectors compared to similar funds. The top 5 holdings of the fund include ICICI Bank Ltd., HDFC Bank Ltd., Larsen & Toubro Ltd., Infosys Ltd., and Reliance Industries Ltd.
Expense ratio: 0.86% as on Sep 30, 2024
Exit load: 1.0%
AUM (Fund size): Rs 66,207 crore
Lock-in: No Locking
Age: 11 yrs
Benchmark: NIFTY 100 TRI
Min. investment: SIP Rs 500 & Lump. ₹Rs 000
Risk: Very High Risk
Returns
Period This fund Category average
1 month -3.33% -3.44%
3 months -0.37% -0.34%
6 months 11.2% 12.07%
1 year 33.94% 31.77%
3 years 16.67% 13.29%
5 years 20.07% 17.87%
10 years 14.94% 13.72%
Tenure Investment (Rs) Corpus (Rs)
1 year 1,44,000 1,58,843
3 years 4,32,000 6,07,432
5 years 7,20,000 12,77,646
10 years 14,40,000 34,16,943
Since inception 23,64,000 1,05,57,255