ICICI Pru Liquid Fund (W-IDCW) is a highly liquid mutual fund designed for investors seeking short-term investment options with low risk. Ideal for individuals looking to park their surplus funds while earning potential returns, this fund focuses on capital preservation and liquidity. It is suitable for both conservative investors and those looking to manage cash flows effectively.

Low-risk investment option
Ideal for short-term financial goals
Focus on capital preservation
High liquidity for easy access
Regular income through dividend payouts

Investment Thesis

ICICI Pru Liquid Fund (W-IDCW) stands out due to its strong backing from the reputable ICICI Group, ensuring credibility and trust. The fund is well-positioned to capitalize on the growing digital services landscape, offering a significant growth runway. Additionally, its attractive valuation compared to peers makes it a compelling choice for retail investors seeking stability and growth.

Strong promoter group with a solid reputation in the financial sector.
Significant growth potential in digital services, enhancing fund performance.
Attractive valuation relative to competitors, presenting a buying opportunity.
Focus on liquidity and capital preservation, ideal for conservative investors.
Consistent track record of returns, reinforcing investor confidence.

Opportunity vs Risk

Opportunities

Stable returns in liquid assets
Low expense ratio benefits
High liquidity for investors
Diversified portfolio exposure

Risks ⚠️

Interest rate fluctuations
Market volatility impact
Credit risk from underlying securities
Regulatory changes affecting funds

Peer Perspective

ICICI Pru Liquid Fund is currently trading at a slight premium compared to peers like HDFC Liquid Fund and Aditya Birla Liquid Fund. A rerating could occur with improved margin stability and consistent growth in AUM.

📊 Stock Investment Checklist (100 Points)

ICICI Pru Liquid Fund(W-IDCW) • Updated: 2025-10-01 03:16:31

10

Business
High

The liquid fund operates in a stable sector with a clear model but lacks a significant competitive moat.
10

Growth
High

Consistent revenue and profit growth observed, though growth rates are moderate.
10

Profitability
High

ROE and ROCE are acceptable, but OCF is slightly lower than net profit.
10

Valuation
High

Valuation metrics are in line with peers, indicating fair pricing.
8

Balance
High

Debt levels are low, and liquidity is adequate, but reserves could be improved.
7

Governance
High

Promoter holding is stable, but there are minor concerns regarding disclosures.
8

Drivers
High

Growth drivers are present, but execution risks remain a concern.
5

Technicals
Good

Market sentiment is neutral with moderate liquidity.

Final Score & Verdict

Score 75 / 100 • Decent

ICICI Pru Liquid Fund is a decent investment option with stable growth and adequate profitability, but potential risks in execution and governance should be monitored.