NFO Review; ICICI Housing Opportunities Fund

ICICI Housing Opportunities Fund (ICICI - HOF) is a new scheme offered by ICICI Prudential Asset Management Company. The NFO opens on March 28, 2022, and closes on April 11, 2022. The other basic details of the fund are as follows

As per the details above, a noticeable factor is exit load; the exit load of ICICI Housing Opportunities Fund is 1% for one month and free to exit without any charges after one month due to the thematic nature of the scheme.

Though the name suggests investments by the fund in construction companies; the investment universe of the ICICI – HOF includes other sectors also such as cement, steel, flooring, laminates, paints, sanitary ware, and financing companies to provide home loans, power, consumer electronics, etc. because a functioning home is an end product with the involvement of almost all the sectors as mentioned above.

Generally, thematic funds follow their benchmark’s asset allocation more or less; thus, to understand the expected asset allocation of the ICICI Housing Opportunities Fund, we would like to give you a glimpse of the asset allocation of its benchmark NIFTY Housing Index Fund TRI – Sector-wise and stock-wise.

The reasons to invest in the fund are as follows:

1. Expected Population Growth in India

2. Growing number of nuclear families

3. Easy financing for eligible home buyers

4. Supporting government Policies like Pradhan Mantri Awas Yojna and

5. Expected pick-up in the real estate sector

Though we believe the fund can deliver decent returns to its long-term investors, we strongly suggest our readers take the opinion of your investment consultant before proceeding to invest in the fund or reach us at research@adityatrading.com

Call us at: +91 7305923322

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