Highlights:
· ICICI Prudential Nifty Commodities ETF is an open-ended ETF replicating Nifty Commodities Index
· The index includes a diversified portfolio of companies dealing in commodities such as oil, petroleum products, cement, power, chemicals, sugar, metals and mining.
· The Nifty Commodities Index has grown at 11.93% annually since November 2012
· Rs.1 lakh invested in the Nifty Commodities Index in 2012 would be worth ~Rs. 3.08 lakhs by the end of November 2022.
Mumbai, December 14, 2022: ICICI Prudential Mutual Fund has announced the launch of ICICI Prudential Nifty Commodities ETF, an open-ended ETF replicating the Nifty Commodities Index. The Index is designed to reflect the behaviour and performance of a diversified portfolio of companies representing the commodities segment, including sectors like oil, petroleum products, cement, power, chemical, sugar, metals and mining.
India is among the top producers of several commodities, along with a long history of trading in commodities and related derivatives. The market has made tremendous progress in technology, transparency and trading activity.
Speaking on the product launch, Mr Chintan Haria, Head- Product Development & Strategy, ICICI Prudential AMC, said, “The commodity market has always been one of the most attractive investment asset classes. The demand for commodity inputs, categorized as hard and soft commodities, generally remains high as they fuel the economic growth of the country. Investors looking for commodity exposure in their portfolio can consider ICICI Prudential Nifty Commodities ETF.”
Why invest in ICICI Prudential Nifty Commodities ETF?
Strong demand: With strong deals pipeline and increased domestic capacities, the demand outlook looks positive.
Helps to tackle inflation: Commodity prices tend to be positively correlated with inflation leading to higher profits during inflationary periods.
Diversification: Commodities are not highly correlated with each other which helps in absorbing market shocks.
High Dividend: Empirically such companies are high dividend paying.
High infrastructure capex: Unprecedented expenditure on infrastructure augurs well for domestic commodity manufacturers.
Index: Portfolio Snapshot
The index includes companies which deal in Oil, Petroleum Products, Cement, Power, Chemicals, Sugar, Metals and Mining. The universe for stock selection is based on the Nifty 500. The index will be rebalanced semi-annually on January 31st and July 31st.
Above index constituents and statistics are as of November 30, 2022. Data source: www.nseindia.com . The sector(s)/stock(s) mentioned in this document do not constitute any recommendation of the same and ICICI Prudential Mutual Fund may or may not have any future positions in the sector(s)/stock(s).
Quantitative Attributes
Source: www.moneycontrol.com ; www.nseindia.com * The dividend yield is for the year ending March 2022.
Performance of the Index
Nifty Commodities Index has grown at 11.93% annually since November 2012. Rs.1 lakh invested in Nifty Commodities Index in 2012 would be worth ~Rs. 3.08 lakhs by end of November 2022.
Data as 30th November 2022. Data source: MFI. MFI Explorer is a tool provided by ICRA Online Ltd. For their standard disclaimer please visit http://www.icraonline.com/legal/standard-disclaimer.html Past performance may or may not be sustained in the future. The Total return variant of the Index has been used. Returns more than 1 year are CAGR. The performance of the index does not signify performance of the scheme.
-X-
For further information, please contact Adil Bakhshi, Head PR & Corporate Communication
Email: adil_bakhshi@icicipruamc.com , Landline: 022-66470274
Riskometer & Disclaimer
#It may be noted that the scheme risk-o-meter specified above is based on the internal assessment of scheme characteristics and may vary post NFO, when the actual investments are made. The same shall be updated in accordance with provisions of SEBI circular dated October 5, 2020 on Product labelling in mutual fund schemes on ongoing basis.
Mutual Fund investments are subject to market risks, read all scheme related documents carefully
Disclaimer of NSE Indices Limited (NSE Indices): The Product(s) are not sponsored, endorsed, sold or promoted by NSE Indices Limited (" NSE Indices"). NSE Indices does not make any representation or warranty, express or implied, to the owners of the Product(s) or any member of the public regarding the advisability of investing in securities generally or in the Product(s) particularly or the ability of the Nifty Commodities Index to track general stock market performance in India. The relationship of NSE Indices to the Issuer is only in respect of the licensing of certain trademarks and trade names of its Index which is determined, composed and calculated by NSE Indices without regard to the Issuer or the Product(s). NSE Indices does not have any obligation to take the needs of the Issuer or the owners of the Product(s) into consideration in determining, composing or calculating the Nifty Commodities Index. NSE Indices is not responsible for or has participated in the determination of the timing of, prices at, or quantities of the Product(s) to be issued or in the determination or calculation of the equation by which the Product(s) is to be converted into cash. NSE Indices has no obligation or liability in connection with the administration, marketing or trading of the Product(s).
NSE Indices do not guarantee the accuracy and/or the completeness of the Nifty Commodities Index or any data included therein and they shall have no liability for any errors, omissions, or interruptions therein. NSE Indices does not make any warranty, express or implied, as to results to be obtained by the Issuer, owners of the product(s), or any other person or entity from the use of the Nifty Commodities Index or any data included therein. NSE Indices makes no express or implied warranties, and expressly disclaim all warranties of merchantability or fitness for a particular purpose or use with respect to the index or any data included therein. Without limiting any of the foregoing, NSE Indices expressly disclaim any and all liability for any damages or losses arising out of or related to the Products, including any and all direct, special, punitive, indirect, or consequential damages (including lost profits), even if notified of the possibility of such damages.
Disclaimer of National Stock Exchange of India Limited:
It is to be distinctly understood that the permission given by NSE Limited should not in any way be deemed or construed that the SID has been cleared or approved by NSE Limited nor does it certify the correctness or completeness of any of the contents of the SID. The investors are advised to refer to the SID for the full text of the Disclaimer clause of the NSE Limited.
Disclaimer of BSE Limited:
It is to be distinctly understood that the permission given by BSE Limited should not in any way be deemed or construed that the SID has been cleared or approved by BSE Limited nor does it certify the correctness or completeness of any of the contents of the SID. The investors are advised to refer to the SID for the full text of the Disclaimer clause of the BSE Limited.
